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WCB move makes 'economic sense': minister

Mike W. Bryant
Northern News Services

Yellowknife (Nov 25/05) - The Worker's Compensation Board's plan to move out of Yellowknife's downtown has the support of Charles Dent, the minister responsible for the agency, but he won't interfere if city council rejects the WCB's re-zoning proposal.

The WCB is being secretive about its plans, refusing to say how much it intends to spend on building a three-storey office tower on Old Airport Road.

Dent is also keeping mum. He approved the board's budget for purchasing the property, and insists the WCB case makes "economic sense," but he won't say how much money has been set aside.

"We don't lease schools; I certainly don't lease my house," said Dent. "Owning tends to be a much more economic way to go, particularly if you know you're going to be there for a long time."

The WCB has occupied Centre Square tower in downtown Yellowknife for 15 years. The board purchased two floors in the building two weeks ago. Two other floors are leased. The WCB reported a $14 million surplus last year.

Many Yellowknife business owners are opposed to the move, because they fear its exodus will diminish the downtown's viability as the main retail and office corridor in the city.

Dent said he understands their complaints, but his responsibility as a cabinet minister is to ensure WCB rates for employers across the Territories are kept at the lowest possible. He believes the move out to Old Airport Road will do that.

"Should employers have to pay extra in their assessment rates in order to support the downtown of Yellowknife?" asked Dent.

Yellowknife Centre MLA Robert Hawkins, whose constituency includes Centre Square tower, said money is not the only issue the WCB needs to consider.

"I have never questioned whether they can make their numbers crunch to say it's cheaper," said Hawkins.

"I think it would only be responsible to take a look at what they're doing to the health of the community."

The WCB should take a harder look at purchasing the Gold Range Hotel across the street or even looking into acquiring more floors at Centre Square, Hawkins said.

The property WCB is interested in overlooks Frame Lake and sits at the end of a strip mall. The four-acre plot, owned by developer Rick Holdings Ltd., is zoned for commercial use. The zoning does not allow for single-purpose office buildings.

Council approved a zoning change on first reading, Oct. 24, but have since come under pressure from the business community to reject it.

Dent said if that happens, his government will respect council's decision and won't use its legislative power to overturn it. "That's never going to happen," he said.