Tag Archives: Downtown Arena

Civic Matters

28 Days Later?

Last week, the Journal’s John MacKinnon did a write-up on potential uses for our soon-to-be downtown arena by the city during the 28 days per year City Council was “savy” enough to secure it’s use for, in the arena agreement.

28 days a year, in an arena we own….A couple Edmontonians react to the news.

Ok, I’m done being sarcastic now, at least until the next blog post.  So what do you do with the biggest rink in town for 28 days a year?

The article delves into some specific options, however with some time to go obviously before city staffers start booking bands or whatever, I think we’d do well to first decide on some guiding principles for it’s use during these days.  Namely, I hope, this one; that for 28 days a year, this facility and the district around it should be open and interactive, with events, activities and what have you that are easily affordable if not completely open to the public.   That are setup to keep people around, interested and active all day, rather than sending them off home after a few hours.  Surely in a full ‘arena district’ this is do-able, and at a policy level, this is an amenity which could well be tied into the developing WinterCity strategy, with the creation of new winter festivals and events.  We’ve got it for four weeks, I’d say that’s a few too few, but the deal’s done, the onus here should be, to make them full, active days, and even throw in the opportunity for the kids, little to middle-aged, to take a skate on NHL ice.  The arena can go back to being expensive the other 337 days per year.

City Council Civic Matters

All Wings Report In

City Manager Simon Farbrother fights through traffic en route to report to City Council on arena negotiations between the CoE and the Empir….Katz Group

On September 23rd, Edmonton’s City Council will be holding a special meeting to hear an update on arena negotiations.  Don’t bother going, its one agenda item is ‘private’.

Proposed Arena Project Update – Verbal Report

Sections 16, 21, 23, 24, 25, 27 of the Freedom of Information and Protection of Privacy Act

It’s definitely not the first time Simon Farbrother has updated Council in private:

September 14th,

8.3

City Manager Update – Arena Project – Verbal Report

Item 8.3 – Addendum

Sections 16, 21, 23, 24, 25 and 27 of the Freedom of Information and Protection of Privacy Act

April 6th,

Verbal Report – Potential Downtown Arena – Update on Negotiated Outcomes Passed

Sections 16, 23, 24 and 27 of the Freedom of Information and Protection of Privacy Act

 

March 2nd,

9.1

Update on Arena Negotiations – Verbal Report K. Leibovici

Sections 16, 23, 24 and 27 of the Freedom of Information and Protection of Privacy Act

 

If you spend enough time looking through Council agendas, you’ll find that a ‘verbal report’ for a private item isn’t the most uncommon thing to happen in Council chambers.  A several hundred million dollar public investment into a proposed city-owned, privately run facility, with the majority of proposed revenue going to the minority investor is on the other hand, not so common.  While publicly releasing a report may indeed compromise the city’s bargaining position with the Katz group at this time, a deal this large, this controversial, and with so many on-going issues regarding process and transparency, at the very least deserves a paper trail for future decision makers, public servants, and members of the public who may wish to use the Freedom of Information Act to peer into this issue in the future.  Even if it ends up sitting on the shelf, unread by everyone but a city manager, 12 councillors and a mayor for the next several years, there’s no FOIPing the City Manager’s brain.  Having a written report prepared for Council leaves open the opportunity to peer into the arena deal in the future, even if it is post-mortem.

 

*Update, Sept 23

So a public component was added to the meeting ;)

In-Private Discussions
It is the City Manager’s intent to discuss
in public those things that can be
discussed in public.
You can checkout some of the meeting's Twitter coverage at the Edmonton Journal
City Council Civic Matters

Arena District & City Council (Round 2)

On Friday, December 10th, the downtown arena will be back on Council’s agenda.  The meeting package is available, and includes answers to written questions submitted by Councillors following the Katz Group’ first trip to city hall late last spring.

One the more interesting reports included is background information on all the NHL arena’s currently in use.  The currently proposed funding model, a city-funded, city-owned arena with 100% of revenue going to the primary tenant, with the city left to collect revenue in the form of property taxes from new developments surrounding the site would seem to be a fairly unique situation in the NHL.  That said, the report does include a few similar scenario’s which currently exist in the league:

Anaheim Ducks
The team plays in the Honda Center owned by the City of Anaheim and operated by
Anaheim Arena Management, LLC. The facility opened in 1993 and was built by Huber,
Hunt & Nichols for $123 million. The facility was 100% publicly financed and Ogden
Entertainment is assuming the debt for the bonds issued by the city through a 30-year
agreement. On December 13, 2003, the City of Anaheim reached a 30-year Facility
Management Agreement with Anaheim Arena Management, LLC, which gave AAM the
right to manage, maintain, and operate the Honda Center. In the nine years leading up
to the new agreement in 2003, the City had to expend a total of $40.2 million more than
it received in revenues for arena operations. The new agreement was crafted to reduce
the public sector’s responsibilities. Maintenance is now the responsibility of the
franchise through its management company.

Phoenix Coyotes
The team plays at Jobing.com Arena owned and operated by the City of Glendale. The
facility opened in 2003 and was built for $220 million. The arena was funded by a $180
million contribution from the City of Glendale ($30 million in general obligation bonds
and $150 in excise tax funding). The city planned to repay its debt from revenues
generated from activities surrounding the facility. The Coyotes’ owner agreed to pay for
any cost overruns and to repay the city for its investment if the commercial property
surrounding the arena did not generate enough money to offset the city’s investments.
The entire financial plan has collapsed and the team filed for bankruptcy protection.
The City of Glendale is responsible for all maintenance and the costs for the facility’s
construction and new potential owners have each submitted bids that would require
Glendale to assume responsibilities for all construction related expenses and
maintenance. No new ownership group has yet been designated and that team and the
matter remain under the oversight of the bankruptcy judge and the NHL that is operating
the team.

Civic Matters In The News

A Downtown Arena and The Hockey News

From the October 25th edition of the Hockey News….

Early reports had the Katz camp seeking 100 percent control and 100 percent of the revenue (hockey and otherwise) of a 100 percent taxpayer-funded arena.

Once the laughing stopped in Edmonton, the Katz Group agreed that further discussion might be necessary.

“of a 75% percent taxpayer-funded arena” would have been more accurate, but it shouldn’t stop us from filing this under the funny ’cause it’s true category.