Bruins Continue to Roll
⇢ B1
Hitting The Hills
⇢ A3
January 15, 2014
Library Remains Busy Place
WEDNESDAY
Racing down the snow-covered hill by Westview were Queen Lontoc, who got the jump on Ella Garrate as the girls enjoyed the weekend’s fair weather.
Elecs Finish Fourth At Home Basketball Tournament
www.estevanmercury.ca
⇢ B2
Issue 37
Regional College presents Bakken study Will now decide whether or not to move forward on housing project Armed with a report on the impact of the Bakken oil formation on Saskatchewan, the head of the Southeast Regional College is working on plans to develop an affordable housing project for Estevan. Dion McGrath, the president and CEO of the college, was the featured speaker at the Estevan Chamber of Commerce’s monthly luncheon last Wednesday. During his speech at the Saskatchewan Energy Training Institute, McGrath provided an overview of the report and touched on the next steps in their quest to develop a housing project that could provide accommodations for students and others in need of housing.
Trimount Moving To Next Phase
⇢ A5
Southeast Regional College CEO Dion McGrath was the featured speaker at the Estevan Chamber of Commerce luncheon last Wednesday.
The lack of affordable housing has been a lingering issue in Estevan for five years and the problem has had a detrimental impact on the community in a variety of ways. One particular problem he pointed to was how the lack of housing and high rental prices have made it very difficult for local businesses to find employees and grow their operation. McGrath said the college has not been immune, as the inability to find affordable accommodations has chased away many potential students. Because of that, he admitted the $14 million institute is underutilized. To help them build a business case to present to
both the federal and provincial governments as well as the business sector, the college commissioned McNair Business Development to create a report on the Bakken play and the impact it has had on the province. Furthermore, the report shows how an investment by government and the private sector would help improve the situation. “Here’s one of the key questions that we wanted to know; if we could actually address the housing situation that seems to be a bottleneck to economic growth because jobs can’t get filled, businesses can’t expand, opportunities can’t be captured … what could that mean? Would that unleash more growth?” → A2 Decision
City council approves borrowing of $7.5 million
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As the City of Estevan works towards using better financial practices, council has passed a bylaw that cleared the way to borrow $7.5 million. The bylaw, which was passed at the Jan. 6 regular meeting of council, authorized the borrowing of money to cover overdraft amounts relating to the past construction costs of various capital projects in the city, according to information released at the meeting. City treasurer Jeff Ward elaborated on the bylaw, noting that some of their projects went over budget, which forced them to go into their overdraft.
“Technically every year any overdraft should be termed out so you have a separate payment schedule on it,” Ward said. “Our overdraft was $9 million and that is not a very good way to operate, so we termed that out and we are back to even. Now, we can use that $9 million to dip up and down and at the end of the year. We should be positive based on our budget. That is something that wasn’t being done (in the past), the overdraft wasn’t being termed out.” Ward added the City recently received approval from the provincial government as well as their bank to increase their overall debt ceiling to $55 million. He noted that increase allows
them to keep their overdraft available to them, which helps the City deal with the fluctuations in cash flow they face throughout the year. “You have a whole bunch in July when the tax notices go out, some in January and some in December based on tax notices. Even though we won’t need to get to that $55 million we have the overdraft to go up there and come back and down. “We are not borrowing to be right at $55 million to spend it on something, we just need that buffer; we can’t be riding the debt limit,” said Ward who added the City’s current debt is around the $40 million mark. In the bylaw it was also noted the source of repayment will be the general revenue fund and utility fund.
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