City to provide no-interest loan to curling club

By COLLIN GALLANT on May 2, 2023.

cgallant@medicinehatnews.com@CollinGallant

City council is willing to provide a no-interest loan to the Medicine Hat Curling Club to get up and running next fall, approving the request unanimously despite concerns it could send a signal to other clubs with major capital requests.

Last month the privately operated but open membership club presented a number of options and arrangements that could get $1.55 million in repairs to ice-making equipment underway.

On Monday, council approved creating a bylaw to borrow up to the whole amount while the club seeks a provincial grant for half the amount, collects an insurance payout and begins an internal fundraising effort.

Any new money would reduce the amount of the loan, said Cal Hauserman, the club’s facility chair, who added the goal is to borrow as little as possible.

“We’re very happy,” said Hauserman after the decision in front of several dozen curling club members in the gallery.

“We’ve been a vital part of the community for 130 years and we appreciate the support of council. Our board and members are committed to mitigating the costs as much as possible.”

The club’s brine system within the slab and ice-making plant both failed last autumn, and since then club and city facilities officials have discussed options.

The plan is to use portable ice mats to create sheets of ice on top of the existing slab, and well as purchasing a portable ice-making plant.

“Ice mats” are a system that rolls out to make temporary ice rinks, such as outdoor hockey games, and Hauserman said both could be ordered and operating by Christmas 2023. They could also be moved to another location or be sold, if needed, to pay off the loan.

As well, a provincial Community Enhancement Grant application would seek about $750,000.

The club is similar to some other local clubs in that it owns its building, but leases the land beneath it from the city. That makes securing loans with banks difficult and in the case of golf courses, the city has provided loan guarantees and provided smaller no-interest loans in other cases.

Coun. Darren Hirsch said he sees the need for such clubs to better plan for capital and maintenance. In the curling club’s case the slab is 60 years old, about 10 years beyond its maximum expected lifespan, and planning should have started years ago, he said.

“We have a multitude of service groups in the community, some who lease facility and some who create a thriving enterprise without the help of the city,” he said.

“The reality is we find ourselves as the City of Medicine Hat having to come in and strategize to fix a problem.”

Coun. Andy McGrogan said considering the potential for more requests, he would like to see a standardized position developed.

“It’s a big ask and I’m concerned,” he said. “I would feel a whole lot better if we had a standard approach to how we deal with these sorts of requests.”

Other councillors voiced support and said the city had a responsibility to support a solution developed by the club.

“Many people may not be passionate about curling, but we’re here to provide services to the community,” aid Coun. Allison Knodel. “We’d do a disservice (not supporting them).”

Coun. Ramona Robins called the club’s plan “creative,” and Coun. Shila Sharps supported the motion stating the club has taken responsibility.

“I see continuing efforts on their part to make sure they are viable,” she said.

Other options included providing the entire amount up front, then recovering amounts as grants and other dollars came in.

“The consideration was to limit the financial exposure of the city while still providing support to the club,” public services commissioner Brian Stauth said.

Coun. Robert Dumanowski said the city makes investments based on the needs of the community, often with no financial advantage, such for pathways or operating pools at less than break-even.

“It’s an investment and having confidence in the group,” he said, but warned the club that raising money may be difficult.

“When there’s a fundraising effort after the project is announced, it’s hard to get much enthusiasm because the money is already in place.”