April 2002 City Scoop Continued

FIELDHOUSE CONTINUED:  In effect, the study confirmed and validated what the city already knew -- that the facility will not be self-sufficient.  The city's baseball fields, soccer fields, tennis courts, tot lots, park shelters, sport court, Public Works Garage, Acorn House, Village Hall, City Offices, and other city sponsored amenities are also not self-sufficient. 
Cost of the Springsted Study did not exceed $7,000.
On March 14th, Council selected the financing option for the field house, as recommended by Juran and Moody, finan-cial advisor for the City of Victoria.  It will be a combination of bonds and equip-ment certificates.  The 25-year bonds will be paid by park dedication and general fund money as well.  Other happenings from the March 14th public hearing are reported on the front page of this edition of the Gazette.

IS THE ACORN HOUSE FOR RENT?
LEGAL ISSUES AND OTHER CONCERNS
Council held a workshop on February 28th to review and discuss how the Acorn House at Diethelm Park is being used.  Specifically, the issue centered on the fact that Parks and Rec Director Mary Saarion entered into a financial agreement with Dawn Peterson of the Tamarack Learning Center without consulting city staff or city council.  Park and Rec offices are located at the Acorn House.
According to the agreement, the pre-school pays the City of Victoria $240 rent each month for use of the Acorn House.  Vicki Bont, newly appointed member of the Parks and Rec Committee, said that other groups such as the Lions and Boy Scouts also use the place, and that the Learning Center is a not for profit busi-ness.
Stated Mayor Mary Meuwissen, "We want to make sure it's open to a process, to make sure that process has happened properly.  It's never gone through the city council process ... Nobody else is using the place for an entire block of time.  We can't all come in and ask to run a pre-school there for daytime hours.  An offer never went out to other businesses.  Also, what should the city be paid for this?"
Continued the mayor, "Mary Saarion set up a charge of $240 a month.  None of it was brought forth to the council.  There was never a presentation where Tamarack Learning Center was going to come in and operate a preschool program.  The oppor-tunity wasn't opened up to others.  What is the fair market value?  What are the op-portunities ... It's going through the pro-cess that allows the opportunity ... Others in the city have asked if there were oppor-tunities in the city.  We've said, 'No.'  I think we should have [Administrator] Steve Sarvi set up a process so a contract can be drafted."
Mayor Mary pointed out that she was not against a preschool.
Agreed Councilmember Richard Tieden, "It's not that we have a problem with the preschool program, but there are legal issues.  Those other groups are not there as nonprofit organizations.  That's not how the Lions and Boy Scouts are set up.  They are not being paid salaries."
Stated Dawn Peterson, owner of Tamarack Learning Center and also a member of Park and Rec, "The salaries are to people who run the program.  And we used all of our own equipment.  Everyone knew it was there."
"I beg to differ," stated Mayor Mary.  "Richard Tieden, Jerry Bohn, and Dave Lindgren didn't know ... As a taxpayer I feel cheated that we're allowing a busi-ness to pay only $240 a month.  The utili-ties alone are above that.  How many others have had the opportunity to partner with the city?  Mary Saarion does not have the authority to sign a contract like that."
Mary Saarion passed out information to councilmembers that evening about partnerships between other cities and various organizations and stated, "If this city doesn't want to do that, it gives me direction that this city doesn't want to do partnerships."
Replied Councilmember Tieden, "It's not that we don't want to do partnerships.  We don't have a problem with the con-cept, but we do not feel it was your posi-tion to do this.  Our city attorney believes it needs to have further evaluation so we can move ahead responsibly."
Richard further clarified, "Dawn Peterson is the owner of this corporation and she's also on the Park Board.  What about the appearance of conflict of inter-est?  There are legal considerations and significant concerns.  No one else is rent-ing this Acorn House on a daytime or nighttime basis.  We would not be good stewards of the community if we didn't look at this.  There is no financial agree-ment with the city and those other groups ... This is a whole new venture.  We haven't had that facility that long.  We just brought it up to code.  We're not arguing the merits of preschool.  That's not the issue.  We have to stay on top of things.  We're doing the responsible thing of addressing that issue."
Stated Jane Chapman, member of the Parks & Rec Committee, "What do you mean conflict of interest.  I don't under-stand."
Mayor Mary referred to the youth activities at Tamarack and the Acorn House and asked, "When you're buying equipment, who is it for?"
Stated Councilmember Dave Lind-gren, "It benefits the people, the residents, the families, and it has value.  What if there were 60 people wanting to rent this place?  Does it go to the highest bidder?"
Mayor Mary said that a process will allow opportunity.  She made a motion for the city administrator to establish a pro-cess and do an evaluation of price.  The motion passed 3-0.  Jerry Bohn was ab-sent.

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On March 28th City Administrator Steve Sarvi presented to council what he saw as the basic issue:  Is a pre-school a good use of our facilities?  Does it offer value to the community and to the Park and Recreation programming?
"We need guidance and direction from council," he said.  "Currently, 17 of 29 families that use Tamarack Pre-School are Victoria residents.  These parents need to know the status of the school because if it is closed, they need to find an alterna-tive.  In reality, most pre-schools already are filled for next year."
As for process, said Steve, the city could use an RFP to see who might be in-terested in using the building.  He said he'd recommend at least two to three-year contracts for a preschool "so folks have a good idea it will be operating."

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