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ROTHENBURGER – Can taxpayers be convinced to foot a $275 million bill for PAC Plus?

Slide from presentation to City Council.

GO BIG OR GO HOME could be the slogan for plans to build more cultural and recreation facilities approved by Kamloops City council today (June 25, 2024).

Taxpayers will be asked to approve $275 million toward projects to be built over the next several years. The money will be used to build the long-talked-about Performing Arts Centre and an arena multiplex, as well as continue planning and design for several other projects.

But the ask for borrowing authority won’t come via a traditional referendum; rather, it will be done through an alternate approval process, commonly still known as a counter petition, with a still-to-be-announced timeline.

Instead of going to the polls and voting yes or no as they would in an election, they’ll either return forms to the City to indicate their opposition, or not return them, in which case they’ll be counted as being in support.

It’s a system usually reserved for essential infrastructure such as water and sewer plants and it’s risky when it comes to optional projects such as sports and cultural facilities. If 10 percent of the “no” forms are returned, the request fails.

The last time an AAP was used in Kamloops was for a proposed multi-storey parkade that would have been built on the parking lot in front of Riverside Park. A counter petition in October 2011 easily shot it down.

There’s a bit of a difference between the counter petition process of 2011 and the APP of 2024. Back then, actual petitions could be circulated by opponents for people to sign. Nowadays, response forms are made available for eligible electors to pick up and return. They can be single response forms or designed so that multiple electors can sign one form, so it amounts to the same thing.

Technically, if the 10 per cent threshold is reached, the City could then push ahead and hold a regular referendum but it’s unlikely that would happen. Coun. Mike O’Reilly already says one good reason for using the alternate approval process is to save the cost of having to set up polling stations. If the counter petition rejects the borrowing, the dream would probably be dead, well, maybe forever.

So what will electors be asked to approve? The PAC, or Kamloops Centre of the Arts, has ballooned in recent years from $70 million to $120 million and now $154 million, with $140 million of it coming from local taxpayers. That’s one loan authorization bylaw.

(City council already approved $7 million for design work, and spent just short of $5 million to purchase the old Kamloops Daily News property on Seymour Street as the site several years ago.)

A second loan authorization bylaw would be for $135 million to build a four-sheet arena multiplex at 2070 Hillside Drive near the main entrance to Kenna Cartwright Park. Actual project cost would be $140 million plus another $10 million to develop and design additional facilities including an indoor field house, leisure aquatic centre and a new curling rink and racquet courts.

Money would be borrowed in stages, with taxation boosted accordingly. Council was told today that the owners of an $800,000 home would face only a $25 annual tax increase each year for five years — presumably compounded.

Fundraising, senior-government grants and cash on hand would help make up the difference between borrowing and the actual cost.

Council members unanimously praised the plan and voted 9-0 in favour of the necessary borrowing bylaws. It’s good to see the council come on board after earlier reticence in the Ken Christian era but there will, naturally, be many questions.

Parking for the PAC is still a question, though City staff offer assurances there’s no shortage of downtown parking places. Never mind that as far back as 2000, the need for a third downtown parkade was identified.

The approval process itself will likely be controversial.

The big issue, though, will be the staggering $275 million number. As exciting as the prospect of all these civic amenities is, there will be a lot of explaining to do in order to convince taxpayers they really can afford it.

Mel Rothenburger is a former regular contributor to CFJC-TV and CBC radio, publishes the ArmchairMayor.ca opinion website, and is a recipient of the Jack Webster Foundation Lifetime Achievement Award. He has served as mayor of Kamloops, school board chair and TNRD director, and is a retired daily newspaper editor.  He can be reached at mrothenburger@armchairmayor.ca.

About Mel Rothenburger (10484 Articles)
ArmchairMayor.ca is a forum about Kamloops and the world. It has more than one million views. Mel Rothenburger is the former Editor of The Daily News in Kamloops, B.C. (retiring in 2012), and past mayor of Kamloops (1999-2005). At ArmchairMayor.ca he is the publisher, editor, news editor, city editor, reporter, webmaster, and just about anything else you can think of. He is grateful for the contributions of several local columnists. This blog doesn't require a subscription but gratefully accepts donations to help defray costs.

