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FROM CAPITAL PROJECTS RESERVE

Council approves $350,000 for Kinsmen Community Arena chiller

Aug 6, 2024 | 6:48 PM

Red Deer city council has unanimously approved a budget amendment to provide up to $350,000 in funding towards a new chiller installation at the Kinsmen Community Arenas.

The chiller is a piece of equipment that cools brine water to create and maintain the ice for the rinks at the facility. Given the number of sports organizations that use the location in the fall and early winter, administration brought the issue before council as an urgent matter.

In the August 6 regular council meeting, it was approved that the funds are to be taken from the Capital Projects Reserve. This reserve is designed for this kind of maintenance and repair work to City assets, CFO Ray MacIntosh explained.

The current balance of the Capital Projects Reserve is around $18 million, which may seem high, however the magnitude of the projects relying on that pot can utilize it very quickly, he said.

Coun. Cindy Jeffries asked what the impact would be if council were to hold off on taking action.

With no unexpected setbacks, administration said that the installation could take six-to-eight weeks at best. Any delays into the recreation season could have notable revenue impacts to the City, Kristin Walsh, manager of safe and healthy communities explained.

“Displacing that activity over that period of time, if we’re looking at October 1 to November 15, our best case scenario, we’re looking at $97,000, a little over that,” she said. She added that if that work extended into December, the total in lost revenue could reach $162,000.

Administration said it has been arranging potential alternative solutions to a delayed recreation season, such as earlier start times to accommodate shared space at other arenas in the event the chiller isn’t functional in time.

City Manager Tara Lodewyk said that normally, alternative options for the funding would be explored and also presented to council, however the time-sensitive nature of the issue made that difficult.

Related: Council to consider budget request for Kinsmen Community Arenas repair ahead of Fall

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