WESTLOCK – Town of Westlock councillors have given the green light to borrow $700,000 to help fund the municipality’s new, $4.3 million public work works shop.
At their March 28 meeting, councillors voted 6-0 (Coun. Murtaza Jamaly was absent) to pass second and third readings of Bylaw 2022-04, town public works shop debenture — the bylaw, which received first reading Feb. 14, now goes through a 30-day waiting period before the town will apply for the debenture.
The request for decision to council notes they expect to draw the money June 15, although if the interest rate goes up before then they’ll will wait until mid-September. The debenture is for 10 years and using an estimated interest rate of 3.07 per cent, the town would be on the hook for 20 installments of $40,912.83 to repay the $700,000, plus $118,256.60 in interest — previously finance director Julia Seppola noted the Jan. 1, 2022, transfer of Westlock Place to Homeland Housing and subsequent payout of the remaining $617,080 debenture on it means there was “no additional tax increase” needed to pay for the loan. The remainder of the $4.3 million facility is being funded via $1.4 million in capital reserves and $2.2 million in grants.
“As I recall the shop project we looked at in 2014, which seems like an eternity ago, was $6 million. So, I think this is somewhat more realistic,” said mayor Ralph Leriger.
CAO Simone Wiley said they’re doing a “design-build” for the new shop with the closing date on that process slated for April 25. Although they expect work to start this year, the facility won’t be finished until mid-to-late 2023.
“There’s not enough time to do everything, construct it and be in it before the end of 2022. So, we’re looking for it to be completed for September 2023,” said Wiley.
Operations director Robin Benoit told council they’ve also been working with local contractors and are re-evaluating the $140,000 cold storage/sand-salt structure. Ultimately the cold storage facility will need to be up before Jubilee Arena can come down as it’s currently home to several old emergency vehicles and other town equipment.
“We’re still working on a building solution at this point … sooner rather than later,” said Benoit.
Following completion of the Rotary Spirit Centre in 2012, Jubilee Arena was supposed to be levelled, but those plans were shelved following the discovery of asbestos — a 2012 report stated that 16 of 26 building-material samples tested positive for the substance.
In late 2018 council talked about demolishing the building and even briefly considered the possibility of renos to use it as a warm-storage facility. But when faced with a $1 million price tag for that work, or $900,000 to demolish it, council balked and put the issue on the backburner.
The new shop will be located north of the current one which means the ball diamond, which had initially been intended as a stop-gap facility, will be bulldozed.
The 2024 capital budget does list $700,000 for ball diamond replacement, although that’s not necessarily aimed at replacing the one that’s being lost, said Wiley in a previous interview. The town is slated to spend $120,000 on a recreation master plan this year and Wiley said that ball diamond will be part of that discussion.
Built in 1975 and named after David G. Turner, a long-time town employee and community booster, the current shop underwent an engineering review in 2017 which led to some fixes the following year. Ultimately, a past RFD to council notes the building requires “substantial” repairs to remain in use and is too small for “current operational needs.”
