The Kenai Peninsula Borough officially signed on to host the 2006 Arctic Winter Games -- sort of -- at a ceremony held Wednesday afternoon at Kenai Central High School.
Surrounded by a host of dignitaries that included U.S. Sen. Lisa Murkowski and Lt. Gov. Loren Leman, Kenai Peninsula Borough Mayor Dale Bagley, AWG International Committee President Gerry Thick and committee member John Rodda signed a document signifying the borough's commitment to hosting the games.
However, the contract the three signed won't become official unless the borough assembly ratifies it at its May 20 meeting. That's because the assembly on Tuesday put off actual approval of the agreement until members familiarize themselves with its terms. Assembly members only received copies last Friday.
According to assembly President Pete Sprague, who attended the ceremony Wednesday, there are some issues with the contract that assembly members still want to consider.
"One concern is that none of (assembly members) really saw the contract until Friday afternoon," Sprague said. "We're talking about $4 or $5 million that would be spent."
Sprague noted that questions do remain about the document. However, he added he expects the assembly will ratify the agreement.
To put on the Arctic Winter Games in 2006, the Kenai Peninsula Borough likely will be expected to chip in from $500,000 to $600,000 of the cost of hosting the games. The borough hopes to get as much as $1 million from the federal government but may ask for $2 million. Another $1 million will be sought from the state, a sum in line with previous state grants to earlier winter games.
Among other things, that money would help pay for improvements to venues in Kenai, Soldotna and Homer, where various events are tentatively scheduled. The games will require four ice sheets, which would include one at the Kenai Multipurpose Facility, two at the Soldotna Sports Center and one to be built in Homer.
The Kenai facility will have to be enclosed, either permanently or temporarily, and changing rooms and shower facilities added. About half the money necessary for the Homer rink already is in hand, but the borough has been asked to help lobby for the rest.
Also needed for the games is a biathlon range and trail system. That likely would be built on borough landfill property.
Both Murkowski and Leman spoke at the ceremony Wednesday. Each took the opportunity to congratulate the borough on its successful bid and pledged to do everything in their power to support the 2006 games.
"The opportunity to have these games here is probably one of the best things you can do," Murkowski told the crowd of approximately 600 who attended the ceremony.
Although he didn't specifically address the funding issue, Leman did say he believes the state government will work with the peninsula to ensure the games go off without a hitch.
"We will support you," Leman said. "And we're going to be here to root for the contestants in March of 2006."
However, some doubts still remain about the contract, most notably, what will happen if the borough is unable to locate financing for the games.
Assembly members on Tuesday asked what would happen should the federal or state grants not be forthcoming, a real issue in the current economic climate.
Borough attorney Colette Thompson said the agreement signed Wednesday allows the AWG committee to move the games in the event the borough is unable to finance the needed venue improvement.
"It is our expectation that if the borough could not come up with grant money, the games would be pulled from this area and given to one of the other bidding communities," she said.
That has happened in the past. Juneau once was unable to fulfill the contract and the games were moved.
However, Bagley said he plans to ask for $200,000 in the 2004 borough budget, another $200,000 in 2005 and $100,000 in 2006. He said he believes additional money can be raised through a combination of federal, state, corporate, private and other sources.
"I feel confident that we can raise the money from all the different sources," Bagley said.
Bagley has long lobbied for the games based on the fact that they can provide a significant revenue source for area businesses. Past games have brought in as much as $6 million to $9 million to local economies.
At Wednesday's contract signing, Bagley stressed that both the financial and cultural gains the games will provide make bringing them to the peninsula an extremely worthwhile proposition. He said he believes the community will do whatever it takes -- whether its volunteering time or funding -- to ensure the peninsula is successful in hosting the games.
"I have concluded that the biggest legacy of the Arctic Winter Games will be this community working together on this incredible project," he said.
Bagley said he has no doubt after Wednesday's contract signing that the games are coming to town and said he's already begun counting the days until March 2006.
"Today we will officially start the countdown to the 2006 Arctic Winter Games," he said. "That's just 1,068 days away."
