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\t\t\tThe Biddeford Ice Arena owes the city over $60,000 in overdue payments. But officials say they reached an agreement this week for payments to resume. (Courtesy of Biddeford Ice Arena)<\/p>\n\t\t\t\t\t\t\tThe Biddeford Ice Arena owes the city over $60,000 in overdue payments. But officials say they reached an agreement this week for payments to resume. (Courtesy of Biddeford Ice Arena)<\/p>\n
The Biddeford Ice Arena owes the city more than $60,000 in overdue payments, officials confirmed Friday. <\/p>\n
Assistant to the City Manager Danica Lamontagne said significant turnover in the city\u2019s finance department caused a yearlong lapse in invoices for the arena\u2019s monthly payments.\u00a0<\/p>\n
Officials from the arena and city say the two sides came to an agreement this week for payments to resume.<\/p>\n
At a Finance Committee meeting Tuesday, Finance Director Gerry Matherne said the city hasn\u2019t received the arena\u2019s payments \u201cfor quite a while.\u201d\u00a0<\/p>\n
\u201cWe\u2019re still waiting for those funds,\u201d Matherne said.<\/p>\n
The arena was not invoiced for 12 months, Lamontagne said, totaling $62,157 in owed payments. The arena is responsible for paying the city $5,179 per month.\u00a0<\/p>\n
But the monthly payment is not rent.\u00a0<\/p>\n
The building itself is owned by the city, but the arena is operated by the Board of the York County Arena Association under an agreement with the city.\u00a0<\/p>\n
The monthly payments, arena Board Chair Jim Mulligan said, cover the cost of loans for improvements made on the building.\u00a0<\/p>\n
\u201cWhen people say, \u2018Oh, they\u2019re not paying their rent,\u2019 that\u2019s not quite right,\u201d Mulligan said.<\/p>\n
Mulligan said the arena is responsible for paying the city for two building improvement loans: The first predates both the current arena board and the city administration and totals about $3,000 a month, while a second costing around $2,000 a month was taken out about six years ago, when the arena replaced compressors that freeze the indoor ice rink.\u00a0<\/p>\n
About a year ago, amid significant turnover in the city\u2019s finance department, arena leaders decided to withhold their payments to the city while seeking clarity about their obligations.\u00a0<\/p>\n
\u201cWe didn\u2019t know when the preexisting loan started, when it ended or if it had been paid off,\u201d Mulligan said. \u201cWe\u2019d been asking the city for some evidence of the debt, and they weren\u2019t able to provide it for us.\u201d\u00a0<\/p>\n
On Thursday, the city was able to provide arena leaders with the information they needed, Mulligan said, and the board will be able to move forward with a payment plan.<\/p>\n
\u201cWe have the information,\u201d Mulligan said.\u00a0\u201cWe have money set aside.\u201d<\/p>\n
Mulligan noted that the arena is not funded by taxpayers: All operating expenses and repairs are paid for by the arena itself.\u00a0<\/p>\n
Because of its self-financing, though, upgrades are hard to come by. That\u2019s why arena leaders asked the city in December for over $200,000 for updates including a new Zamboni and new bleachers.\u00a0<\/p>\n