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HomeMy WebLinkAboutCSD-06-108 - Arena Decommissioning Update ) ~ Community Services ~ Report To: Date of Meeting: Submitted By: Prepared By: Ward(s) Involved: Date of Report: Report No.: Subject: Community Services Committee November 20, 2006 Keith Baulk, Director, Enterprise Division, 2393 Kim Kugler, Manager, KMAC, 2544 All November 8, 2006 CSD-06-1 08 ARENA DECOMMISSIONING UPDATE RECOMMENDATION: For information. BACKGROUND: The Leisure Facilities Master Plan (LFMP) has identified that the City has two aging single pad arenas with outdated ice plant technology. It was recommended that Queensmount and Patrick J. Doherty Arenas be replaced with more efficient and effective twin pad facilities. As a result the City has begun to plan and construct a new Hanson Ave. Twin Pad and planning will begin for a future Twin Pad at the Fischer-Hallman/Huron Complex. As well, the new ice pads at Sportsworld were also identified in the LFMP as being important in providing ice time for the community over the long term. A key component of the overall arena development strategy will be how to deal with the decommissioning of the two out-dated arenas as the new twin pads come on line. REPORT: This report is to provide Committee with an update on the process that will be undertaken relative to the decommissioning the aging Queensmount and Doherty Arenas. Council approved the decommissioning of Queensmount as an ice use facility in August 2004 (report #CRPS-04- 141) based on the City's ability to secure ice at Sportsworld Twin Pad. In fact Queensmount was decommissioned for much of 2004//05 but ice was re-installed for the 2005-06 season due to the financial issues of the previous owners of Sportsworld and the uncertainty surrounding the viability of that facility. For the current 2006-07 season the City was able to secure an CSD-06-1 08 - 2- agreement for ice at Sportsworld with the new owner, GPM Managed Investments Inc., for one year. This meant the City no longer needed to install ice at Queensmount to meet demand. P.J. Doherty is currently fully operational and will continue to operate at least through the 2007/08 season. Queensmount Arena Process The City only was able to secure a one year agreement with Sportsworld for the 2006-07 ice season. As a result no long term interim use solution for Queensmount can be developed until either a longer term agreement is signed with Sportsworld or the new City owned twin pad is fully operational. Therefore only annual year to year plans and programs can be implemented at this time. The following is the tentative interim plan for Queensmount: 1. October/November 2006 - RFP to be forwarded to minor sports groups for the need for a floor activity during the winter months so that a November 2006 - March 2007- interim use(s) can be determined. 2. April 2007-0ctober 2007 - traditional Minor floor sports and Oktoberfest 3. November 2007 -March 2008 - possible ice pad or interim use to be determined 4. April 2008-0ctober 2008 - traditional Minor floor sports and Oktoberfest 5. July 2008 - commence the public process to determine long-term use or uses Staff is completing an RFP that will be sent to local sports associations for interim proposals for the use of Queensmount from November 2006 to March 2007. The RFP would outline the conditions for use this season only on the following conditions: 1. Period for potential uses - November 2006 to March 2007 2. Use cannot be for an ice rink - floor use only 3. No heat will exist in the arena floor area - portable heating and utilities would be at the expense of the user 4. The user must be able to cover all City staff costs and as a minimum the rental must result in a break even position 5. A financial proposal to be included P. J. Dohertv Arena Process Staff will provide a report relative to the decommissioning strategy for Patrick J. Doherty in the future. The timing of the report will depend on the City's ability and desire to enter into a long term agreement with Sportsworld. The demand will continue to exceed supply if the current Sportsworld operators decide not to enter into an ice time agreement with the City. In this instance the City may need to continue to utilize Patrick J. Doherty arena on the longer term. is expected that the longer term use of Sportsworld will be determined by the spring of 2008. FINANCIAL IMPLICATIONS: Staff have discussed funding options to complete the review and decommissioning process and it may be funded through either Asset Management or the 2007 Capital budget. It is expected approximately $40,000 will be required but the final amount will become clearer as the terms of reference are developed. Overall this funding is necessary to further develop and implement the strategies for alternative uses both for the interim and long term in addition to costs associated with initial decommissioning of the ice plants. CSD-06-1 08 - 3 - CONCLUSION: This report provides an initial overview of the process to determine uses for Queensmount arena and ultimately Patrick J. Doherty arena. Detailed longer term strategies will be developed in the future. Keith Baulk Director Enterprise Division, Community Services AP