The Parkland Racing Association sent a representative to Yorkton Council Monday seeking that 2020 property taxes on the land where they have their stock car track, and the 2021 lease on that property be waived.
Yorkton Council denied both parts of the request.
“Our club was started by a group of local racing enthusiasts who wanted to bring stock car racing to Yorkton. Through their efforts and with the cooperation of the City of Yorkton, the dream became a reality,” PRA representative Kelly Price told Council.
“The club experienced success and has been able to grow and make significant improvements to the property leased to us by the City.”
Price said as part of a circuit the local races attract cars from across Saskatchewan and Manitoba and while here the drivers, pit crew, families and friends buy meals, hotel rooms, fuel, parts, repairs, etc.
“The economic spin off from our club has a very positive effect on the Yorkton economy,” he noted.
But, in 2020 there were no races due to COVID-19.
“As a result we did not have any income,” said Price.
But there were still costs, $1050 for the property lease, insurance required by the lease, and upgrades to the concession mandated by inspectors, leaving the club in a poor financial situation, leading them to seek the waived taxes and lease, said Price.
“This concession of a total of $2424.68 is not a large sum but would go a long way to ensuring the ongoing viability of the PRA and the economic spin off it generates,” he said.
In an Administrative Report to Council – Jessica Matsalla Director of Legislation and Procedures (City Clerk, with the City told Council, since 2003, the Parkland Racing Association has leased approximately 20 acres of land located at 583 Sully Avenue.
Matsalla noted, “In May of 2020, due to COVID-19 implications, City Council’s direction was to defer the deadline to pay property taxes to October 1, 2020 in order to provide more time for payment arrangements. This also aligned with direction to defer interest on overdue accounts receivable to the same date. In the summer of 2020, Parkland Racing Association contacted the City to discuss forgiveness of the lease due to events being cancelled. The City’s response was that the land was still occupied with the PRA’s property, and therefore the balance was still due and payable, albeit, a relaxation with due dates, and that Council would have to grant a forgiveness of amounts owing.”
To date, Parkland Racing Association has not paid the balances owing on their account.
Matsalla also noted “the City has received requests for forgiveness of accounts receivable from other organizations (i.e. the Yorkton SJHL Terriers), which were declined on the premise that it is not feasible to forgive any debt owing to the City due to the Pandemic, or fair for the City to forgive one organization’s debts, and not the other.
Further, in June 2020, Council directed Administration to develop a Pandemic Payment Plan that will minimize the impact of the City’s financial requirements on the City’s non-profit tenant’s organizations during COVID-19. The City would be happy to work with Parkland Racing Association if this was a route they would like to explore.”
Initially, Council looked ready to help out the race club entertaining a motion that Council approve the request of Parkland Racing Association to waive their 2020 account balance for the recreational lease and taxes at 583 Sully Avenue.
But, that motion would be defeated four-to-three.
Councillor Dustin Brears then suggested the 2020 taxes be allowed to be paid at the same time the 2021 taxes become due to “give the club some breathing room,” adding the issue can be revisited at that time if need be. A motion encompassing Brear's suggestion passed five-to-two.
