Cummings holds off on legal action

A Rimbey businessman considering legal action against the town will hold off on taking such a step until council’s budget process is completed.

Stan Cummings, who owns SJC Developments, was ready to seek legal counsel, after the town shot down a request to foot half the cost of road construction in exchange for constructing the 54th Street access to Highway 53.

However, council, at its regular meeting Jan. 23, agreed to take the issue to its budget deliberations that will begin Feb. 3.

Cummings has requested approximately $186,000 from the town (half the cost) for the completion of 46th Avenue to 55 Street.

The Rimbey businessman, who attended Monday’s council meeting, supported his request with several letters including a copy of a letter from former town manager Russ Wardrope written Feb. 23, 2010.

In his letter, Wardrope stated the Town of Rimbey and not SJC Development is responsible for the legal and associated costs for the survey, transfer of lands and registration of the 54th Street road right of-way.

The letter goes on to say the construction of water and sewer service stub-in on the 54th Street Utilities to service the SJC commercial lot from the east side is to be constructed to the Town of Rimbey design and development standards and cost shared as agreed by SJC Development Corporation and Cavalier Venture Corporation.

However, Cummings said Cavalier wants to opt out of completing the access, the costs of which were to be paid for by the town.

Cummings said the town would benefit by redirecting these funds towards the road construction as it would provide direct west access for residents in Legacy Court and Rimwest Crescent and residents located on 46th Avenue and 45 Avenue and allow the town to close the alley access to and from Highway 53, east of the legacy Court development, he said.

Cummings, reading from his own letter to council, said the only way the town could prevent him from taking legal action, is to have the cost of the construction of Highway 53 access from 54 Street included in this year’s budget deliberation.

“This was a commitment made by the Town of Rimbey in the summer of 2008. That is just about four years ago. You have had possession of the land for that period of time and allowed development (water and sewer, gas, power) and the sub base for the continuation of 54 Street to take place with no attempt to construct the access.”

Coun. Joe Anglin said he was not aware that SJC Development had a contract with the town.

“When both parties put their chicken scratch on paper it means there is a contract,” he said.

However, Mayor Sheldon Ibbotson said the town should seek the counsel of its own lawyer before making a decision as to the validity of the contract.

“You are not a legal expert,” he told Anglin.

Council unanimously voted in favor of a motion by Coun. Jack Webb to defer the matter to budget deliberations.

After the meeting Cummings said he was pleased with council’s decision.

“It certainly is a step in the right direction. They have recognized the contract SJC had to put that crossing in.”

CAO Tony Goode said budget may be finalized by the end of February, however there are several variables to be considered including the provincial budget and property assessments.