Town reviewing insurance proposal on arena before demolish can begin

The town is evaluating a compensation proposal from its insurance company before demolition of the collapsed arena can begin.

The town is evaluating a compensation proposal from its insurance company before demolition of the collapsed arena can begin.

“We are not able to take it down until we get permission from the insurance company,” Betty Osmond, the town’s chief administrative officer told councillors Monday night.

They’ve done extensive investigation into what happened and in July “satisfied themselves they understand the situation and came back with a proposal, an estimate of what they believe is fair compensation based on facility repair rather than demolition,” she said.

“From an insurance point of view it makes more sense to repair,” Osmond indicated, noting that the pad wasn’t damaged and the ice plant is still operational.

That being said, the town still plans to demolish the structure to make way for a new facility.

The town is now examining the insurance proposal with help from an outside engineering company to determine that everything is included and it’s the best deal for the community.

“The process is underway,” Osmond said. “Essentially if we took down the building now we would be agreeing to what’s on the table. It wouldn’t be wise to do that now. We’re moving through the process as quickly as we can. It’s an insurance issue and it is in the town’s best interests to take our time on this.”

 

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