Additions to Council Feb 5/07
ADDITIONS TO COUNCIL, MONDAY, FEBRUARY 5,2007
COUNCIL
REPORTS
1. MW-2007-06 - Contract 2007-181-06, Grassy Brook West Area - Sanitary Sewer
Construction Lyon's Creek Road & Montrose Road
INFORMATION
1. Board of Museums - Information on Heritage Week activities
2. Information from Capital Sports forwarded by Clerk
February 5,2007
MW-2007-06
Niagara.FcIfJ/D~
His Worship Mayor Ted Salci
and Members of the Municipal Council
City of Niagara Falls, Ontario
Members:
Re: MW-2007 -06 - Contract 2007-181-06
Grassy Brook West Area - Sanitary Sewer Construction
Lyon's Creek Road & Montrose Road
RECOMMENDATION:
That the unit prices submitted by the lowest tender Baiocco Construction Corp. be
accepted and that the Mayor and City Clerk be authorized to execute the necessary
agreement.
BACKGROUND:
The Tender Opening Committee, in the presence of the City Clerk, Mr. Dean lorfida,
opened tenders on Tuesday, January 30, 2007 at 1 :30 p.m. for the above noted
contract.
Tender documents were picked up by thirteen (13) Contractors and three (3) bids were
received.
Listed below is a summary of the totaled prices, excluding GST, received from the
Contractors.
1.
2.
3.
Baiocco Construction Corp.
FCM Construction Ltd.
V. Gibbons Contracting Ltd.
St. Catharines
Oakville
Fort Erie
$3,284,480.00
$3,600,000.00
$5,176,135.47 (corrected)
The lowest tender was received from Baiocco Constructioh Corp. in the amount of
$3,284,480.00. This contractor has previously performed similar type projects for the
City. We are therefore of the opinion, that this contractor is capable of successfully
undertaking this project.
Financing:
ntract was $2,299,365.00.
Community Services Department
Municipal Works
--2--
Project Costs:
Awarded Contract (excluding GST)
Miscellaneous Fees (MOE)
Utility Removals/I nstallations
Total
$3,284,480.00
$ 600.00
$ 20.000.00
$3.305.080.00
Funding:
Sewer Fund-Capital Funding Reserve (33.50/0)
Account No. 16-2-092500-400161
$1,107,202.00
Development Charges Reserve Fund (66.5%)
(D.C. Project #DC-NT-SA14)
Accou nt No. SS8-12 -3-41 0008-030000
$2,197,878.00
This project is scheduled to commence construction February 19, 2007 and all work is
to be completed by July 5, 2007.
Recommended by:
R.Volpini
S:\REPORTS\2007 Reports\MW-2007-06 - Grassy Brook West Area Sanitary Sewer.wpd
City of Niagara Falls Board of Museums
5810 Ferry Street - Niagara Falls - Ontario - L2G 159
Tel: 905-358-5082 Fax: 905-358-0920
Your Worship Mayor Ted Salci and Members of Niagara Falls City Council
The City of Niagara Falls
City Hall, P.O. Box 1023
4310 Queen Street
Niagara Falls, Ontario, Canada
L2E 6X5
January 30th, 2007
Your Worship and Members of Council,
Traditionally the third week in February has been celebrated throughout Canada as Heritage
Week and the third Monday in February celebrated as Heritage Day. This year the week of
February 191h to 251h has been designated as Heritage Week across Canada and February 191h as
Heritage Day.
Heritage Week provides a great opportunity for people in the community to take time to reflect
oil their heritage and to enjoy heritage events at their local hsitoric sites and museums.
To mark this event, The Board of Museums would like to request that City Council consider
proclaiming the week of February 19th to 25th, 2007 as Heritage Week in Niagara Falls and
February 19th, 2007 as Heritage Day.
F or your information, please see the attached press release regarding some events and activities
that will be highlighted during that week and throughout the month of February.
Thank you very much for your consideration.
Sincerely,
~~ I
4;!7ca?^'L tJdcr
i
" G~rdon West
~erson, City of Niagara FaIls Boar~~
ce. Board ofMuseum~./..----"""'_. ~
encl. ,",~,/"" ~
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City of Niagara Falls Board of Museums
5810 Ferry Street... Niagara Falls... Ontario - L2G IS9
Tel: (905)358-5082 Fax: (905)358...0920
PRESS RELEASE
February 1, 2007.
For Immediate Release
Contact: Kathleen PoweU - Manager
Days: (905)358-5082
E-mail: kpoweU@niagarafaUs.ca
Celebrate Heritage Week in Ontario at your Local Museums and in the
Community
The City of Niagara Falls Museums invite you to celebrate the heritage of our Community during
the week of February 19th to 25th, 2007.
