Council forgives remainder of loan

By Rob Vogt Local Press Writer
Claresholm town council has forgiven the remaining $6,450 on a loan the town made for the printing of the Claresholm history book.
At its June 27 meeting, council reviewed a report from administration stating in 2010 the Claresholm History Book Committee came as a delegation to town council, providing information they published 2,000 books at a cost of $106,344. They had already sold 900 and paid back $66,000 of that and were asking both the Municipal District of Willow Creek and the town for a $20,000 interest-free loan each, to be repaid as they sold the remainder of the books.
Council agreed to issue the loan and passed a bylaw to approve the loan. The loan was made to the Friends of the Claresholm Public Library because they are a non-profit organization, whereas the Claresholm History Book Committee is not registered as such.
That bylaw indicated if the loan wasn’t repaid within 18 months the group would come back to negotiate future repayment terms. That bylaw was replaced by a new bylaw, with the debt reduced down to $15,000 as $5,000 had been repaid, with a term of April 2014.
That bylaw was replaced with another one, with the $15,000 reduced down to $13,000, as an additional $2,000 had been repaid, with a term of April 2016.
From that date on, council did not pass any new bylaws relating to the loan. However, the committee continued to make payments, leaving the balance as follows:
2014 ‐ $13,000
2015 ‐ $11,000
2016 ‐ $9,500
2017 ‐ $8,500
2018 ‐ $6,500
2019 ‐ $6,500
2020 ‐ $6,500
2021 ‐ $6,450.
The group has traditionally paid off the loan with book sale proceeds. The committee has done extensive work in promoting the book via the Local Press, community functions and activities and at the museum and town office. There are approximately 750 books left and it is unlikely the group will sell enough to payoff the outstanding balance on the loan.
The M.D. loan to the committee has been paid in full. Approximately $4,000 was contributed by the M.D. through the M.D.’s councillor discretionary funds program, and another $4,000 was paid through a private donation.
Chief Administrative Officer Abe Tinney recommended council forgive the debt.
“Due to the contribution the (committee) has made, all the volunteer hours they’ve put in, the unlikelihood that they’ll sell enough books at this point in time to actually pay off the remaining loan, and just as a thank you and appreciation for their service over the years,” he said.
Coun. Mike Cutler asked where any money from any future book sales would go?
Coun. Kandice Meister said the delegation that appeared at the previous meeting said any proceeds would go to the library.
Council then agreed to forgive $6,450 owed by the Claresholm History Book Committee to the town, which is the remaining balance of the 2010 loan issued to the committee by the town in