Gananoque and neighbouring township feuding over arena costs

The Lou Jefferies Arena in Gananoque is the heart of the community.

More than just an arena, it’s a hub of activity four seasons of the year. But the costs associated with running the 48-year-old arena has caused a rift between the town and its neighbouring township, Leeds and the Thousand Islands.

The township usually picks up half of the operating costs but not this time around.

“When we submitted a bill they paid it. So for the 2016 reconciliation when they came in with a cheque for $85,000 and said well that’s what the contract says you know we were a little bit shocked,’ explains Erika Demchuk, the mayor of Gananoque.

Tweet This Click to share quote on Twitter: "When we submitted a bill they paid it. So for the 2016 reconciliation when they came in with a cheque for $85,000 and said well that's what the contract says you know we were a little bit shocked,' explains Erika Demchuk, the mayor of Gananoque.

The cheque was $25,000 short of what the town had asked for, about $110,000 in operating costs but the township says it doesn’t owe Gananoque a penny more.

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“To say we didn’t pay our way? Well, we’ve paid 100 per cent of what the agreement said we should,” said Joe Baptista, the mayor of the Township of Leeds and the Thousand Islands.

Tweet This Click to share quote on Twitter: "To say we didn't pay our way? Well, we've paid 100 per cent of what the agreement said we should," said Joe Baptista, the mayor of the Township of Leeds and the Thousand Islands.

The agreement, penned in 2011 states that the township will pay half of the operating costs up to $85,000. But since 2011, the capital and operating budgets have skyrocketed. And now Gananoque says it’s time to take a second look at the agreement and alter it if needed.

“Obviously, we’re going to go into negotiations for the contract. It is an old contract,” says Demchuk.

The township is on board but not until it receives more information about the arena.

“Right now we’re kind of flying in the dark. We don’t really know what the participation rates are and so we hope that we get that information from the town,” said Baptista.

In the meantime, the town is trying to cut back arena costs to bring them in line with the 2011 agreement, an operating budget of 170, 000. They’ve upgraded lighting and installed a compressor that recycles water to cut hydro and wastewater costs.