City and citizen watchdog group mutually drop Build Kamloops court appeals

A settlement to drop a pair of court actions means the multi-million dollar Build Kamloops projects can get back on track.

The City of Kamloops and a newly-formed citizen watchdog group each filed appeals after a judge dismissed a bid to overturn approval for $275 million in taxpayer-backed loans for several new facilities.

Kathrine Wunderlich with Kamloops Citizens United wanted BC’s highest court to revisit the decision and the City wanted her to foot the bill for legal fees. They settled last week, agreeing to mutually drop the appeals.

“After careful consideration and consultation with legal and political experts, we have decided against appealing Justice (Joel) Groves’ ruling,” Wunderlich said in a written statement. “Instead, we will redirect our efforts to the political arena, where this issue truly belongs.”

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Wunderlich challenged the legitimacy of an Alternative Approval Process used get permission for a combined $275 million in loans. She argued the City’s advertising was inadequate and a referendum should have been used instead.

Groves found the City followed BC law and whether to use the counter petition method or a referendum for taxpayer-funded loans is a political decision, not one that could be decided through court.

On March 24, city council issued a news release celebrating the end of the court challenge as it delayed progress with the Build Kamloops projects.

“Justice Grove’s decision reflects our commitment to ensuring the Build Kamloops program progresses without further delay, prioritizing the best interests of taxpayers and the future of our community. We believe that by resolving this matter, we can maintain momentum on projects that are vital to the growth and well-being of Kamloops,” councillor Kelly Hall said in the release.

Groves’ decision left the City and Wunderlich to pay their own legal fees, but it’s not clear how much the bill for taxpayers amounted to.

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The loans are meant to fund construction for several projects including new downtown arts venue, one that saw a previous version shutdown by voters in a referendum and a second referendum cancelled at the outbreak of the COVID-19 pandemic. The other major project is a multi-sheet ice rink, with an additional $10 million set aside to design other facilities like a new pool and a curling rink.

With the legal challenges dropped, construction on the arts venue is planned to start before the end of the year. 

Wunderlich said Kamloops Citizens United will move its focus to other matters, while aiming to “hold city council accountable.”

“Kamloops requires robust healthcare, education, affordable housing, infrastructure development, safety, and employment opportunities to thrive — not vanity projects that serve ideological agendas,” her statement read.