To celebrate Heritage Week the City of Niagara Falls Museums would like to highlight some
events and exhibits:
To kick off Heritage Week, the City of Niagara Falls Museums and the Municipal Heritage
Committee will be holding their Annual Heritage Showcase. This year's event will showcase
the theme of "Places for People - Our Heritage of the Everyday". The event will be held on
February 16-17-18 during regular business hours at the Niagara Square Shopping Centre on
Montrose Road.
The weekend of the 16th and 17th will is also the last opportunity to get your tickets for the
1964 % Mustang to be ramed offby the Niagara Falls Board of Museums on February 1'J'h at
noon. Don't miss out on your chance to win this beautiful car.
On February 20th, the Lundy's Lane Historical Museum will open its newest exhibit... TOYS!
For the young and young at heartl Come and see if you remember some of these symbols of a
more carefree time.
During the entire month of February visit the Lundy's Lane Historical Museum to see an exhibit
by the Niagara Woodcarvers Association. Their beautiful handcrafted artwork is on display
until March 29th, 2007.
Available for viewing and research beginning February 1st, 2007, the Museums will have available
the final DVD production of the Downtown Living History Project. This project has been
compiled over the last 6 months and includes oral histories (reminiscences and memories) about
living, working and playing in the downtown area over the last 50 years.
This DVD project is the first of a series of projects that take place over the next few years that
will be collecting people's memories of the different geographic areas of our community.
The project will move to Stamford Village for the summer of 2007.
For more information please call
the Lundy's Lane Historical Museum at (905)358..5082
-end-
callin9 all Herittlge GroupsIltl
Tbe Municipal Heritage Committee
a-oo the. cit}} of NiaeaTa Falls Museums
invite >>OM to participate in. the
8th Annual Henttlge sbowcase
. at NiQ{lara Stptare in
Celebration of Heritf.lge week 2007
Tl1is >>MT'S theme is:
((places for people:
Our Heritage4 the Ever~oa~JJ
Februa~ 1~ } 17th & 18th} 2.007
Nlasar4 square sbo"i"9 Mall
Montrose Roa~ - Niasara Falls} Ontario
February 16 : noon to 9:00 p.m.
February q: 10:00 a.m. to 5=00 p.m.
February 18: noon to 4=00 p.m.
Ontario Heritage Trust - Heritage Week 2007 - Cobourg
Page 1 of 2
Ontario Heritage Trust
I central site I feedback I contact I search I site map I frano;:ais I
f : .
ELGIN 8: WINTER GARDEN THEATRES RENTAL VENUES DONATIONS NEW
Home / Proarams I Heritage Week I Heritage Week 2007 - Cobourg I
Heritage Week 2007 - Cobourg
Celebrating 40 years of conservation
Celebrating our heritage conservation successes is the focus of
this year's Heritage Week. The Heritage Week theme -
Celebrating 40 years of conservation - offers an opportunity
for communities across the province to reflect on their own
achievements in heritage conservation and celebrate the
successes that have helped preserve our past and shape our
future.
A special Heritage Day kick-off event is set for Monday I
February 19, 1:30 p.m. at Victoria Hall in Cobourg. This event
will include remarks from several dignitaries - including the
Chairman of the Trustl The Honourable Lincoln M. Alexander -
and will feature a special presentation on the history of the
Trust and its successes. The Trust will also be organizing
events for some of its own museum sites such as Fulford Place
in Brockvllle and Uncle Tom's Cabin Historic Site in Dresden.
Details of these events will be announced soon.
Communities across Ontario will celebrate Heritage Week with
special events and activities that range from exhibits, lectures
and workShops to informal gatherings and tours. Thanks to a generous donation from Scotiabank,
the Trust is hosting a webpage dedicated to listing these Heritage Week events and activities. Please
continue to visit this pagel as we will be updating it often with new Heritage Week community event
listings.
Heritage helps build stronger communities and improves our quality of life. Working together, we can
ensure that our heritage is protected for present and future generations. We look forward to an
exciting Heritage Week celebration!
.. Submit a community event
.. Submit your heritage achievements
.. Community events and activities for Heritage Week 2007
.. Community heritage accomplishments
.A-.
http://www.heritagefdn.on.ca/userfiles/IfTh1L/nts_l_8620_1.html
Central Site j Feedback I Contact I Search J Site Map J
1/30/2007
The Heritage Canada Foundation - Heritage Day
Heritage Day
Celebrate Ou r Heritage
Page 1 of 3
Heritage Day is an opportunity to celebrate the architectural heritage and
historic places of Canada. The Heritage Canada Foundation promotes the
third Monday in February each year as Heritage Day and has long advocated
adopting this date as a national holiday.
