By Troy Gillard

Repayment plan approved

Gasoline Alley hotel granted tax payment relief by Red Deer County

Mar 9, 2021 | 2:25 PM

Red Deer County is extending help to a local hotel in need of some during tough times.

Council voted unanimously Tuesday morning to approve a request by Microtel Inn and Suites by Wyndham to use the county’s tax payment plan launched late last year to help struggling businesses.

Heather Surkan, the county’s corporate services director, told council the Microtel hotel on Leva Avenue in Gasoline Alley was in arrears on its taxes by one year.

Under the repayment plan, Microtel must repay the back taxes it owes over the next 12 months, while also staying on schedule with its taxes for 2021, with 16.9 per cent interest. Should the company pay the county back on time, they would get credit – effectively reducing that to six per cent.

“I think we would be remiss to not help these folks. We’re still charging six per cent but we’re getting them back on track,” said Red Deer County Mayor Jim Wood, noting no one a year ago could have predicted the financial repercussions stemming from the COVID-19 pandemic. “If anyone in this industry was to come forward to us I’d have a really hard time saying no.”

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“I think it’s great that we can offer this, not only to oil and gas,” said Councillor Dana Depalme.

Three oil and gas companies are already using the repayment plan.