Penhold council has waived the massive firefighting bill against Wild Rose Manor owner Jim Guilbault, whose 18-unit apartment building was destroyed last spring by a devastating fire.
During the regular Oct. 27 Town of Penhold council meeting, Guilbault appeared in front of council and presented his objections to the $131,864 bill for fighting the fire, which claimed his apartment building on April 10.
The bill included water costs of $19,923, town staffing at $3,798, a fire foam bill for $6,621, another $76,600 for fire units, and miscellaneous repairs and interest for $17,666, which brought the total to $137,138 including interest.
During the meeting Guilbault said while his insurance company would pay $25,000 of the bill he would not pay the balance.
And he won't have to. Two weeks after the Oct. 27 meeting the Town of Penhold had a change of heart and Guilbault won't be stuck with any bill.
“I am pleased they (council) took the time to reconsider their options,” said Guilbault, who was not at the Nov. 10 meeting but was contacted later by the Province.
“We have been in Penhold for 30 years and all the taxes we have paid over that time should have covered the cost of the firefighting bill.”
During the following Nov. 10 council meeting administration recommended to council to make a major adjustment with its original claim on Guilbault.
“Administration has already received a cheque from Guilbault's insurance company for $25,000,” said Tricia Willis, corporate service manager for Penhold. She added administration's new recommendation to council was for Guilbault to pay $23,721 in external fees – monies the town was charged by external firefighting agencies – while the remaining balance be waived.
But council, after open discussion, decided not to charge Guilbault any further monies.
“Some charge out fully, while others just take the $25,000 the insurance companies pay and wipe out the rest,” said Mayor Dennis Cooper. “This is no longer a financial but a political decision.”
Coun. Mike Walsh initially motioned the town accept the $25,000 and act on administration's recommendation, which he believed to be the waiving of the remainder, $112,138.
When a vote was called and the motion was read aloud, he rescinded his motion when he realized Guilbault would still receive a bill for the $23,721.
During the discussion, Coun. Sharolyn Sanchez questioned the $25,000 insurance payment by asking if it was the highest amount any insurance company would pay for fire services.
“We have to be careful,” said Cooper of the motion. “By accepting the insurance payment, and writing off the remainder, we are now setting a precedent.”
After a short discussion, Coun. Walsh reintroduced a motion to write off the remaining bill of $112,138, which passed by a margin of five in favour and one against.
Cooper said with the town waiving monies against Guilbault it will encourage him to move forward in town with rebuilding on the former Wild Rose Manor site on 40 Esther Close.
“This was the best conclusion for both Guilbault and the Town of Penhold,” said Cooper.
Guilbault and Laebon Homes have submitted an application to rebuild a multi-family unit on Esther Close where Wild Rose Manor was located. The application was heard by the Municipal Planning Commission (MPC) on Oct. 8 but there were development concerns. MPC directed the applicants to make revisions to their proposal to have it conform to the town's Land Use Bylaw.
