HINTON – Town council approved the use of $151,500 from a reserve to account for any non-grant-funded portions of replacing the arena ice plant.
The decision was made during a Tuesday (June 18) meeting.
Administration is set to award the contract for the project, with the preferred proponent quoting $1.73 million. The Town is expected to get $1.58 million through the provincial Local Government Fiscal Framework.
To cover the remaining cost, administration has applied for two separate grants but was waiting to hear back, and pricing was only locked in until June and could rise by at least $200,000 afterward.
In case the grants did not come through, administration recommended authorizing the use of funds from the recreation centre construction reserve to avoid any delays in the project.
Coun. Ryan Maguhn supported the recommendation since the new ice plant could be repurposed for a future or rehabilitated recreation facility, and even if grant funding did not come through, the Town would be getting a $1.7-million piece of equipment for $151,500.
Coun. JoAnn Race disagreed with using this particular reserve since it was meant for construction at the recreation centre.
“When we hit the ground and we get working on that rec centre … I’d like to have $2 million sitting there in seed money to get us going,” Race said. “I don’t want to keep borrowing from this account.”
Coun. Albert Ostashek argued this was the appropriate source of funding.
“It is new construction that contributes towards a future renovated recreation centre,” Ostashek said. “We’re just doing it now instead of whenever the rest of the recreation centre renovation project gets approved.”
Race attempted to amend the motion so the Town would use the facilities components reserve instead, but this was defeated with only Race and Mayor Nicholas Nissen voting in favour. The original motion was then carried unanimously.