With word two weeks ago that Rainycrest’s board of management passed a motion to pursue interim management services from a private firm (Extendicare), Fort Frances town council now is looking for some answers.
This became clear Monday night when council asked Coun. Neil Kabel, who sits on the Rainycrest board along with Mayor Dan Onichuk, for more information on the home’s future with Extendicare.
“We’re not committed [to a deal with Extendicare],” Coun. Kabel replied. “We’re going to have more information on that at our Nov. 30 meeting.”
“So this group is a private organization that’s going to manage the home?” asked Coun. Roy Avis.
“We’re pursuing it, Coun. Avis, but they’re not coming in at this point,” answered Coun. Kabel. “We haven’t made that decision.”
“Are you looking at other management groups or just this one in particular?” asked Coun. Tannis Drysdale.
“Just this one in particular,” Coun. Kabel replied.
“And what research have you done on this one in particular?” wondered Coun. Drysdale.
“We’re waiting for that research,” said Coun. Kabel. “We haven’t received the information to make that decision. Our research is still in progress.”
“And how long do you anticipate that contract will be for?” asked Coun. Drysdale.
“Thirty days to five years,” replied Coun. Kabel, again stressing the board simply didn’t have any details at this point.
Coun. Avis noted he’s concerned Rainycrest’s deficit is getting bigger every month, and asked how the town was supposed to include its share of the costs for the home in the 2005 budget if that figure remains unknown at this time?
“I think it’s a very urgent matter that we establish that number as soon as possible,” he remarked.
“That’s certainly our concern on the board as well. It’s urgent,” agreed Coun. Kabel.
“So, you’d pursue that sooner than later?” asked Coun. Drysdale.
“We’ll certainly have a better update for you, information-wise, as to what way we want to go after the next meeting,” replied Coun. Kabel.
Coun. Struchan Gilson then asked why it seemed that after council voted at its Nov. 8 meeting that Rainycrest should pursue amalgamation with Riverside, as well as remain in public hands, “We seem to be heading down the private-sector path.”
Coun. Drysdale noted Extendicare is a very large company, which operates in both Canada and the U.S.
“They are multi-national, which means they have investors who expect a return on their dollar,” remarked Coun. Gilson. “I’m a little leery of going this route.”
“Extendicare is interested in management only,” replied Coun. Kabel.
“I don’t understand. They’ve got to make a dollar out of it,” countered Coun. Gilson.
Coun. Kabel noted he couldn’t say anything else prior to the next Rainycrest board meeting, when more information would be available to both him and the other board members.
Coun. Avis said the bottom line is that Rainycrest is facing a year-end deficit of $230,000-$270,000, and the town will end up paying for 58 percent of it. And this amount is beyond what the town already has budgeted to pay Rainycrest in 2004.
“I think we should be taking the fastest track to correction, be it whatever,” he stressed. “Our number-one priority should be the care of the residents, and number two, controlling our costs.
“We just can’t afford to continually move in this direction,” he said.
“Every month we’re taking a loss. We can’t set a proper budget,” added Coun. Avis. “I just want to make it loud and clear—Rainycrest is a top priority for us and we should solve this as soon as possible.”
Coun. Todd Hamilton suggested that while the town has two representatives on the board (Coun. Kabel and Mayor Onichuk), other councillors should be “a bit more participative” when it comes to Rainycrest board meetings and should show their support by attending them in the future.
Fort Frances Times
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