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Bashaw to talk with curling club on modernizing 35 year lease agreement

Vague language, financial concerns among reasons to clean up lease agreement
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Concerns raised by town administration has prompted Bashaw council to approve cleaning up the lease agreement with the Bashaw Curling Club.

The move was made at the Feb. 1 council meeting and comes on the heels of administration looking into the agreement after recent repairs to the ice-making plant at the complex.

CAO Theresa Fuller explained that staff delved into the agreement following the repairs to further determine what the curling club might be expected to cover, only to note that the document is unclear and lacks details on several issues.

“Originally signed in 1983, it’s a long-term agreement with no expiry or renewal date. It is also extremely vague on what type of assistance the club would provide on costs,” she said.

Fuller added some definite clarification is needed so the town knows what expenses the curling club needs to pay for — from the monthly garbage to various repairs to other services.

In the original 1983 lease, it outlines the town shall provide the property, the right for the club to be insured under the town’s blanket policy, any road maintenance or construction as well as utility services of water, sewer and garbage similar to what is provided to residents.

For the club, the agreement states it shall pay the annual insurance charges, maintain the building per regulations, which may mean making certain improvements, however, the agreement does not say what those are. The club should also pay all building utilities, maintain or replace equipment on the property and provide tenant insurance.

However, one clause is causing confusion for the town, which took over managing the facility over a year ago.

That clause states the club shall pay a portion of the utilities and upkeep of the ice plant as agreed between the club and the Bashaw Area Recreation Board (BARB). With BARB giving up management to the town, that leaves those expenses up in the air as to who is responsible.

Coun. Lynn Schultz commented there is a need to meet, especially since the club is just trying to survive.

“If the town were to dump a bunch of expenses on them, we’d wind up with an empty building to look after,” he said, noting the club struggles to pay the annual $10,000 to $12,000 for insurance on top of its liability policy.

Fuller noted administration isn’t going after more money, but more to have a review and clean up the document.

“The new agreement should match what we are doing now,” said Coun. Rob McDonald.

Staff were to make contact with the club and schedule a meeting to help draft a new, updated agreement.

Other business

Council was informed of the grant funds that have been carried forward from previous years and would be available for any capital projects in 2018.

The total is just under $194,400 — which includes about $96,700 in federal gas tax grants, $94,100 in basic provincial transportation funds and $3,500 in Municipal Sustainability Initiative (MSI) capital money. Another $50,000 in federal gas tax funds are available for 2018, but the town must still apply for that money, while there remains $7,500 in MSI operating funds left for the town to use.

In addition, the conversation continued with council looking what the 2018 capital project priorities should be. In no particular order, the list of projects includes upgrades to the sewage lagoons, replacement of the ice resurfacing machine, water and sewer replacement along 49 Street from 50 to 46 Avenue,