The process to build an aquatic-wellness center in Bismarck hit a speed bump at Thursday's park board meeting, which could increase the price of the $8.7 million project if it isn't resolved in a timely manner.

The park board was considering acceptance of the final aquatic-wellness center development agreement with Streamline Foundation and a draft operations agreement. After a long discussion, the board tabled the action, allowing for more definitive language to be added to the agreements and further information of the recently released operating budget to be provided.

There are also hopes that an attorney general's opinion on questions raised about the process to construct the center will be answered by that time. Board president Mark Zimmerman asked that board members be prepared to hold a special meeting on the center as soon as next Tuesday.

District director Steve Neu provided the board with a new information piece that further details the preliminary operating budget for the center and also attempts to answer frequently asked questions about the Streamline Foundation, operation-management, operating subsidy, eventual ownership, economic benefit, programs and who the center will serve.

The new budget showed a balance of expenses and revenues at between $1,025,000 and $1,085,000 annually. Neu said that district subsidy was estimated between 2 percent and 10 percent, with 90 percent of the expenses paid for by users. The subsidy was well below what the district provides its other facilities - Capital Racquet and Fitness Center received a 32.5 percent subsidy; VFW Sports Center 35 percent; outdoor pools 59.7 percent; Fore Seasons Golf Dome 53.6 percent; and golf courses 23.4 percent.

Board member Paul Quist attempted to table the discussion, asking more information be provided on the numbers in the operating budget. That first attempt at tabling died for lack of a second.

Streamline Foundation president Dennis Kemmesat said that the project has seen about a 20 percent increase in price as materials and transportation costs continue to rise dramatically. Streamline has locked in a cap of $8.7 million for the facility with its contractor, but that price is only good for 20 days. Delay beyond that point will likely mean a 10 percent increase in the cost.

The question also came up about who will own the facility after the bond debt is paid in 20 to 25 years. Quist said he understood that it would belong to the park district upon making a balloon payment at the end. But the agreement indicated that the park district, Bismarck State College or even Streamline could be the eventual owner.

If Streamline, a private nonprofit organization, remains the owner after 20 years, it is willing to give any revenues to the park district for capital improvements, Kemmesat said. It was asked that specific language be added to the agreements, and attorney Pat Ward advised the board that it couldn't take action until the revised agreements were provided.

Quist again made a motion to table the item until the language was added. He also asked that district staff provide more complete information on how it developed the numbers in the operation budget.

Quist asked Kemmesat what costs will be incurred should the attorney general's opinion come out against the park district. Kemmesat estimated $10,000 to $20,000 will have been spent, mostly on engineering costs.

While the discussion wasn't a hearing, Zimmerman did allow state representative Mark Dosch to address the board. Dosch was one of the legislators who had asked the attorney general for an opinion on the process to build the aquatic-wellness center.

"We have not heard back, but we expect an answer relatively soon," Dosch said.

The legislator cautioned the school board to base its operation revenues on school district money for use of the pool. He said the school district cannot commit to an extended period of time and there is considerable risk. Dosch asked the park district to get a letter of intent from the school district on their use, which would provide some assurances.

Dosch also warned the board that without any specific ownership language, the district was putting itself in the leasing business with only hopes that it continues to sublease

"Yes, there is considerable risk to the park board and taxpayer," Dosch said. "Let's put in the agreement you will own it at the end of the 20 years. I'd rather have the park district have control over where revenues will go."

Board member John Sagsveen, who opposed Quist's first attempt to table the issue because he felt it was time to move forward, provided the second when Quist motioned to table to allow the additional language be added regarding ownership and how revenues will be used once the bond is paid off.

"I'd like to see us get this completed before the next meeting, if we have to call a special meeting or whatever," Sagsveen said. "Lets get the changes put in, study it for a few days and then either accept it or turn it down. Time is of the essence and we don't want to wait to have the prices go up another 10 percent."

The motion was approved unanimously.

(Reach reporter Gordon Weixel at 250-8255 or gordon.weixel@;bismarcktribune.com.)