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Covid-19 impact

Vernon proceeds with projects despite lack of casino grant

Jul 25, 2020 | 2:27 PM

Vernon will not be getting its usual grant amount from casino revenues due to the gambling outlets being closed by the Covid pandemic until further notice. But the city is still going ahead with several projects that were to be funded by that.

Mayor Victor Cumming said they want to continue with the capital projects because they are necessary, and they will provide an economic stimulus as part of the city’s recovery process.

“We’ve taken money from other internal sources, so no impact on taxes, and we’re moving ahead. As you know, the casinos are closed, so there will be no more casino money to the city in 2020 and they’re not aware when they will reopen,” Cumming told Vernon Matters.

One of the projects is converting the city’s streetlights to more energy-efficient LED lights.

Cumming said the $717,000 cost of that, which will come out of the MFA refund and infrastructure reserves, will be gained back over eight to ten years in electricity savings, depending on the final cost.

“That is good for everybody all around,” he said.

Since 1999, the City of Vernon has received ten percent of the net casino gambling revenue from the Lake City Casino. ln total the city has received $35.5 million as of March 31,2020.

The city had forecast about $2 million this year, much of it committed to one-time projects, and received $342,223 in April, which covers a period when the casino was open.

Council also approved changing the 32nd Avenue road reconstruction project’s budget of $176,168 and the 48th Avenue road reconstruction project’s budget of $380,105 from casino grant reserve funding to gas tax reserve funding.

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