(rdnewsNOW file photo)

By Sheldon Spackman

More Time Needed

Council extends River Bend agreement with report on the way

Jun 17, 2020 | 4:07 PM

Red Deer city council has approved a one-year extension of its current licensing and operating agreement with the River Bend Golf and Recreation Society.

The five-year agreement that was set to expire on Dec. 31, 2020, will now be extended to Dec. 31, 2021.

City officials say the extension will provide additional time for deliberations to occur on future agreement provisions for the operations of the River Bend Golf and Recreation Area (RBGRA).

Last December, the City contracted Deloitte LLP to conduct a financial and operational review and to make recommendations related to River Bend’s sustainability, service provision, and governance. The review was underway when COVID-19 hit Alberta and has since been delayed.

Authorizing the extension of the current agreement is expected to provide additional time for the Deloitte review to be completed and for further operating discussions by council.

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Councillor Ken Johnston, a former board member with the River Bend Golf and Recreation Society, says he’s looking forward to seeing the completed report.

“I think all of us would like to take a look at how this particular property being very very unique, is almost a 50/50 split between golf and recreational amenities,” says Johnston. “How that mix works, the challenges that it takes to run it, the challenges in the game of golf if you will, and the challenges in outdoor recreation for families that we so highly value at Discovery Park. With COVID-19, River Bend now, has only been elevated in my view as a community amenity.”

Mayor Tara Veer says the next agreement will likely be a medium to long-term contract, much like the current one to offer much-needed stability.

“I think with the new normal that we find ourselves in with so many adjustments that River Bend has been making in their new strategic direction, but also with what the City is faced with, I think that this is a good way of sustaining the operations for the next year but keeping options open in our discussions with River Bend in the future,” says Veer.

Buck Buchanan was the lone councillor who voted against the extension.

The City has held a License and Operating Agreement with the River Bend Golf and Recreation Society since 1987 when the area was first developed.

In addition, the City and Society entered into a loan agreement on Mar. 26, 2019 to provide funding assistance specific to operations from January through April 2019. City officials say this loan ($100,000 with an annual interest rate of 3.3 per cent) is to be paid back in three equal annual installments beginning Oct. 15, 2019. The Society has remitted one of the three installments (2019) with additional installments expected in both October of 2020 and 2021.

River Bend was developed in 1987 as part of Red Deer’s Waskasoo Park system. As owner, The City of Red Deer holds the ultimate authority for the long term preservation and enhancement of these assets.

The golf course sees more than 30,000 people annually at the golf course, according to City numbers. The mini links and driving range draw a further 10,000 people, while Discovery Canyon estimates annual visits of more than 40,000 people.

It is estimated that more than 100,000 people use the trails for both summer and winter activities.

River Bend employs more than 100 people, 90 of them on a seasonal basis. The estimated economic spin-off is said to be approximately $7.8 million annually to the local economy.