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Rising Stars ordered to pay back operating grant

Dec 16, 2010 | 5:03 AM

The government has taken action to recover public funds after receiving harsh criticism over how it was allocated.

Earlier this month, the NDP revealed that the Ministry of Social Services had requested Rising Stars Children’s Ranch return $92,000 that had been given to the group to operate their foster home near Prince Albert.

The NDP criticized the government for handing over public money before the home was operational.
The fully-furnished home is sitting empty because of a zoning dispute with the rural municipality of Prince Albert.

During a face-to-face meeting with the group Tuesday night, the ministry asked that the money be repaid.

“They didn’t ask us to write a cheque … but we will be repaying those funds,” said Rising Stars treasurer Jeff Bergen.

“The funding that we received was for the months of April and May when we did not have a contract with social services and there was supposed to be no funding in place at that time.”

Rising Stars received a capital grant of $350,000 to construct and furnish the foster home in 2009, and another $46,000 per month to operate.

Bergen said the operational agreement with the ministry of social services remains in place and funding will resume once the home has occupants.

The home's future is still uncertain because of the permit issue with the municipality. Bergen said the final hurdle is having the property re-zoned as a subdivision. He said the application should be done in time for the RM council to review and vote on at their January 13 meeting.

For more on this story:

Debate heats up over children’s group home

Foster home remains in limbo

Children’s group launches public campaign to have foster home open

bbosker@panow.com