qRD directors discuss Powell River Recreation Complex funding

qathet Regional District’s finance committee has recommended the regional board decline a recreation funding request from City of Powell River.

At the January 29 committee of the whole meeting, Electoral Area C director and board chair Clay Brander said given the current situation the regional district is facing, denying the city’s request for funding is a reasonable way to proceed. A recommendation before the committee stated that this matter will not be resolved until the subregional recreation contribution establishment bylaw service review has been completed, and the expired Powell River Recreation Complex funding services agreement is renegotiated.

Electoral Area B director Mark Gisborne said the subregional recreation contribution service was created in 2019 as a result of a 2018 referendum, which came from collaborative discussions between electoral area directors and municipal representatives with the regional recreation initiative, which started in 2015.

“We ended up having this referendum, which came to the amount of $177,000, which was the contribution to the municipality for their subregional recreation service,” said Gisborne. “We established a five-year contribution agreement that was signed in January 2019 and expired in 2023.

“In 2023, I put forward a motion that asked that the board speak to city council and have a meeting. That never passed through our board. Our board failed to update the agreement, the city failed to update the agreement, and then the agreement expired.”

Gisborne said the document between the city and regional district stated that if the agreement was to be renewed past December 2023, both parties needed to agree to it six months prior to its expiration. He said the regional district now had a letter of request from the city for funding from mayor Ron Woznow.

“I’ll go back to what I said last year; we don’t have an agreement. We could hand over the money, but the municipality could turn around and close the recreation complex,” said Gisborne. “Last year, when we went to adopt the budget, it was proposed that the contribution amount be increased to $313,000. That represented a 77 per cent increase over the original $177,000.

“At the February 28 board meeting last year, I strongly advocated to adjust the value down to $234,500, based on the formula. The understanding was that the decision to hand over the money would still be coming. We never actually had a discussion with the city indicating we would give them more money.”

Gisborne questioned how the regional district was giving out money without a contract and board direction. He said he would be comfortable with the original agreement of $177,000, and this year, the figure could arise from the recreation service review the regional district is undertaking.

Gisborne said he was opposed to the motion to provide the money requested by the city for recreation. He wanted to refer the matter to the finance committee.

City of Powell River director Rob Southcott said his suspicion was that the service review will move to negotiating a new agreement between the regional district and the city.

City director Cindy Elliott said Woznow was requesting the maximum amount available under the agreement. She asked how that differs from the amount proposed to be put forward.

General manager of financial administration Linda Greenan said what Woznow was looking for, based on the 2025 completed BC Assessment roll values, would have been $334,080, and a $1,500 administration fee would have to be subtracted, which would bring it to $332,579.

Electoral Area A director Jason Lennox said he had some problems with what was before the assembly. He asked if the $238,244 in the recommendation was included in the draft financial plan. Greenan said what is included in draft two, and what is proposed in draft three, is $233,000.

Lennox said this agreement is literally what the service review team will be working on, so he thought the cart was being put before the horse.

“I’m not confident with the number in this motion,” said Lennox. “Area A wants to pay its fair share, but we need to understand what that is. I’m not in support.”

Elliott said she thinks all can agree that everybody values the recreation centre and its services. She said it’s in the best interests of the entire community that the funding is maintained until a new agreement can be figured out.

“My thinking is the entire recreation centre should belong to qathet Regional District and then the formulas between areas would naturally be there,” said Elliott. “The reason we are in this position is the city owns an asset that really should be regional. That’s why we end up with friction.”

Electoral Area D director and committee chair Sandy McCormick recommended that the committee vote to recommend the board respectfully decline the recreation funding request from Woznow, and to strike out a reference that in good faith, the funding participants, Electoral Areas A, B and C, will contribute $238,244 this year. The committee voted to send the monetary amount to the regional district finance committee.

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