We find out to much fanfare last year that we have a deal to
take down the old hospital and build a hotel.
Medican despite the fact that they just came out of CCAA
court protection are the lucky winners of the hotel sweepstakes.
We are told that they are going to pay us $1.1 million for
the property! Well not really we find out in dribs and drabs of information
that they are getting an $800,000 credit for the demolition of the building,
$100,000 from the municipality to build a park and $200,000 cash will hit the
municipal coffers.
It was a con job to say the least there (As I have stated on
this blog numerous times) was two bids under the $800,000 in fact yesterday
Frank Bessinger Director of Public works confirmed that they had a low bid of
$577,000.
So why didn’t they say to the public we sold the building
for $777,000 ($577K for demo and $200K cash) did they really think Medican was
going to use the high bidder?
Then the story gets dragged out for five months because they
were waiting for Best Western to let them have their name. Lets get real the issue
was Medican did not come up with the $8-10 million to build a hotel.
Then just a mere few weeks back the next saga of this tale
pops up Group Vachon paid up front $50,000 to file the application with Best
Western for the name and rights to the franchise. But there is a deadline July
26 Mr Vachon can with draw his application at that point and get his $50K back.
Or the municipality can put up the $50,000 and maintain the application and the
rights to the Best Western name and franchise for two years.
First impression sometimes you have to spend a little money
and take a chance to make something work, so the municipality spends $50K to
take ownership of the name and rights to the Best Western. Surprise the town
owns NOTHING Group Vachon owns the rights to the Best Western name. If any
other businessman is thinking about buying a franchise for the Pass just
approach council tell them that you will build within two years and maybe they
will pay $50K towards the cost of the franchise for you.
Then just minutes before they vote Councilor Gail asks the
question “If this doesn’t work out in two years I understand we will get most
of our money back except for a few thousand dollars for the administration
costs?” Administration tells him we will take the $50K out of land reserves and
put it back when we sell the land that the centre is sitting on.
Well if the land was sold for $500,000 you will not really
be getting that amount because the first $50k will pay for the rights to the
franchise.
So lets be an optimist and say there is another hotel
waiting in the back ground to snap up this golden opportunity to own a Best Western
hotel in the Crowsnest Pass.
But there is an answer our Economic Development Officer
recommends we go on a marketing blitz of the site for the next three months
(August, September, October somebody will be selling hope by say late October).
She also informs us that there are three conferences coming up in Calgary ,
Vancouver and Toronto
she suggests that council sends her to those conferences to meet with al those potential
investors the one’s Medican couldn’t find.
These guys need to tell the truth there is a $50K
expenditure of taxpayers money being made to maintain the rights to a Best
Western for Group Vachon. The municipality owns NOTHING the taxpayers takes all
the risk. Another Investor comes in and wants to go with Holiday Inn Express
are we going to say NO?. Two years runs out the $50K got us what?
I think I have made myself very clear where I stand on this issue.
Kudos to Councilors Saindon and Saje who voted against this in a sincere way and stated why they didn't not some phony No vote. Because they knew it was going through any way and just wanted to be able to stand up at a forum in October and say I never voted for that.