Heritage 2007: Places for People - Our Heritage of the Everyday
As its heritage education theme in
2007, the Heritage Canada
Foundation decided to identify and
feature the lesser-known but
important structures of Canada. This
involved delving into the histories of
communities where buildings are
located as well as the characters
and places that shaped them.
Heritage places of the everyday-
our vernacular architecture-can be
as familiar as the corner store, small
town bakery, or church on the
Prairies. Yet when it comes to
defining exactly what vernacular
architecture means, it is not easy to come up with a universal definition.
The word vernacular was originally used by linguists to mean the "native
language of a region" as opposed to a superior (often imposed) language like
Latin or Greek. Architectural historians borrowed "vernacular" to mean the
native architecture of a region.
Vernacular architecture is a form of building that is distinctive to the region
where it is practised, based on local needs and preferences. It is an aspect of
cultural expression rooted in a particular place, a set of values, and
sometimes in an institution.
Across Canada there is a wealth of vernacular heritage-some recognized,
some undiscovered. This selection of 12 vernacular buildings and places
described below is a starting point to explore historical riches in other
communities, large cities, small towns and villages, and every place in
between. These buildings differ from coast to coast, region to region, in style,
materials, and purpose. Vernacular heritage helps to define and, in turn, is
defined by the place in which it was built and the individuals who built it.
http://www.heritagecanada.org/eng/h_day.html
1/30/2007
The Heritage Canada Foundation - Heritage Day
Despite the romance and charm of
much vernacular architecture, these
structures were built to be used.
Their purposes are many, but they
seem to fit into simple categories:
Where we settle, where we grow,
what we need, where we live, where
we work, where we do business,
where we learn, and where we
worship. Each building in the
selection had an original purpose
and remarkably many continue to
function as originally intended.
Page 2 of3
As these buildings and stories show,
vernacular heritage buildings are
often taken for granted and frequently undervalued. Many of these structures
have had close calls and were very nearly demolished. Some hold on to life
by a slim thread, ignored and generally forgotten.
We hope that this project contributes to a greater appreciation for what
vernacular heritage means to Canadians and our communities. Everyday
buildings and places are the link to our history and shared experience.
Vernacular heritage architecture is a legacy that helps us understand
ourselves. It is a legacy the Heritage Canada Foundation considers worth
conserving and passing on.
Featured sites:
· 8IDJJrQ?J~l~_9Js~mjlb...~.b.Qp-,_MQ.~~J?.~~Jl!s.,....~~~!s.~tGb~.~~n
· Q~lJP_~_llt~r~'_.~bQP.Lt:t~!j.f~~JJ~l9-,[~J?-.99JLq
· E.!![m~I~~.6.~!l~.QtB.!!~1i~.QLB!J~ti~Q_..ErlD.9JLf;J~y!f;!rgJ~_'~ng
. ~r~b.~m~'.~._6~.!s.~-'Y,__ts:~.mp!yj.!I.~!..QflJ~IjQ
· ~1_J:~_~1~J~~_Q!:mr~l1Lti~y_BlY~JLNQrth.Yt.~~1.I~JrjlQrl~~
· P.f;!~99:.t.E.Qiri.~IJ='-QY.~_~_L.Ql1~111f;!9LJ~.tE:!Y.I(.J1.rYJ1~YtIQ1s
· ~~'tlJj.9..tll~~ill9J~~Q~irLeJQQ_!s..m!!nl~.Q[QQ.~JY__&_EIQW~1~lQn~j.9.ng-'~~r
6Ij.Qg~_SjQH~J. S~5J.DJQh,._aIitL~_C_Q.lYlItQl~
· 69jJl~~~IQ.~t_~_<!!Jl~nt._=_'.'Ih~_M_~!ft'~1_MQ-'ltB~~JLQJ1~~~
· ~9_tlYtt~:~J~5J.rnJ__6_~~b~Y'tLA'-Q~J1f;!
