LAC STE. ANNE COUNTY A YEAR IN REVIEW #5

LAC STE. ANNE COUNTY A YEAR IN REVIEW #5 

This the 5th segment in LSARA’s Year in Review. We took the day off for our Question Review and provided a Review of the proposed LUB changes. If you haven’t had a chance to review it, may we suggest it to  be a great idea to before April. The proposed changes may or may not affect you. You may or may not appreciate the changes. What we do know, is that if you haven’t taken the time to inform yourself, it will be all over with no recourse if the proposed changes do have the ability to impact you.

In continuation, we are on question #10. Do you have any further questions or comments regarding the first four posts? For those of you who have contacted us, thank you. Let us know we are on the right path and that we continue to provide relevant, timely information that matters to you. 

QUESTION #10 - How and where are tenders advertised for items such as the roads the County is currently looking at upgrading?

LSAC Response - Construction Tenders are advertised on the Alberta Purchasing Connection (APC). The APC is an easy to use Government of Alberta tool that lets public and private sector users manage, advertise, distribute, and download public purchasing  opportunities for goods, services, and construction in Alberta.

Had LSARA responded we would have asked how much of the paving that was done in the last two years was actually put up for tenders? Was the first paving done with a company, possibly by tender, and then that company was just given the remainder of the previously unbudgeted work? Is that possible or probable? We believe it is. We believe that the “thought” was it would be less to keep the company working performing the work they had underway. In the Alberta economic climate it is ALWAYS a good idea to tender. When you are ultimately spending Ratepayers contributions to the Budget, it is ALWAYS a good idea to ensure fiscal responsibility. 

QUESTION #11 - What was the final tally of the cost of the paving that the most recent 1.5 million was borrowed for?

LSAC Response - The three most recent borrowing bylaws are 25-2017 - TWP RD 544 for $1,900,000. 20-2018 - Various construction of base and paving projects for $1,792,250 and 20-2018 - TWP RD 590 for $2,200,000. If you could clarify to which project you are referring additional information may be available. However, as the majority of these projects are not closed, final costing is likely not yet available. 

• Bylaw 25-2017 to incur indebtedness by the issuance of short-term borrowing in the amount of $1,900,000 for the purpose of financing the construction of TWP RD 544 Base and Pave.
• Bylaw 20-2018 to incur indebtedness by the issuance of short term borrowing in the amount of $1,792,250.00 for the purpose of financing the construction of base and pave capital projects of the Paddle Dam Road, Highway 43 to Phase III, Range Road 65, from Highway 43 to the Administration office 2nd entrance; 54 Ave Sangudo, from 50 Street to Campground and Township Road 540 and Range Road 52 to Range Road 54 (Silver Sands).
• Bylaw 23-2018 to incur indebtedness by the issuance of debenture in the amount of $2,500,000 for the reconstruction of TWP RD 590. 

Had LSARA responded, this one would have precipitated many questions. You notice the short term borrowing? We don’t believe that is as a result of the wealth of the County. We believe it is due to two things. Short term borrowing cannot be petitioned. If that is where Council wants to borrow and spend, you can’t stop them. Short term borrowing is a term that is less than 5 years. The sneaky part here is they can be renewed! 

So LSAC borrowed $6,182,250.00 for paving. Were these roads all in the Capital Road plan? If they were not, why the deviation? It is also possible that monies were taken from “capital reserves”. Not sure how you have “reserves” when the debt continues to mount. In addition, you will recall, LSARA asked the question ( Review #4)  what was borrowed short term and what was borrowed long term. 

There are more TBD ( to be determined) responses to how much was borrowed and what the interest rate is for monies borrowed than there are numbers. Out of 15 responses for Outstanding Balance at Oct 31/18, there are 11 zeros. We ask again, how do you budget with so many unknowns? 

There is a great deal of information to digest from these question and answers snapshots. One of the ways to try to stay abreast of the actions of Council and Administration is to review the minutes and never be afraid to ask the hard questions, LSAC is a business and must be treated as a business that offers certain amenities and services for your taxes and fees you pay. You have every right as a Landowner, Ratepayer to understand how the money is being spent and managed. Are the needs of the County as a whole being met? If not, why not.  Stay with us for the next article in the series for more information on your County. 

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 Your comments and concerns are valued. Your membership is very important to us. We look forward to greeting you all at our Annual General Meeting March 31st at the GUNN Hall from 2-4 pm.  Stay tuned for Post #6 in the series.