An unexpected and costly roof repair has put the St. Albert Legion in a deficit situation and it is looking for help from the city.
First vice-president and treasurer Dave Frizell appeared before council to lay out the state of the legion’s finances and the help it needed.
“We had some contact with the Community and Protective Services department and there was some suggestion there may be funding available this year out of the community capital grant program,” Frizell said in a later interview.
The legion rang up $157,000 in capital investments over the last couple of years, but the biggest item was unforeseen. The executive had planned on repairing the parking lot last year but was instead walloped with a $106,000 bill for a new roof. Combined with upgrades and replacements in its kitchen and some re-carpeting, the cost has put the legion into a deficit it is struggling to overcome.
“The roof could not be put off, otherwise we would have had been put into a mould or rot situation,” Frizell said. “We had planned to do the parking lot up until the roof was replaced. If we leave the parking lot too much longer, the whole thing will need to be ripped up and replaced.”
Frizell told council Monday the Legion was looking for any financial assistance the city might be able to offer now, despite the fact the intake for the community capital grant program for 2011 has already expired.
“We’re barely keeping our head above water these days,” Frizell said when asked by Coun. Cathy Heron why the legion couldn’t wait until the next intake for applications in 2012. “Without some additional grant money we wouldn’t be able to proceed with any of our projects.”
Mayor Nolan Crouse said that council hasn’t been watching the group’s finances but might have to start now.
“If it’s struggling to survive as an entity, maybe that’s not surprising because across the country some have struggled. It’s an issue,” Crouse said. “We haven’t talked about it.”
Crouse was hesitant about allowing the legion to apply for grant funding after the deadline, even though Heron encouraged Frizell to complete an application along with a letter identifying the specific amounts of its projects.
“I think they were coming with a last-ditch effort at the 11th hour, just before the budget was passed,” he said. “I think that would be bypassing the appropriate protocols.”
But Frizell insists the legion has few options available. It did have a gaming grant, but can only use it on a matching dollar-for-dollar basis. It receives much of its funding from the annual poppy campaign, but that money can only be used to assist veterans in need. Casinos and bingos also have restrictions on how the money can be used.
The only sure source of income is the facility’s hall rentals and its beverage and liquor sales.
“That is the biggest revenue source and the biggest expense,” Frizell said.
The legion is hoping any grant money council can provide can help offset its deficit.
“The gist of it was with the letter and the application, maybe we could offset some of our current deficit and get rid of our line of credit.”