. Jilti !J.9_LEQ9.9J~laflg_l_~.Y'tfQ!Jl1JjJ~ngJIJ1(t_~E..QL~.gQ[
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· Y!!K9.D.ltQt~IJ__Q~W~.QILQi1Y.LY_YIsQ.n T ~JJitQJY
For more information about Heritage Day 2007, please contact the Heritage
Education Coordinator at heritagedav@heritagecanada.org
Heritage 2006: Our Cultural Heritage Places
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1J~d.tg9.~__2.Q.o4.Q~fl?.l1gID9.__CaJ}5J.g.~_YQYtb._E'_~g~
t!~Ij.t~g~._2.QQ~Jj~rjta.g~_.QtQ.Y[.IQWllYQyth.E'.~gJ,1.
http://www.heritagecanada.org/englh_day.html
1/30/2007
Corporate Services Department
Clerk's Division
Inter-Department Memorandum
NiagaraFt~/l~
TO:
Mayor Ted Salci
& Members of Council
DATE: February 2,2007
FROM: Dean Iorfida
City Clerk
Ext. 4271
RE: Information from Cyril Leeder
You have received this information bye-mail earlier today.
Please be advised of the following:
Myself, John MacDonald and the Mayor received this e-mail at 1:09 p.m. Friday afternoon asking
that it be forwarded to Council.
At 1:12 p.m. Mr. Leeder sent it directly to Council.
The recent proposal from Capital Sports will be discussed on Monday.
p~
Working Together to Serve Our Community
Clerks · Finance · Human Resources · Information Systems · Legal · Planning & Development
Economic Benefits
of the
Kingston Sports and Entertainment Centre
(L VEC)
Kingston Economic Development Corporation
April 29, 2005
KED eo
KIN 6STO N . ECONOMIC
D'fyelopment .Carporation
Economic Benefits of the Kingston Sports and Entertainment Centre (L VEC) 1
Introduction
This section will examine the economic benefits of building and operating a Large
Venue Entertainment Complex (L VEC) in Kingston's downtown core. While such
analyses are highly complex, Kingston has the advantage of being able to draw on the
solid experience of a number other Ontario cities such as London, Sarnia, Barrie and
Brampton that have constructed similar facilities.
The economic benefits can be measured in a number of ways. We will look at the
tangible benefits such as increased spending, investment, business activity and job
creation. We will also look at the intangible benefits - the vitality of the city, our sense of
civic pride, our competitiveness with other Ontario jurisdictions, and what we want
Kingston to be in the years ahead.
Benefits
Economic Impact
Employment
Local Tax Base
Incremental Investment
Keeping the OHL
Increased Tourism
Staying Competitive
Civic Pride
New Image/Positioning
ECONOMIC IMPACT ANALYSIS
(i) Overview
The projected numbers for the Kingston L VEC are:
Cost $37.3 million (excluding land)
Number of events/year 80+
Capacity 5,000 for ice-related events
6,800 for non-ice
Annual total attendance 300,000
Average attendance/event 3,750-4,000
Annual on-site revenue $9 million (ticket sales, concessions,
etc.)
Average on-site spend/attendee $30
April 29, 2005
Economic Benefits of the Kingston Sports and Entertainment Centre (L VEC) 2
(ii) Direct Employment Benefits
Construction Employment
L VEC will create an average 750 construction jobs over the scheduled 18 months of
the build. (Source: Toronto Construction Association, which estimates that 20 person
years of employment are created for each $1 million in construction cost.)
L VEC Employment
Once LVEC is operational, it will employ approximately 12 full-time and 200 part-time
workers (based on similar estimates by Henson Consulting Ltd. for the proposed
Oshawa Centre).
(iii) L VEC Spin-offs
1. Multiplier Effect
The projected $9 million in L VEC revenue a year will flow directly into the local
economy, but there will also be a 'ripple' effect as this money spurs new investment, job
creation, and additional consumer spending.
One way to estimate this broader economic impact is to multiply the direct revenue by a
reasonable and accepted factor. For this analysis, we have used factors of between 1.2
and 3.0 in order to identify a possible range. These multipliers are ratios which
summarize the total economic benefits of a change in the local economy such as the
building of a new manufacturing facility, relocation of a corporate head office, a public
policy change or in our case, the building of a world-class sports and entertainment
complex. (Source: Miller, W.P. and Armbruster, T. Economic Multipliers: How
Communities Can Use Them for Planning. University of Arkansas. Extension Service
Printing Services)
Multipliers work on the assumption that there are direct or immediate, indirect and
induced effects.
The direct benefits derived from the L VEC would be the total impact of attracted or
retained spending on the site (the $9.0 million cited). The multiplier effect or indirect
benefit would occur off-site as spending at community restaurants, hotels, retail outlets
and other businesses circulates through the local Kingston economy. Induced effects
occur when local households spend some of the additional income they receive in the
local area (Source: Miller as above)
April 29, 2005
Economic Benefits of the Kingston Sports and Entertainment Centre (L VEC) 3
Multipliers usually range from 1.0 to 3.0 and vary by the amount of economic activity
overall in the area -- the intensity of the interaction of other businesses and industries
with the initial economic stimulus and the change in economic activity. (Source: Hughes.