9 Comments on ROTHENBURGER – Can taxpayers be convinced to foot a $275 million bill for PAC Plus?

  1. And think.
    If the ‘No option 2’ PAC referendum passed years ago under Mr. Milobar for $70million … we would all be watching shows there now, and also using the parking structure as a part of the facility … and yet, today the bill is $154million. Now I wont argue that I didnt like that particular deal either … but it was out there.

    The lesson learned? Maybe climb off the anti-anything pedestal when voting for such a thing … its not that we suddenly dont need the facility, the idea will just come around again at twice the price. You’re just making it more expensive.

    Personally I like this type of alternate approval process. If the ‘I dont like anything’ crowd really wants to fight it, they have to get up, go out, organize themselves and do something. The rest of us will just enjoy the facility like we always wanted to.

    I do wish the Sports facility on Hillside wasnt jammed in with this. Makes a total amount to borrow mind-bogglingly large, and muddies up the intent for use … music-culture and sports. Should have kept these separate.

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  2. Bob Gamble // June 26, 2024 at 2:34 PM // Reply

    Hats off to the Build Kamloops for putting forward an exciting and well thought out plan for moving Kamloops forward.  “Build Kamloops” is following in the footsteps of other Kamloops visionaries.  I can only look in awe at the positive outcome “Tournament Capital” branding has achieved.  

    Can hardly wait for the day we can go to a concert that isn’t housed in a concrete echo chamber and sit in comfort.      

    Another feather in the cap of Council, following on the heels of the exciting housing announcement.  Was particularly impressed with the manner in which Councillor Neustaeter City represented the City.  

    Job Well Done!

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  3. stargazedb9fb8269a // June 26, 2024 at 10:19 AM // Reply

    Typical of a council that uses it’s power to abuse the mayor, to think they can do the same with the tax payer. It’s a systemic problem!

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  4. This is to me along the same vein as negative billing, you pay unless you opt out. I remember not long ago the great out cry about this but now politicians are trying to do a dirty trick on our citizens. Will they spend as much letting people know of the negative option as they will tooting their own horns?

    Liked by 1 person

  5. Those grandiose ideas from McCorkell and staff come at a great cost to build, maintain and replace/renovate (life span of a building according to the McCorkell way of doing things is usually around 30 years). Said grandiose ideas also have a huge environmental impact, hence the concept of true sustainability is pretty much out of the window. Notwithstanding the fact that I care zero for hockey (for various reasons), if they were smart they would invest (and indirectly offset the carbon/environmental footprint) in major cycling infrastructure. Cycling is a major tourist attraction and a great form of transportation.
    BTW, Neustaeter’s comments are crass.

    Liked by 1 person

  6. John Noakes // June 26, 2024 at 4:57 AM // Reply

    Mel, I was particularly unimpressed by having Councillor Neustaeter make a very important announcement to the citizens of Kamloops.  On the CFJC web site, she is quoted as saying, “This is no longer a conversation……….I would invite people to make sure and take their heads out of the sand and out of the weeds”.

    Maybe this flow of delirium wasn’t meant to be such an insult but in actuality, it was. Are we to take this as a statement of fact from a person who comes across as being a spoiled, entitled and conceited individual?

    I wish the municipal election was this fall instead of it being a Provincial election, Councillor Neustaeter.

    Liked by 1 person

    • Yes, I was shocked by Coun. Neustaeter’s comment as well. Who does she think she is? And more importantly, who does she think we are? Feeble-minded children who need to be told what’s best for us?

      Most of us would not pay $millions for architectural plans before we knew if they would be needed. In the real world, first you see if you can get a mortgage, then you commission the building plans. By paying $7 million up front for the plans, council must be pretty certain that taxpayers will support the borrowing. I wish I had their crystal ball.

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  7. The answer to the question is of course not.

    BTW, the grandiose Tournament capital ranch is as green as it can be and weed-free. Oftentimes there are more City’s employees “working” up there than users. But can you imagine the millions of litres of water drawn out of the river to keep it THAT green?

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