Municipality to consider writing off nearly $300,000 in outstanding fitness centre accounts
Posted Oct 18, 2017 12:41:35 PM.
This article is more than 5 years old.
Unpaid gym memberships at the Sackville sports stadium could end up costing the municipality nearly $300,000.
The audit and finance committee will be going over a report on Wednesday looking at the municipality writing off about $295,000 in outstanding accounts from the Lower Sackville fitness centre. The unpaid dues are from when the stadium made changes to its membership contract ten years ago which prohibited users from canceling memberships before their annual contract ended.
Instead of paying, the report says many customers changed banks to end the automatic payments.
Counillor Matt Whitman, who sits on the committee, says he wants to know what the typical write-off is in the industry
“So my question is what percentage of revenue does $300,000 represent,” said Whitman. “And I'm not even concerned with the answer, because whatever it is, it's too big.”
Whitman adds if it was a private business it would work harder to recover the revenues.