D.W. Policy Uses of Economic Multipliers Impact Analysis. Choices. Second Quarter
2003.)
Assumptions
1. onsite annual ticket sales - range of $7million (driven combination events, revenue
from naming rights, sale of privates suites and cluo seats)
2. onsite food & beverage sales - range of $2 million (also includes sale of novelties, pro
shop, etc.)
3. total revenue base, therefore, is $9 million on-site
3. a range of multipliers (1.49, 1.75 and 2.5) have been used within an accepted range
of 1.0 to 3.0)
4. the conservative 1.49 multiplier is drawn from study by the Bureau of Statistics for the
North West Territories which provided multipliers for projects
in the arts, entertainment and recreation.
Findings
· Total direct new spending in the community on-site at L VEC would be $9.0
million annually.
. Under the economic multiplier model, the annual impact on the overall economy
is estimated to range from $13.4 million to $22.5 million.
. The benefit appears to be largely to the hospitality sector/tourism sector.
E . M If r A I .
conomlc u IP ler nalYSls
Total Revenue Base Multiplier Annual Impact on
Economy
(GDP)
$9.0 million 1.49 $13.4 million
$9.0 million 1.75 $15.8
$9.0 million 2.5 $22.5 million
April 29, 2005
Economic Benefits of the Kingston Sports and Entertainment Centre (L VEC)
2. Economic Modelling - Overall Impact on GDP
To validate our economic multiplier analysis, KEDCO asked the Ontario M
Tourism and Recreation to use their Tourism Regional Economic Impact
computer investment model to provide another statistical perspective on the e
impact - direct, indirect, and induced - of the construction of the L VEC on F
County. The TREIM model looked at Gross Domestic Product, Labour Inco
Government Tax Revenue.
The results of the modeling are in the chart below and show that KEDCO's
effect in terms of the gain to the economy is conservative, but in the ballpa
government's calculations. The TREIM model suggests that the GDP b
$26,600,000 versus KEDCO's $22,500,000. The TREIM model also provided
overall labour income which, according to the model, will be $19,500,0
government tax revenue which will be $11,200,000. The model also shows th
indirect and induced benefits.
TREIM Analysis - Economic Impact of Kingston L VEC in Frontenac County
Total Direct Indirect Induce
$37,300
$26,600
$19,500
$11,200
Ttllnvestment
GDP
Labour Income
Government
Tax Revenue
* Ontario Ministry of Tourism and Recreation April 2005
$3,200
$2,200
$1,000
$6,200
$3,500
$3,000
$17,200
$13,800
$ 7,200
3. Tourism Spending
Another way to look at the impact on the broader economy is to estima
additional tourism dollars will likely flow to Kingston as a result of the L VEC.
Kingston now attracts more than 2.2 million visitors a year who spend $230
(Source: Statistics Canada, 2003.) Based on these figures, the average visitor
about $100.
This is reflected in the range of average spending per visitor at various Kingston
For example, out-of-town visitors attending the Buskers event each spend an
of about $80 on local accommodation, food, shopping, etc. Visitors attend
Limestone City Blues Festival, and those at the Kids For Kids Hockey Tour
each spend an average of about $150 at local restaurants, hotels, and shops. (S
TREIM Model, Ontario Ministry of Tourism and Recreation, economic impac
Kingston Buskers Rendezvous, Kingston B.I.A. data on the direct benefits of t
4
in istry of
(TREIM)
conomic
rontenac
me and
multiplier
rk of the
enefit is
input on
00 and
e direct,
($000)
d
te what
million.
spends
events.
average
i ng the
namen!,
ources:
t of the
he "Kids
I 29. 2005
------ ---
Apri
Economic Benefits of the Kingston Sports and Entertainment Centre (L VEC) 5
for Kids Hockey Tournament", and a 2003 Audience Profile and Impact, 8020lnfo Inc.,
August 2003)
Out-of-town visitors account for about 40 per cent of total attendance at the Buskers
event, 60 per cent of total attendance at the Limestone City Blues Festival, and almost
70 per cent of total attendance at the Kids For Kids Hockey Tournament.
