Following successful negotiations, a 25-year agreement between the City of Penticton and the Penticton Yacht Club (PYC) to operate the Skaha Marina has been given a green light to proceed.
Approved during a Special Meeting of Council held April 12 and endorsed by the Parks and Recreation Committee on April 7, the finalized agreement negotiations set out expectations for the management and operation of the marina, operating and capital contributions, the City’s rights and obligations, inspections and monitoring, and financial and other reporting requirements. Specific features of the agreement include:
- an annual operating fee of $45,000 and an initial capital commitment of $565,000 for marina updates and up to $2.5M for the restaurant;
- the requirement of a Letter of Credit in the amount of 25 per cent of the construction value for the restaurant investment;
- an expectation for an annual business plan and performance review every three to five years; and
- provisions for termination for non-payment, failure to deliver the services expected and breach of the agreement with the City.
“After a comprehensive process that established a vision through public engagement, gathered community opinion during a by-election and attracted expressions of interest with a Request for Proposal call-out that led to the Penticton Yacht Club emerging with the winning proposal, all that remained was to enter into and complete negotiations,” said Penticton Mayor, John Vassilaki. “With Council’s decision today, the outcome of those negotiations are now finalized and work can proceed on getting the long-awaited and much needed improvements to Skaha Marina underway as soon as possible. Once again, Council extends their appreciation and thanks to everyone who got us to this desired point.”
“The Penticton Yacht Club Strategic Planning Committee and the PYC board saw the opportunity for Penticton and created the vision to bring together the entire boating community, powered or otherwise, in Penticton through the RFP process, aligning with the Strategic plans for Skaha Lake Park,” said PYC Commodore, Marc Tougas. “The PYC is a non profit group that reinvests all profits back into the marinas. The experience and knowledge of both business operations and marina operations is brought together through experienced and diverse community committees and the board to ensure the best representation of the public interest. The partnerships within the community and added experience in boating and hospitality, coupled with a large investment by private business, will enhance the South end of Penticton for all residents. We look forward to this challenge and look forward to working with City Staff to get the ball rolling.”
Next Steps:
Work is set to get underway quickly at the marina with the following next steps ready to occur soon:
- Starting this week, the Penticton Yacht Club will begin their operational transition
- A process will soon start concerning the design of the lands and building. The public will be invited to comment, with opportunities for feedback promoted ahead of time
Skaha Marina Boat Moorage – need a spot for your boat?
As part of the transition and set-up process for the new marina operator, the City of Penticton requests that boat owners who presently hold slips at the Skaha marina reach out to the Penticton Yacht Club at 250-770-2000 or by email at pentictonyachtclub@outlook.com to assist with a smooth transition into the upcoming season.