- ADMINISTRATIVE REPORT Date: July 24, 1996 Dept. File No. TO: Vancouver City Council FROM: General Manager, Community Services SUBJECT: Orca Bay Sports & Entertainment Application for 1998 All-Star Weekend at Hastings Park CONSIDERATION A. THAT Council agree to Orca Bay's request to use Hastings Park for NHL All-Star events in January of 1998, generally in accordance with terms outlined in Orca Bay's letter of July 24, 1996, with the exception of item 6, subject to a final agreement to the satisfaction of the General Manager of Community Services and the Director of Legal Services; -or- B. THAT Council agree to Orca Bay's request to use Hastings Park for NHL All-Star events in January of 1998, generally in accordance with the Park Board's resolution of July 22, 1996, subject to a final agreement to the satisfaction of the General Manager of Community Services, the General Manager of Parks and Recreation and the Director of Legal Services; -or- C. THAT Council not agree to Orca Bay's request to use Hastings Park for NHL All-Star events in January of 1998. GENERAL MANAGER'S COMMENTS The General Manager of Community Services believes that A is in the best long-term interests of Hastings Park and Vancouver. However, recognizing the divided opinion in the community on this and the position taken by the Park Board, he submits the choice among A, B, or C for Council's CONSIDERATION. COUNCIL POLICY On January 16, 1990, City Council reaffirmed the City's intention to resume control and operation of Hastings Park upon expiry of the lease with the Pacific National Exhibition. Council's intent has been to restore Hastings Park to dominant park use with abundant green space and trees instead of buildings and asphalt. On February 29, 1996 Council adopted the Hastings Park Restoration Program as the basis of a conceptual design plan for the new Hastings Park. This program identifies the following objectives: - Restore the park s streams; - Restore the park s natural features; - Restore a green sanctuary; - Focus community pride; - Connect the park to the neighbourhood; - Connect the park with adjacent parks; - Integrate active and passive park uses; - Integrate the old with the new; - Integrate the racetrack within the park; - Experiment with new ideas; - Create a safe park. BACKGROUND In February of this year, the City agreed to a final lease extension with the Pacific National Exhibition, the principal tenant on the Hastings Park site. The PNE will vacate the site at the end of September 1997. On October 1, 1997, the City will assume sole operating responsibility for the site and its facilities, exclusive of the racecourse, which is leased to the Pacific Racing Association. DISCUSSION The City has received a request from Orca Bay Sports and Entertainment, owner of the Vancouver Canucks and GM Place, to delay demolition of many of the buildings on the site. Orca Bay wishes to use these buildings in association with an NHL All-Star Weekend proposed for Vancouver in January of 1998. The Hastings Park buildings would be used for an "NHL FANtasy", a festival-like event, which would occupy Hastings Park from January 9, 1998 to January 27, 1998. In return for building retention and use, Orca Bay proposes to pay the City a sum of $225,000 to be used for the restoration of Hastings Park. Orca Bay would also pay all the City's costs for retaining, opening and operating the buildings for this event. The general terms of Orca Bay's request are outlined in a letter dated July 24, 1996, from Mr. Tom Anselmi, Vice President, Operations and General Manager of the Orca Bay Arena Corporation. This letter is attached as Appendix A to this report. If Council is not opposed to letting the Hastings Park buildings stand for another four months, then Orca Bay's terms are generally acceptable, with the exception of item 6. This item has not been previously discussed with the City and was introduced for the first time in Mr. Anselmi's July 24th letter. Among other things, this item requests the City's assistance in a number of advertising endeavours, some of which are outside the City's powers (e.g., "welcome signage at key airports..."). Other parts of item 6 are standard FEST committee arrangements. These are unlikely to be a problem, but are best dealt with independently of the specific arrangements to use the Hastings Park facilities. City staff encouraged Orca Bay to take its request to the Park Board before bringing it to Council. The Park Board is preparing a plan for Hastings Park; that plan may specify the early demolition of many of the buildings Orca Bay is requesting to use; and the Park Board has expressed an intense interest in all matters relating to Hastings Park and its disposition. The Park Board has had discussions with Orca Bay and with the community. Park Board staff have summarized these discussions and the Board s deliberations as follows: The community has been divided on the issue. An Orca Bay sponsored opinion poll showed wide support in the immediate area, but the Hastings Park Working Committee has opposed this use of the Renfrew Complex as it delays the demolition of at least two of the buildings (Food Mart, Show Mart) by four months. Furthermore, the Committee believes that a favourable response to this proposal would make it more difficult to say no to future proposals for building use, that potentially perpetuate the retention of the entire Renfrew Complex. The Renfrew Complex has symbolic value for many members of the community. It is a massive, impenetrable barrier to the site and as part of the Council approved restoration program, these buildings are to be removed, creating important gateways to the heart of the park. Early demolition of these buildings will send a clear message to the community that the new Hastings Park is becoming a reality. For this reason, the Park Board felt it important to commit to immediate demolition following the event. Orca Bay also shared this objective and advised the Working Committee on July 5th, 1996 that we will seek as part of our agreement with the City, its confirmation that the demolitions will go forward expeditiously following the All Star Event . At its meeting on July 22, 1996, the Park Board passed the following resolution: THAT the Board endorse the 1998 NHL All Star Game Proposal for the Hastings Parksite in January 1998 using the Renfrew Complex, Agrodome, and Coliseum subject to the following terms and conditions: 1. THAT the additional cost of maintaining and securing these buildings between September 1997 and January 1998 be borne by Orca Bay. 2. THAT Orca Bay contribute a minimum of $225,000 net of all expenses toward the restoration of Hastings Park. 3. THAT Orca Bay offer to assist the Hastings Park working committee and Park Board with fundraising activities for the restoration of the Park. 4. THAT all the arrangements for the above be to the satisfaction of the General Manager. 5. THAT an overall demolition contract be let by October 1, 1997 for the immediate removal of the B.C. Pavilion and Administration Building, and the subsequent removal of the Purefood Building and Showmart Building commencing January 31, 1998. 6. THAT Council not make any further leases with the PNE beyond this one for any part of the Hastings Parksite and that control for the Hastings Parksite be turned over to the Park Board on October 1, 1997. Conditions 1 and 2 are consistent with Mr. Anselmi's offer and are not a problem. Condition 3 is a nice gesture, but effectively not enforceable and, therefore, of limited relevance to the desirability of acceding to Orca s request. Condition 4 is a potential problem if Council and the Park Board disagree on the terms of the agreement with Orca Bay. Conditions 5 and 6 are unacceptable. Council should not agree to these until it has approved a final plan for park restoration, including a capital program, an annual operating plan and a budget. Council has clearly decided not to extend the PNE further. However, it would be premature for the City to make the other commitments until it has assurance that the final Hastings Park plan is sound and workable. * * * * *