Conservatively estimating that 25 per cent of the 300,000 L VEC attendees will be out-
of-town visitors, and that each of these visitors will spend an average of $100 on local
amenities, the benefit to the overall Kingston economy will be increased tourism
expenditures of $7.5 million a year. (300,000 x.25 x $100)
Increased tourism expenditures resulting from L VEC will be concentrated
primarily during the winter months, helping to offset this traditionally slower
period for local businesses. Currently, for example, the downtown restaurants and
nightclubs have a total capacity of approximately 20,000 seats, but operate at only
about one-quarter of that capacity during November and December. Experience in
London, Ontario, and Winnipeg, Manitoba, has shown that restaurant sales have
increased significantly (between 30 and 50 per cent) as a result of sports and
entertainment centres being built in those cities. (Source: London Free Press, March 23,
2005; Winnipeg Free Press, December 4, 2004.)
K. tAt I S d. P tt
fO t ft
Ings on c ua pen Ing a erns 0 u -0 - owners
Kids for Kids B uskers Limestone Stats
Hockey Rendezvous City Blues Canada
Tournament Fest 2003
Ttl attendance 6,237 100,000 10,000 paid
2,000 unpaid
Ttl out-of- 4,312 42,400 6,000
towners
Ok ttl 69 42 60
TtI $176 $81 $154 $103
spending/person
4. Tourism Employment
It is estimated that increased tourism spending (noted above) will result in more than
150 full-time-equivalent jobs being created in the Kingston area, primarily in the
tourism industry. (Source: Extrapolation of figures contained in the TREIM study of the
Buskers event.) Based on the Tourism Economic Impact Model of the Buskers event,
which generated $3,434,000 in direct new spending and created 76 new full-time jobs,
we developed a multiplier of 2.2. This multiplier was then applied to the $7.5 million/year
in increased tourism expenditures (anticipated from the operation of the L VEC) in order
to determine the number of jobs. ($7.5 million divided by $3.4 million x 76 full-time jobs)
April 29, 2005
Economic Benefits of the Kingston Sports and Entertainment Centre (L VEC) 6
5. Incremental Investment
In other cities where similar sports and entertainment centres have been built, the
evidence shows that there has been significant new investment in residential, retail
and office development. This investment has helped rejuvenate/energize the cities'
cores, broaden their municipal tax base, and create attractive and people-friendly
spaces downtown.
Since the opening of the John Labatt Centre in London, Ontario, for example:
· there has been more than a 40-per-cent increase in housing stock in the area
surrounding the JLC
· office and retail vacancies in the area are now at their lowest level in more than a
decade
· building permits have reached an all-time high
6. Staying Competitive
Progressive communities across Ontario have been upgrading their recreational and
entertainment infrastructure. Over the past eight years, six modern sports and
entertainment venues have been constructed in the province - in Barrie, Sarnia,
London, Brampton, Mississauga, and Guelph. In addition, new facilities are planned for
Oshawa, Sault Ste. Marie, Windsor and Toronto (for the St. Mike's Majors).
A number of these centres are comparable in size to Kingston (114,195 population) -
Barrie (103,710), Sarnia (70,876), Guelph (106,170), Sault Ste. Marie (74,566) and
London (336,539). (Source: Statistics Canada, 2001 Census, Census Metropolitan
Area.)
7. Anchoring the OHL in the Community
It is proposed that the new facility would become the home of the Kingston Frontenacs
of the Ontario Hockey League (OHL). The Kingston Memorial Centre does not meet
League requirements that teams play in home arenas of at least 4,000 seats. This
raises the serious proposition of Kingston without the presence of the OHL.
April 29, 2005
Economic Benefits of the Kingston Sports and Entertainment Centre (L VEC) 7
The L VEC, with its proposed 5,000 seats for hockey events, offers strong potential to
keep the Frontenacs in Kingston based on evidence from other OHL franchises. Sarnia,
Barrie and London have witnessed extremely positive impacts as a result of new
investment in similar facilities.
The Sarnia Stingers have sold out every game since the opening of the new centre in
1998. Their attendance numbers have increased from 2,000 to 4,200 per game -- an
increase of 110 per cent.
London provides even more evidence. Since the opening of the John Labatt Centre in
2003, game attendance for the London Knights has increased from 3,000 to sell-outs of
more than 9,000 during the 2004-2005 season.
Attendance figures for the Frontenacs at the Memorial Centre have been in the range of
1,800 to 2,000 per game. At the new L VEC, it is estimated that the team could see
attendance increase to 4,000 for regular games and 4,800 for play-ofts. This would
provide a boost to revenues and help anchor the Frontenacs in the city.
