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Feds approve up to $12.9 million for new pool
If city accepts, construction could begin in 2019

Shane Magee
Northern News Services
Wednesday, November 9, 2016

SOMBA K'E/YELLOWKNIFE
Several city councillors voiced enthusiasm Monday over millions in federal infrastructure money to replace the Ruth Inch Memorial Pool in the coming years.

The city has been approved to receive up to $12.9 million from the Building Canada Fund for a new aquatic centre, according to a city staff report.

Coun. Shauna Morgan said Monday at a municipal services committee meeting the successful application is great news.

The committee voiced support for moving the issue ahead to council to formally vote in favour of accepting the funding, a required step before the funds can be provided. The city would be required to chip in at least $4.3 million for the new pool.

"We have to decide now that we're going to start spending money in 2018?" Morgan asked Monday.

"Correct," said Mayor Mark Heyck.

If approved, the mayor said it would likely be discussed as part of the city's 2017 budget talks later this year - which includes a three-year capital spending plan.

Heyck said if the city decides it can't afford the new pool, the money is returned to the federal government.

"Hopefully that will not happen because I think we're all pretty excited about this project," Morgan said.

"I would just like to express my support and my excitement over fast tracking an aquatic centre, which I think we really need," Coun. Julian Morse said.

A report from 2011 by Dillon Consulting Ltd. states the pool will reach its life expectancy in 2020 and estimates a replacement cost of $55.9 million.

A staff report presented Monday outlines how the current pool is already at its capacity, with several user groups having to share lanes. As well, it doesn't have the necessary 50-metre lanes to hold regional or national level competitive swimming events.

"The development of a properly designed pool basin will meet the needs for developing a competitive swimmer and will allow for the expansion of programs to eliminate the wait lists that currently exist," the report states.

The first stage of work would begin in 2018 with public engagement by a consultant. The federal funds can be used for the planning work. The staff report recommended council establish a special committee to consider the project. Council would then consider the consultant's report, which is expected to include a concept on the facility components, project budget, project time line and proposed operational costs.

Ground would likely be broken in 2019, said acting senior administrative officer Dennis Kefalas.

The staff report gave no indication where a new facility would be located. The federal funding means construction of the building would have to be finished by 2022. Early cost estimates range from $30 million, based on other recent pool projects in Northern Canada, and $55.9 million from the Dillon report.

"The city may match or add to the project budget utilizing funding from sources other than the tax base and formula funding," the staff report states.

Low financial lending rates mean it would be beneficial for the city to borrow money to cover its portion of the work.

That would lead to an increase of the city's long-term debt at a time when it's already having to consider replacing the $20 million drinking water pipeline, which is expected to also be paid for with borrowed funds.

The report ends by noting the all-time low borrowing rates mean "there would be no immediate tax increase to pay for the project and the debt can be serviced utilizing Gas Tax Rebate funding."

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