RMWB council approves investigating selling, demolishing unused assets

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Council has asked administration to investigate selling or destroying assets owned by the Regional Municipality of Wood Buffalo (RMWB) that are not being used or have “low repurpose potential.”

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The motion was presented by Councillor Lance Bussieres at their July 10 council meeting. He came up with the idea after seeing the vacant fire hall in Gregoire during a drive, as well as vacant lots on MacIver and MacLeod streets expropriated by the municipality in 2013.

“I’m sure there’s other assets and maybe we could have someone look into it, whether we sell them or donate them or turn park space,” said Bussieres. “Maybe there’s no interest in the Gregoire fire hall or the vacant lots, but they’re not doing us any good by just sitting there.”

Mayor Sandy Bowman called the idea “a great initiative” and added he had noticed the vacant fire hall. CAO Henry Hunter says identifying assets is part of an upcoming asset management plan, which he said will be an ongoing policy. Hunter said the Gregoire fire hall has asbestos issues.

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The motion passed unanimously, with Councillor Loretta Waquan absent from the meeting.

A June 25 presentation to council said the municipality has at least $6.45 billion in assets. This does not include $211.3 million in assets owned by Wood Buffalo Housing. Without changing how the RMWB spends and generates revenue, Chief Financial Officer Laurie Farquharson says the municipality faces a deficit of $732 million during a ten-year period.

Meanwhile, Farquharson said at a June 25 council meeting the municipality is $60 million behind on maintenance. A permanent asset management team is still being established for the RMWB’s corporate services division.

The next steps for asset management, said Farquharson, includes finding assets for “divesting” or “retirement,” and developing lifecycle plans for critical infrastructure.

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“This is still early days of of what it’s going to cost us and obviously it is going to cost us more,” said Farquharson.

A report to council says “immediate and long-term rehabilitation efforts” are needed for municipal roads and bridges. Many of those assets are ending their lifecycle or have “significant amounts of backlogged maintenance.” Water treatment plants need upgrades and expansions. Public buildings, such as libraries and administrative offices, need renovations and upgrades.

The report also mentions that investing in parks, sports facilities and community centres “are essential to support the well-being and recreational needs of the region.”

Several major capital projects are also being built or in progress to support future growth. The report mentions a price tag of more than $270.6 million for flood mitigation, although this report was presented before council sent sections of Clearwater Drive back to the drawing board.

Bringing running water and sewage services to Anzac, Conklin, Gregoire Lake Estates, Janvier and Saprae Creek Estates is costing the RMWB $197.2 million. Other rural infrastructure upgrades and maintenance projects costs $123.9 million.

The Saunderson pressure reducing valve project costs $47.6 million. The RMWB’s Northern Operations Centre costs more than $50.6 million. The Northside Twin Arena project costs $50 million.

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vmcdermott@postmedia.com

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