The very latest, shared with the usual disclaimer....
NOTE: The first version is the electronic version posted to the internet just before 11am EST. The version in the quote box, sadly, was in today's paper, but was written last night - oopsie!!!!!!
City and Department of National Defence kill agreement
North Bay Nugget, 30 Jan 07, updated 1059EST
Article Link
The Department of National Defence and the City of North Bay have agreed not to pursue the letter of understanding regarding operations at Canadian Forces Base North Bay.
The intent of the 1998 proposal would have seen the city take over many services associated with the operations and maintenance of the base, in exchange for DND agreeing to remain in the city for 20 years.
Citing changing economic, social and political conditions, DND recently notified the city it would no longer be pursuing an agreement.
“This is a relief for local taxpayers”, said North Bay Mayor Victor Fedeli.
“We’re thrilled that CFB North Bay is here to stay for the foreseeable future and that the defence department will continue to support it in the same manner they support all other Canadian bases. This is a real win-win situation and allows the local base to operate on its own, without the participation of the municipality. CFB North Bay and the military families are an integral part of our larger community.
"These fine men and women are our little league coaches, our blood donors, and our volunteers for every group imaginable. This is a great day for all parties.”
The letter of understanding proposed declaring many DND facilities as surplus, turning them over to the city, and leasing them back for DND to use for a period of 20 years.
City staff or contractors would have been responsible for some of the operations and maintenance at the mess hall, recreation centre, police, streets, sidewalks and park areas.
The fate of the former Norad underground complex is still under review by DND.
DND has stated to the city that considering the events of 9/11 and the recent Canadian Forces transformation, a re-evaluation of the needs and requirements of realty assets at 22 Wing is now underway, and a decision is expected in 2007.
City, feds reach deal on base
Gord Young, North Bay Nugget, 30 Jan 07
After years of wrangling with the Department of National
Defence, the city has renegotiated a deal that could have cost more
than $50 million over 20 years.
Details were to be announced this morning during a news conference
at city hall.
But the renegotiated deal guaranteeing Canadian Forces North Bay
continues to operate will likely be an improvement over the
previous agreement reached several years ago in which the city
would have shouldered millions of dollars in military cost savings.
The original deal was struck in 1998 by the city and the federal
government after Ottawa threatened to close the base and move as
many as 600 jobs to Winnipeg due to budget cuts.
The agreement, however, was never finalized because municipal
politicians, including Mayor Vic *Fedeli* and deputy mayor Peter
Chirico, rejected the terms shortly after taking office in 2003.
The newly elected council cried foul over a letter of
understanding between the city and defence department agreed to by
former mayor Jack Burrows, former chief administrative officer Tim
Sheffield and former Nipissing MP Bob Wood, suggesting the ill-
conceived "cost sharing" deal would cost North Bay taxpayers
million of dollars annually.
The agreement was supposed to take effect when Norad operations
moved into the new $25-million above-ground complex, which
officially opened last October. But the city has been lobbying
Ottawa to scrap the deal, suggesting municipal taxes shouldn't be
used to subsidize the Canadian military.
According to documents obtained by The Nugget, the deal could have
cost the city as much as $52 million over two decades - $1.1
million annually in lost taxes and another $1.5 million each year
to provide services at the base such as snowplowing, policing and
fire protection.
Under the agreement, the city would have assumed ownership of the
land and most of the buildings at CFB North Bay, footing the bill
for operations and maintenance, while losing out on the taxes it
once collected.
The deal also called on the city to provide services including
food, medical and dental, a recreation centre, family resource
centre, auto and ceramic clubs, and a chapel.
The defence department, meanwhile, would continue to operate the
base for at least 20 years, ensuring hundreds of jobs remained in
the city.
The city was also to assume the underground complex as part the
deal, but it's not known whether that's included in the new
agreement. *Fedeli* has been marketing the underground complex as a
potential data storage centre, hoping to attract a large "IBM-like"
company to the city.