Iqaluit spares aquatic centre project from dump-dousing expense

Council agrees to dig $1 million shortfall out of budget reserves

By PETER VARGA

Iqaluit’s dump fire cost the city at least $2.75 million to put out, and left the aquatic centre project short of $1 million. The city will cover the shortfall by digging into its reserve funds. (PHOTO BY PETER VARGA)


Iqaluit’s dump fire cost the city at least $2.75 million to put out, and left the aquatic centre project short of $1 million. The city will cover the shortfall by digging into its reserve funds. (PHOTO BY PETER VARGA)

Iqaluit’s bill to put out the summer-long dump fire swept almost $1 million away from its $40 million aquatic centre project, which the city will cover by digging into its reserve funds.

The estimated $2.75 million bill to put out the dump fire caused the city to fall short on a reserve fund for the aquatic centre project by $998,288, according to the city’s chief administrative officer, John Maberri-Mudonyi.

After some debate about who was to blame for the near-$1 million shortfall, council agreed at a Dec. 9 meeting to follow advice from administrators and cover the amount by taking it out of the city’s “non-restricted reserves.”

Councillor Kenny Bell opposed the motion to cover the shortfall pointing out that the non-restricted reserves are meant to cover city expenses that should have higher priority.

“There’s things on here which we know are not up to par,” Bell said, highlighting various items earmarked in the reserve funds including road paving, street lighting, marine infrastructure and vehicle replacements in all city departments.

“We’re basically taking money out of every single fund in the non-restricted reserves,” he said.

Bell mentioned how he once called on council to use the reserves to “fix our infrastructure,” particularly roads, water and sewer services.

“And now it will be used for a project that is a Cadillac,” he said.

Coun. Romeyn Stevenson disagreed, pointing to the dump fire and the territorial government’s unwillingness to help cover the cost needed to put it out.

“This is money the government should have helped us with,” he said, adding that government aid came in the form of firefighting equipment and a charter flight.

“That’s all they did,” he said.

Stevenson said the $998,288 is, ultimately, paying off the dump fire bill.

“We planned to put money into the pool reserves, but we didn’t put any into it because we were paying for a dump fire,” he said.

Stevenson said when the city asked the Government of Nunavut for financial aid to help cover a plan to douse the fire, the Department of Community and Government Services replied that the city should pay for it out of its own reserve funds.

“They told us we had lots of reserves, so we didn’t need support to put out the fire,” he said.

Council voted 4-2 in favour of moving the $998,288 from $1.4 million in unrestricted reserves to help cover a $4 million aquatic centre reserve, which the city needs in order to pay off a loan from the Bank of Montreal.

Bell and Coun. Terry Dobbin each voted against the motion.

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