QQQQ 960411 BLUE
File Reference Number: 2204 TT 960509
SUPPORTS ITEM NO. 1
CS&B COMMITTEE AGENDA
MAY 9, 1996
ADMINISTRATIVE REPORT
Date: April 11, 1996
TO: Standing Committee on City Services and Budgets
FROM: Director of Finance
SUBJECT: Grant Request -
1997 Canadian Figure Skating Championships
RECOMMENDATION
THAT Council NOT approve the grant request of $76,000 from the
Canadian Figure Skating Association.
GENERAL MANAGER'S COMMENTS
The General Manager of Corporate Services RECOMMENDS approval of
the foregoing.
COUNCIL POLICY
City Council, on April 29, 1986, adopted a policy that it would not
consider financial support, in the form of hospitality grants or
otherwise, to conventions being held in Vancouver, sport teams holding
championships in Vancouver or to other events of this nature, except
that when senior staff, in their professional capacity, are directly
involved in the event, and that when the topic is particularly
relevant to the business of the City.
Approval of grant requires eight affirmative votes of Council.
BACKGROUND
The Canadian Figure Skating Championship is an annual event organised
by the Local Organising Committees of the Canadian Figure Skating
Association. The City of Vancouver has been selected to host the 1997
Canadian Figure Skating Championships from February 6 to February 19,
1997, at General Motors Place.
The Championship is a commercial event, with the net proceeds going to
support figure skating programs. The 1997 event in Vancouver is
expected to generate an economic benefit of $15 million to the
province. Tourism Vancouver is involved with the Local Organising
Committee to provide assistance in the organisation of the event.
Various levels of government and the business community have been
contacted and arrangements are being made for the 1997 event.
DISCUSSION
Following the receipt of the request from the Canadian Figure Skating
Association, B.C. Section, (Appendix A), staff have contacted Mr. Brad
Boyes, Local Organising Committee Sponsorship Chair, and have received
further details on the request. The Committee is looking for the City
to provide a grant of $51,000 to cover the rental cost of the arenas
at the Pacific National Exhibition, as well as a grant of $25,000 to
host a hospitality event, for a total of $76,000.
The hosting of the Canadian Figure Skating Championship requires three
arenas. A contract has been reached to hold the junior and senior
event at General Motors Place. For the novice event and for practice
ice, the Local Organising Committee has contacted the Pacific National
Exhibition for the use of the Coliseum and the Agrodome. Rental for
these two facilities is estimated to be $51,000.
The Local Organising Committee is also looking for the City of
Vancouver to host a hospitality event at an estimated cost of $25,000.
The $25,000 represents the total cost of the event which could be
reduced if other sponsors can be bought in to share the cost.
Staff have advised the Local Organising Committee that their grant
request does not comply with current Council policy, and staff would
be recommending that the request not be approved on that basis.
However, the Local Organising Committee is also putting in a bid to
host the World Figure Skating Championship in Vancouver in 2002, and
they believe that the success of the 1997 Canadian Figure Skating
Championship would greatly influence the success of that bid. The
Committee believes that these two events are of significant importance
to the City of Vancouver and the Chair would like to have an
opportunity to address Council on the issue.
The Director of Finance submits this request to Council with the
recommendation that the request not be approved. It is also noted
that the Provincial sales and income taxes allow the Province to
capture back some of the economic benefits of events like this one.
The City s property tax has no such capability, and therefore the City
will not benefit financially from either the 1997 or 2002 events.
However, should Council decide to provide financial support to the
event, the source of funds for the grant is Contingency Reserve.
* * * * *