With the county facing huge financial pressures, Norfolk councilors are being asked to look at the future of some of its assets, starting with its public marinas.
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A report presented to councilors at a council-in-committee meeting on Tuesday by Norfolk CAO Al Meneses asks for direction from council regarding the future ownership and governance of the Port Dover Harbor Marina and the Port Rowan Harbor Marina.
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“While the marinas are valuable assets to the community, council should consider whether these assets are core municipal services that Norfolk should make available, particularly when there are private sector businesses providing these services currently,” said the report. “There are concerns regarding the total amount of capital funds required to fund the necessary capital repairs and upgrades needed at both facilities.”
The report indicates the Port Dover marina, which has 458 slips for seasonal dockage and 11 transient slips for visitors, daily ramps, hydro and water slips, is generating an annual surplus of $434,000.
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The Port Rowan marina, which has 40 slips including hydro, 38 water lot leases for boat owners, two transient docks and a public launching ramp, is operating at a deficit of about $131,000.
At the same time, the marinas need a lot of capital work. Norfolk’s 2024-2033 capital plan includes expenditures for the marinas of $21.1 million over the next decade, with about $13.5 million incurred between now and 2029.
“As we know, those are 2023 dollars, so we know as time passes those expenditures are likely to go nowhere but up,” Meneses said.
He said councilors need to ask whether marinas are a core municipal service and whether “we can afford to be in that area.”
“In 2024, you’re going to have some reports in front of you to make important decisions on the future of some of our assets. This is the first of many that will be on your desk.”
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The report offered three options for council to consider: continuing operating both marinas; sell one or both marinas; or have the marinas run through public/private partnerships.
Advisors referred the report back to staff to obtain additional information, including comprehensive business cases for various scenarios, and appraisals on each of the properties.
After that report is received by council, likely by the end of June, the public will be asked to weigh in.
“Staff needs to hear from council about whether we’re interested in retaining ownership of both assets,” said Mayor Amy Martin. “While I’m not advocating for the sale, we need to have appraisals come back to us and have another discussion before having a public meeting and making a decision. I’m also interested in details about retaining ownership but operating them where they create enough revenue to be self-sufficient.”
“I think we have a really unique opportunity here with some of these parcels. It’s our job to do our research on all the options.”
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