Lift in Attendance at OHL Games due to New Facilit
Franchise Old Facility
Sarnia Stingers 2,OOO/game
1,800-2,OOO/game
New Facilit
4,200/game
+110%
9,000/game (2004/05)
+2000/0
4,OOO/game (projected)
+ 100-1220/0
London Knights
3,OOO/game
Kingston Frontenacs
8. Improved Image
Kingstonians are very proud of their downtown, with 84 per cent in a recent BIA survey
indicating that they see the downtown core as the heart of the city and almost 91 per
cent seeing it as the city's heritage and cultural district. (Source: Downtown Kingston!
B.I.A. Market Analysis, December 31st, 2004. 8020lnfo Inc. - Consultants) In fact,
Kingston is considered to have one of the best downtown cores in Canada.
L VEC would become a source of civic pride and energize the community by drawing
attention and focus to this great asset. Kingston would be seen as progressive, a great
place to live and visit, and a good investment locale. L VEC would enhance the quality of
life for residents, helping to attract and retain a talented labour pool in today's highly
competitive ma rket.
As the Mayor's Task Force on L VEC recommended in its report: "It [the L VEC] should
be developed in such a way that it becomes a catalyst for future economic development
and a source of community pride."
April 29, 2005
Economic Benefits of the Kingston Sports and Entertainment Centre (L VEC) 8
9. An economic opportunity
Investment in the L VEC in conjunction with the other capital investments that the city is
undertaking presents an opportunity to not only depict Kingston as a vibrant and
energetic community, but to begin the process of positioning Kingston as an important
centre - as the hub of Eastern Ontario - much in the same way that London is now
seen as the hub of southwestern Ontario.
The John Labatt Centre (JLC) in London which "shattered its attendance and revenue
estimates in 2004" has proven to be an outstanding success. (Source: London Free
Press, March 23, 2005.) Revenues were 100 per cent higher than anticipated at almost
$13 million and the centre drew 600,000 people - 50 per cent more than the projection
of 400,000. (Source: National Post, December 11, 2004.)
John Labatt Centre in London
Projected Actual
# of events 80 121
Attendance 400,000 600,000
Revenue $6 million $13 million
The JLC has been able to attract top-notch talent (Sting, Cher, Sarah McLachlan,
Disney on Ice, Stars on Ice, Nickelback) and to draw attendance from Windsor and
Detroit, which are two hours away.
At the present time, Kingston does not have a venue to attract world-class talent.
The Kingston L VEC would be the only facility of its kind in Eastern Ontario between
Oshawa and Ottawa, drawing from a population of 1,392,346 and with little or no
competition. (Eastern Ontario includes Renfrew, Lennox and Addington, Lanark,
Frontenac, Leeds and Grenville, Prescott and Russell, Stormont, Dundas and Glengarry
as well as the City of Ottawa.)
Also it should be noted that Kingston is only a two-hour drive from the eastern edge of
Toronto and within driving distance of Ottawa and Syracuse, New York. (Source:
Statistics Canada, 2001 Census data.)
April 29, 2005
NIAGARA FALLS SPORTS & ENTERTAINMENT CENTRE
I. Project rationale:
· Municipalities across Ontario and Canada have made significant investments in
infrastructure to support sports, entertainment and tourism initiatives in their
communities. The proposed multi-purpose Sports & Entertainment Centre
("SEC") for Niagara Falls would represent such an investment by the
municipality.
· Recent examples include London, Oshawa, Sarnia, Windsor, Kingston, Barrie,
Mississauga, Sault St. Marie.
· This investment will generate a direct financial return for the City. Our proposal
includes a significant annual cash flow stream for the City from the operations of
the SEC, which would enable the City to finance a significant portion of the
capital cost.
· The economic impact of bringing an OHL team back to Niagara Falls, as well as
the economic activity generated by the major events hosted by such a facility will
be significant.
· Niagara Falls is uniquely positioned to reap even larger benefits than the other
municipalities in Ontario due to its strategic border location and the natural
synergies that will develop between the existing tourist attractors and the new
facility.
· Development of the SEC in the right location will also serve as a catalyst for
downtown renewal and revitalization.
II. Project participants:
A significant project of this magnitude and benefit to the community will take the
teamwork and contributions from the City of Niagara Falls, Stadium Consultants
International, Ellis Don Construction, the team's proposed owner Mr. Bitove and
Capital Sports Management Inc. as the facility manager.
III. Project Summary - Niagara Falls Sports & Entertainment Centre
· The City will construct and own the SEC, a 5200 multi-use sports and
entertainment centre, at a location to be determined, preferably downtown and in
close proximity to the Casino and proposed convention centre.
