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Council approves budget increase for daycare

Canmore town council approved a $200,000 budget increase to build the new Roundhouse Daycare and Preschool facility this week, but the money won’t be coming from taxpayers.

Canmore town council approved a $200,000 budget increase to build the new Roundhouse Daycare and Preschool facility this week, but the money won’t be coming from taxpayers.

Politicians heard on Tuesday (April 26) the total amount needed to complete construction of the Roundhouse Daycare is $2.1 million, up from an already increased budget of $1.9 million.

Manager of engineering Kevin Van Vliet explained the recommended motion that was passed states the funds will come from ‘other’.

That means if community contributions to the project do not materialize in that amount, the Daycare and Preschool societies will be on the hook for extra costs.

“Ultimately, if we do not get additional contributions and costs reach that amount we would look at the Daycare and Preschool societies to recover those costs… but it allows the project to get underway,” Van Vliet said.

Daycare board chair Sara Anderson indicated it would be the preference of the group to arrange payback through a mechanism in a long-term lease with the municipality.

In fact, the daycare has raised up to $120,000 on its own to put towards the new facility’s finishings, furniture and playground.

“Our preference if we have to payback $200,000 is to have a lease instead of a loan,” Anderson said, adding as a non-profit it is difficult to get a loan because of a lack of assets.

Mayor Ron Casey said while council has to approve the final budget, the motion clearly sets out the $200,000 must be found elsewhere.

“What we are saying is that $200,000 has to be raised outside the Town of Canmore,” he said.

Van Vliet and Pat Griffiths with ModCo Construction, which is managing the construction of the project, said they are confident the $2.1 million number will not budge again.

“This price reflects substantial in-kind contributions of up to $120,000 at this point,” added Van Vliet.

But Councillor Hans Helder said he was torn with the motion in front of him, having already approved a $1.7 million budget for the project and an increase to $1.9 million.

The first increase was to provide $200,000 to have the facility meet a LEED silver standard, although it will not go through certification.

“Philosophically, I am not particularly supportive of using municipal funding for this type of facility,” Helder said, adding out of respect for the previous council and community consultations he was convinced it was worth supporting. “I am particularly concerned about what happens between now and when the building is finished and if the Town has to step up and find $200,000 in general capital reserves.”

While Helder was the only councillor to vote against the motion, Coun. Joanna McCallum said she shares his concerns over increasing costs.

“I would hope the costs stay within the budgeted amount and I would hope members of the community step forward and contribute,” she said.

Coun. Gordie Miskow warned against playing around any more with costs and designs, otherwise the Town could see the project budget increase again because of delays.

“I feel confident in the players and the amounts presented to council,” said Coun. Jim Ridley, adding the value of land, which is not included in the budget, should be remembered. “Although it is leased land, it is coming to us at no cost.”

Coun. Ed Russell expressed concern about approving a budget item without a source of funds and suggested taking the money from general capital reserves.

“It leaves a bit of ambiguity in my mind,” he said.

Coun. John Borrowman also expressed some reservations, but supported the motion because the facility is well needed in the community.

“I am not quite as confident as some, but I will support the motion and the project,” he said.

The original budget for the Daycare came as a result of it being removed from the Multiplex project. At the time, the Multiplex was budgeted at $41 million and without a daycare it fell to $39.1 million, leaving the remaining amount a figure to work with for the daycare.

“At that time we were at just space and dollars and there was not a design that we could draw out the numbers we can now,” said Griffiths.

Casey added the original concept only included a daycare and when the preschool was added it substantially increased the square footage of the facility.

The mayor added to decrease the size of the building from its current 8,000 square feet to meet the $1.9 million budget is not feasible.

“To keep the function we have today in both these organizations I do not think decreasing the size is an option,” he said. “The size is minimal right now and to do anything less actually reduces what we have available in the community which would reduce capacity.”


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