THUNDER BAY -- The city is moving ahead with its proposed event centre.
In an 8-5 vote Thursday, city council was satisfied with an updated financial proposal that could see it spend more than 50 per cent of the $114 million cost for the event centre.
In a special meeting Thursday council learned that it could debenture nearly $30 million should the province match $23 million in gas tax funding, not the asked for $36 million the city has requested.
The vote means the city will extend its letter of intent with the Thunder Bay Live Consortium to the end of April and move to the project's design and build phase if federal and provincial funding comes through. The city's share would be $41.9 million, $36 million from the province, $9.5 million from the private sector and $23 million from federal gas tax funding.
While many had concerns coming into the meeting about using gas tax money for the event centre, administration said that based on federal forecasting, the city will actually see $16 million more from the federal fund while still spending more on infrastructure, up to $38 million by 2018. Coun. Aldo Ruberto, in a passionate speech about improving the city's quality of life, said the city could have done a better job communicating that there will be more gas tax money available to the city over the next decade.
""We found out tonight that's a myth. There's not going to be less money for infrastructure," Ruberto said.
Many on council said while they would have liked to see the original plan that had the city only pay a third of the funding come through, the updated financial plan will still see millions come to the city form other levels of government that otherwise wouldn't have.
"That money will go somewhere else,” Coun. Joe Virdiramo said.
Coun. Andrew Foulds said he wasn't happy with the way the financial plan turned out but it still means the city is only spending around 40 cents on the dollar to build an event centre.
"I think that that is a good deal," he said.
But Coun. Rebecca Johnson pointed out that the only money that wasn't coming from the taxpayer is $9.5 million from the private sector that isn't guaranteed.
"Ladies and gentlemen that’s coming out of my pocket and yours,” she said.
Coun. Shelby Ch'ng said she was more concerned that gas tax money could be used on other infrastructure. Using reserves and debt for the event centre is too great a risk when there are 600 projects in her Northwood ward alone that need to be addressed. It's nice to have nice things but not when they come at the cost of other infrastructure.
"I refuse to be made to feel that I’m stupid or that I lack vision or that I lack common sense,” she said.
Other councillors pointed out that at some point the Fort William Gardens needs to be replaced. Virdiramo said he voted in favour of moving forward for the city's future.
"I'm voting for the young generation," he said.
Coun. Iain Angus agreed pointing out that many projects in the city's history have been met with a lot of opposition only to have that same opposition use the facilities once they're built.
"This is about leadership," he said.
Council had some concerns about a deal with True North Entertainment, which owns the Winnipeg Jets and its AHL affiliate. Gary Green, representing the group, said negotiations are ongoing with the city but if funding is there and council agrees to build the event centre, he's confident the AHL team will move to Thunder Bay, an agreement that's currently a seven-year deal.
“We are very close right now to a business decision,” he said.
Earlier in the night council heard seven deputations from the public, most opposed to the project due to funding concerns.
Former Northwood candidate Frank Armiento urged council to delay the project until it had funding in place rather than use gas tax funding and debt.
"It's clear to everyone there is no funding," he said. "The money is not there."
Supporter Rod Bosch, who has worked on a number of curling events in the city, said a new centre could attract national events. Even the Brier, which hasn't been held in the area since 1959, has shown interest if a proper facility was in place.
"They want to be here. So does the Scotties,” he said.
