Medicine Hat city council: Energy business, Stampede funding

Those interested can watch council in-person at city hall or online via the city’s YouTube live stream.

Energy business

Council will be asked to consider moving to the next phase of an effort to restructure the City of Medicine Hat’s energy business.

That will include a public hearing to hear what residents have to say about a plan to create an arms-length corporation to run its businesses.

These agencies, known as municipally-controlled corporations, are found in several municipalities across Alberta, including in Edmonton, St. Albert and others.

The second suggestion from the KPMG report is creating a rate review committee that would set the prices for residential, commercial and other customer classes.

It, too, would be made up of industry experts, along with two council representatives and a non-voting community observer.

Tuesday’s vote on a staff “disclosure” will determine if council keeps the changes to the energy business moving along or essentially kills off the proposals.

Several councillors have expressed an interest in at least hearing from the public on the issue so approval to move through to the next stage wouldn’t come as a surprise.

However, as for a final decision on creating MCC and rate review group, some on council argue that should be a decision made by the next council.

Mayor Linnsie Clark says that will allow residents to have more say with their votes in the fall civic election.

Staff say the changes to the energy business would split up three different “hats” that are currently worn by council.

The revamp would allow council to focus on getting value from the energy business for taxpayers, the municipally-controlled corporation would focus on running the business effectively and the review committee would aim to set fair rates for customers.

If approved Tuesday, the public hearing would take place at 4 p.m. on June 24 in the council chambers at city hall.

Stampede funding

City staff are recommending council give the Medicine Hat Exhibition and Stampede organization $250,000 for a preliminary concept design and costing for fixing an ailing grandstand .

That would get the Stampede started on the path towards one of the building plan options heard earlier this year, known as Building Plan 3.

That plan’s total cost is about $20 million.

Under the proposal, the city would provide a $10 million grant to cover half the cost on the condition the Alberta government provides 40 per cent and the rest is covered by donations or partnerships with other municipalities in the region.

Mayor’s legal expenses

First up on Tuesday’s agenda is Mayor Linnsie Clark’s motion to get the city to reimburse her legal fees from 2023 and 2024, when she fought the city manager and took council to court.

Clark has twice postponed her request the City of Medicine Hat reimburse legal fees she accrued during the sanctions scandal that led to a leadership crisis at Medicine Hat city hall in 2024.

Clark’s motion directs city administration to cover $76,017.62 in legal fees over five different items.

She did not give a reason for delaying the motion but council has a hefty agenda that could result in an lengthy meeting. Also, two councillors are not present, including Robert Dumanowski and Allison Knodel.

The first is the cost of obtaining a second opinion about the reorganization of city hall that chief administrator Ann Mitchell carried out in 2023.

Clark, who before becoming mayor worked in the city solicitor’s office as a lawyer, paid for legal advice on the legitimacy of Mitchell’s restructuring.

Guy Giorno, a lawyer with Calgary-based Faskon Martineau DuMoulin LPP, said Mitchell’s actions contradicted the city’s Bylaw No. 4662.

Giorno wrote that large parts of the reorganization were “null and of no effect” in his response to the mayor.

Clark brought up that legal opinion at the famous Aug. 21, 2023, meeting that led to a sharp exchange between Clark and Mitchell and surprised councillors who had no prior warning.

Clark’s second item requests reimbursement for the “reorg.”

She told CHAT News on April 8 that fees attributed to the Giorno opinion and reorganization are the same.

The third item that Clark asks for reimbursement on is Mitchell’s defamation allegation.

Mitchell’s lawyer sent the mayor a letter in November 2023 demanding she “cease and desist” from further defaming the city manager.

It’s unclear what cost Clark incurred in the defamation letter or if there was a legal response that was not disclosed to the public.

The fourth and fifth items Clark asks for reimbursement on are “the Code of Conduct” and “the JR” — in reference to the misconduct allegation from council and the judicial review in August 2024.

Clark appears to reference fees she incurred last year as she fought the sanctions placed on her by the rest of council in March 2024.

Justice Rosemary Nation ruled the sanctions were “disproportionate and unreasonable” but agreed Clark broke council’s code of conduct rules by mistreating the city manager.

Clark’s reimbursement request for those costs is due back when council meets next on May 5.

Transportation and more

Council will also consider the city’s 234-page new transportation master plan and a proposed non-union salary grid.

The transportation document aims to provide a comprehensive framework for developing the city’s transportation system over the next 25 years.

Changes include road narrowing, expanding sidewalks and more. Some residents are upset by the planned changes and have started a petition.

The plan came before council during a committee-of-the-whole meeting on April 28, the same night as the federal election.

by Olivia Thorington

Medicine Hat city council: Energy business, Stampede funding

Energy business

Stampede funding

Mayor’s legal expenses

Transportation and more

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