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16. MOTION REGARDING CENTRAL CANADA EXHIBITION ASSOCIATION TICKET SURCHARGES

MOTION CONCERNANT LES SURCHARGES SUR LE PRIX DES BILLETS D’ADMISSION – ASSOCIATION DE L’EXPOSITION DU CANADA CENTRAL

COMMITTEE RECOMMENDATION

That Council approve:

WHEREAS at its meeting of June 11, 2003, City Council approved a rental rate of $350,000 to be paid by the Central Canada Exhibition Association (CCEA) to Lansdowne Park;

AND WHEREAS at its meeting of July 13, 2005, City Council further reduced the rental payment by the CCEA to Lansdowne Park to $250,000 for each of the years 2005 through 2007;

AND WHEREAS City Council approved bridge financing to the Lansdowne Park operating budget in the amount of $100,000 for each of the years 2005, 2006 and 2007 to off-set the rent reduction for the CCEA;

AND WHEREAS the collection and remittance of ticket surcharges by the CCEA to Lansdowne Park was not specifically addressed by the recommendation approved by City Council, and requires clarification;

AND WHEREAS the business plan and budget for Lansdowne Park is developed on the basis of recovering the revenue associated with the ticket surcharge to cover costs of operation;

BE IT RESOLVED that the bridge financing to the Lansdowne Park operating budget be increased by a further $25,000 for each of the years 2006 and 2007 to off-set the shortfall of ticket surcharges by the CCEA and this bridging be funded as a one time item from the City Wide Capital Reserve Fund.

RECOMMENDATION DU COMITÉ

Que le Conseil approuve :

ATTENDU QUE, à sa réunion du 11 juin 2003, le Conseil municipal a accepté de fixer à 350 000 $ le loyer annuel devant être versé par l’Association de l’Exposition du Canada central (AECC) pour la location du Parc Lansdowne;

ATTENDU QUE, à sa réunion du 13 juillet 2005, le Conseil municipal a ramené à 250 000 $ le loyer annuel devant être versé par l’AECC pour la location du Parc Lansdowne au cours des années 2005 à 2007 inclusivement;

ATTENDU QUE le Conseil municipal a consenti à la direction du Parc Lansdowne, relativement à son budget de fonctionnement, un financement provisoire de 100 000 $ par année pour les années 2005, 2006 et 2007, afin de compenser la diminution de loyer accordée à l’AECC;

ATTENDU QUE la recommandation approuvée par le Conseil municipal ne mentionnait pas expressément la perception de surcharges sur le prix des billets d’admission par l’AECC et la remise des sommes ainsi perçues à la direction du Parc Lansdowne, question qui nécessite une clarification;

ATTENDU QUE le plan d’affaires et le budget du Parc Lansdowne prévoient le recouvrement des recettes liées à la surcharge sur le prix des billets d’admission comme moyen d’éponger les coûts d’exploitation;

IL EST RÉSOLU d’accroître de 25 000 $ par année pour les années 2006 et 2007 le financement provisoire consenti au titre du budget de fonctionnement du Parc Lansdowne, afin de compenser le manque à gagner de l’AECC lié à la surcharge sur le prix des billets d’admission, ce financement provisoire étant assuré au moyen de crédits non récurrents provenant du Fonds de réserve panmunicipal pour les immobilisations.

DOCUMENTATION

1. Corporate Services and Economic Development Committee report dated
18 October 2006 (ACS2006-CCS-CSE-0011).

2. Extract of Draft Minute, 17 October 2006.

Report to/Rapport au :

Council / Conseil

18 October 2006 / le 18 octobre 2006

Submitted by/Soumis par : Corporate Services and Economic Development Committee

Comité des services organisationnels et du développement économique

Contact Person/Personne ressource : Dawn Whelan, Coordinator,Corporate Services and Economic Development Committee / Coordonatrice, Comité des services organisationnels et du développement économique

