Thursday, September 07, 2006

Funding not what it seems

Managing Editor David Wylie EDITORIAL Sept 7
http://www.dailycourier.ca/
Last week we challenged Okanagan-Vernon Liberal MLA Tom Christensen to deliver at least $40 million in funding for Vernon’s much-needed water infrastructure.Local outrage over the provincial government’s “gift” of $40 million for Penticton’s mammoth events centre – which would house two ice rinks, the B.C. Hockey Hall of Fame and an indoor walking track – sparked our call for equity.If the government could pay that sum for an events centre, surely it could ensure our community isn’t saddled with hefty tax increases to make critical upgrades for safe drinking water? Couldn’t it? Since that challenge, more details have been flushed out about the source of Penticton’s funding, and we’ve heard back from Christensen.A clever local blogger (vernonblog.blogspot.com) has done the digging and the math, piecing a picture of funding sources together from news stories, council budget figures and B.C. LottoCorp numbers. According to him, it seems Penticton’s city council agreed to take only 10per cent of its local casino cut – rather than the more than 16 per centthey were netting. That freed up about $1 million a year for 13 years to fund part of the project.The rest of the tab is actually being picked up by Lake City Casino, as it’s giving up for 13 years the estimated $2.4 million set aside from its profits annually to pay for capital improvements. So in actuality, Penticton residents are paying $12 million and Lake City Casino is paying $32 million into the pot. No wonder Christensen argued the money came from a different funding stream. It appears not a penny of it actually came from the provincial government – even though two of its other Okanagan MLAs acted as if it did.When we talked to Christensen this week he reiterated that the cash for Penticton’s project came from a different revenue stream (gaming revenue) than funding for infrastructure. He said the provincial government is in the midst of negotiating with the feds for the next big round of infrastructure dollars. In the meantime, Christensen said every time there’s a boil water advisory in the North Okanagan, he drops the release on his colleagues’ desks in hopes they’ll get the message, and said he’s been arguing the provincial government should reward local governments – such as Vernon – which spend time and money coming up with a solid plan.“I’m not sure what else I can do to help it along other than keep it at the top of their mind,” he said.And Christensen can be sure the community will continue to keep funding for the water plan and Vernon Jubilee Hospital at the top of his mind.–

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