· Stadium Consultants International and Ellis Don Construction will enter into a
design-build agreement with the City. Ellis Don Construction will construct the
SEC for a fixed price and assume the risk of cost overruns.
· The Club will enter into a long-term license agreement with the City, acting as
the anchor tenant in the SEC.
· Mr. Bitove and Capital Sports Management Inc. will enter into a long-term
management agreement with the City to operate the SEC. The City will receive
80% of the net cash flow generated by the SEC, projected to average close to
$1.4 million per year over 30 years.
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NIAGARA FALLS SPORTS & ENTERTAINMENT CENTRE
IV. Project Scope and Financing
· Development and construction cost estimated at $37.8 million
· A financing package could be assembled as follows:
Source
millions
New City debt, supported by SEC cash flow
Re-allocation of savings from NF twin pad
project
Additional fundin
$18.0
10.7
9.1
Total
$37.8
New City debt supported by SEC cash flow: Based on the business plan and 30
year proforma submitted to the City, the City's share of the net cash flow from the SEC
operations could support debt of $18.0 million or more.
Re-allocation of savings from Niagara Falls twin pad project: We understand that
the City has allocated $18.0 million in capital budget funds to construct a twin pad
facility. SCI has proposed a more efficient twin-pad design with a $7.3 million capital
cost. Should the City alter its plans for the twin-pad and construct this more efficient
version, it could chose to re-allocate the savings ($10.7 million) to fund a portion of the
SEC construction costs.
Additional funding: A further $9.1 million in funding will be required. This may come
in the form of federal! provincial grants, development charges on downtown
revitalization, capital funds allocated to the downtown parking structure, incremental tax
financing, sale of surplus City land or existing City reserve funds. All of these sources of
capital have been utilized by other municipalities to finance similar facilities.
PAGE 2 OF 4
NIAGARA FALLS SPORTS & ENTERTAINMENT CENTRE
v. Com parables in Ontario
Kingston - under construction
· $41.8 million
· 5,125 capacity
· Financed as follows:
o City debt $24.3m
o Provincial government $4.0m
o Downtown BIA contribution $3.0m
o Private donations $2.0m
o Development charges $3.0m
o Kingston Accommodation $3.0m
o City reserves $3.4m
· Estimated direct economic impact - $13.4m to $26.6m per year, estimated #
of out of town visitors to Kingston - 75,000 per year / $7.5m increased
tourism spending, 150 incremental full-time jobs in the tourist industry.
London - John Labatt Centre
· $46.2 million
· 9,000 capacity
· Financed as follows:
o City debt $31.7m*
o Private sector $9.5m
o Fed/Provincial government $5.0m
o *City share of cash flow services only a portion of this
$31.7 million, structured as follows - Years 1-2 - NIL,
Years 3-5 - 20%, Years 6-10 - 45%, Years 11-50-
70%
· In 2005, the facility attracted 750,000 visitors, hosted the Memorial Cup, had
concert ticket sales ranked 2nd in the world for facilities of its size by Pollstar
Magazine
Oshawa - General Motors Centre
. $45 million
· 5,400 capacity
· Financed as follows:
o City debt
$45m
PAGE 3 OF 4
NIAGARA FALLS SPORTS & ENTERTAINMENT CENTRE
VI. Economic Impact of Proposed Facility
· Value of annual cash flow from operations of the SEC to the City - $18m over
30 years
· Annual economic benefits of an CHL franchise to the host community have
been estimated as follows:
· $1.8m in direct economic benefit
· $6.2m in indirect economic benefit
· $7.6m in induced economic benefit
· Estimated economic impact of the Kingston Sports & Entertainment Centre
on the City of Kingston have been estimated at:
· $13.4m to $22.5m of local economic activity
· 75,000 incremental tourists spending $7.5m per year
· 150 new full time jobs in the tourism industry
· Incremental investment - building the SEC will trigger significant new
investment in retail, residential and office development - using London as an
example, since the opening of the John Labatt Centre:
· 40% increase in housing stock in the area surrounding JLC
· office and retail vacancies in the area are at their lowest level
in more than a decade
· building permits have reached an all-time high
· Major events which will be hosted at the SEC have major economic impact:
· 2006 World Junior Hockey Championship, Vancouver BC -
$41m in economic activity in.Vancouver and BC
· 2006 Skate Canada estimated economic impact on City of
Ottawa - $8m
· 2004 Nokia Brier Economic Impact Assessment - $23.2m
economic impact on the Province
· 2002 Skate Canada economic activity for Quebec City -
$4.46m
· 2004 Scott Tournament of Hearts - $8.5m estimated
economic impact on Red Deer area
PAGE 4 OF 4