City Clerk’s Branch/Direction du greffe

(613) 580-2424 x21837, Dawn.Whelan@ottawa.ca

Ref N°: ACS2006-CCS-CSE-0011

SUBJECT:	MOTION REGARDING CENTRAL CANADA EXHIBITION ASSOCIATION TICKET SURCHARGES

OBJET :	MOTION CONCERNANT LES SURCHARGES SUR LE PRIX DES BILLETS D’ADMISSION – ASSOCIATION DE L’EXPOSITION DU CANADA CENTRAL

REPORT RECOMMENDATION

WHEREAS at its meeting of June 11, 2003, City Council approved a rental rate of $350,000 to be paid by the Central Canada Exhibition Association (CCEA) to Lansdowne Park;

AND WHEREAS at its meeting of July 13, 2005, City Council further reduced the rental payment by the CCEA to Lansdowne Park to $250,000 for each of the years 2005 through 2007;

AND WHEREAS the business plan and budget for Lansdowne Park is developed on the basis of recovering the revenue associated with the ticket surcharge to cover costs of operation;

RECOMMANDATION DU RAPPORT

BACKGROUND

At the Corporate Services and Economic Development Committee of 17 October 2006, the Committee approved the above-noted motion. The matter is now before City Council for its consideration.

CONSULTATION

No public consultation was undertaken.

FINANCIAL IMPLICATIONS

Staff in Financial Services Branch have provided the following comment:

Subject to Council approval, funds are available from the City Wide Capital Reserve Fund to increase the 2006 bridge financing to Lansdowne Park by $25,000. The 2007 draft budget will incorporate this additional bridge financing amount.

SUPPORTING DOCUMENTATION

Document 1 – Draft Extract of Corporate Services and Economic Development Committee Minute, 17 October 2006

DISPOSITION

Financial Services Branch staff will take the steps necessary to comply with Council’s direction (as per comments set out above in Financial Implications section).

MOTION REGARDING CENTRAL CANADA EXHIBITION ASSOCIATION (CCEA) TICKET SURCHARGES

MOTION CONCERNANT LES SURCHARGES SUR LE PRIX DES BILLETS D’ADMISSION – ASSOCIATION DE L’EXPOSITION DU CANADA CENTRAL

Moved by Councillor R. Jellett

That the Corporate Services and Economic Development Committee approve the addition of this item for consideration by the Committee at today’s meeting pursuant to Section 81(3) of the Procedure By-law (being By-law no. 2005-431).

CARRIED

Kent Kirkpatrick, City Manager, noted the motion before the Committee related to the ticket surcharge for the Central Canada Exhibition (CCEA), an issue that was missed in 2005 when Committee and Council dealt with the matter of the rent paid by the CCEA to Lansdowne Park. This motion is recommending Committee and Council approve the amount of the surcharge (i.e. $25,000) also be provided as relief to the CCEA for the years 2006 and 2007.

Acting Chair Hume, added when the lease was approved in 2005, the words “all in” were used in reference to the rent of $250,000. In 2005, the CCEA paid the rent of $250,000 but they did not pay a surcharge. Staff questioned whether this was in keeping with Council’s intent, as the surcharge was included in the City’s budget. He stated as a result, this gap needs to be bridged and therefore this motion is before the Committee for consideration and recommendation to Council.

In response to questions from Councillor Cullen, Mr. Kirkpatrick clarified the existing Lansdowne Park budget anticipated the additional ticket surcharge revenue (i.e. $25,000). If this had been caught when Council dealt with the overall issue, the amount of relief that Council provided, would have been increased by $25,000.

Councillor Cullen agreed to move this motion.

Moved by Councillor A. Cullen

WHEREAS at its meeting of June 11, 2003, City Council approved a rental rate of $350,000 to be paid by the Central Canada Exhibition Association (CCEA) to Lansdowne Park;

AND WHEREAS at its meeting of July 13, 2005, City Council further reduced the rental payment by the CCEA to Lansdowne Park to $250,000 for each of the years 2005 through 2007;

AND WHEREAS the business plan and budget for Lansdowne Park is developed on the basis of recovering the revenue associated with the ticket surcharge to cover costs of operation;

CARRIED