An agreement presented to city council on Monday highlighting a $2-million Yukon government (YTG) contribution to Canada Games Centre costs is not the same deal that was negotiated three years ago.

That's the opinion of Mayor Ernie Bourassa and Coun. Doug Graham.

They say the YTG's plans to pay the $2 million over three years would leave the city holding the financial bag.

The deal, to cover $4 million in unexpected costs for the building of the centre, was signed on Dec. 10, 2003, with both parties agreeing to split the $4 million equally.

The lowest bid for the Canada Games Centre came in $4 million over projected costs. That led to the $4-million negotiation between the city and the YTG.

'That's not the deal I remember from our meetings,' Graham told his fellow members of council.

'To me, this is negotiation in bad faith.'

Graham said he recalled the negotiations, which involved Bourassa, himself and Premier Dennis Fentie, involved a one-time, lump-sum payment.

'(Paying over three years) is ridiculous,' he said.

On Monday, members of city administration presented council with the payment schedule forwarded by the YTG.

Funds are to be paid in three instalments: $667,000 in June 2005; $667,000 in July 2006; and a remaining $667,000 in August 2008.

'Signing of the agreement will allow the funds allocated under the 2005/06 fiscal year to be paid to the City of Whitehorse prior to the end of the YTG's fiscal year,' council documents state.

Bourassa said this morning he is not happy with the three-year payment schedule because it meant the city wouldn't be earning interest on the money to add to city coffers.

'We've got to pay the contractors; money we were counting on in interest earnings we'll now actually be paying,' he said.

Bourassa said while he preferred a lump sum payment from the YTG, he now hopes the city will receive the first $667,000 shortly following two payments next year in a lump sum. (The payment due in June 2005 was never made.)

'That would at least make this more palatable for council,' he said.

Fentie was unavailable for comment this morning.