City of Brantford Council didn’t weigh all of the potential factors when they approved the design and potential construction of a new Sports and Entertainment Centre (SEC).
Council did not have the best interests of the residents in mind, the people they are supposed to serve, when they rushed their decision to proceed with the new SEC. Council was blinded by the light of a shiny object or they couldn’t see the forest through the trees as they didn’t consider all of the implications and repercussions of agreeing to build a $140 million facility.
When making a decision like this one, there should have been many things to consider. Instead of telling residents they were going to build a new SEC maybe they should have asked, “should we build a new SEC?” If they asked the latter, then the following are just some of the things they would have had to consider.
Location, location, location
When considering this project, Council immediately said it was going to go next to the current Civic Centre. Yes, they did instruct Brian Hutchings, CAO for the City of Brantford, to investigate potential locations but I don’t remember ever hearing what the potential locations would have been or even if there was a discussion surrounding the different options.
In Council’s desperation to revitalize the downtown core, their only focus was the site of the current location. Well, does that really make sense? Truthfully, probably not considering parking is already a nightmare while attending Bulldogs games. Currently, if fans want a parking spot, you probably have to arrive 60 to 90 minutes prior to puck drop and that is not just feasible for families or people just finishing work on game days.
I would have loved to see Council publicly discuss the different options and conduct a feasibility study to see which option truly made the most sense. Council did actually discuss the potential locations for the new facility, unfortunately not in public.
During their Committee of the Whole meeting on September 7, 2023, Council made the following motion, “THAT Council MOVE IN-CAMERA to consider the following: 6.1 Major Sport and Entertainment Facility Criteria and Location.”
That’s wonderful for Council but residents did not get to hear what was discussed or how Council came to their decision.
The location that I have been most excited about is Garden Avenue. There is, I believe, a 250-acre plot of land available and I don’t know if the City owns it or not but when you are paying $140 million, what’s a few extra million to purchase land? It is a great location, right off the highway, and easily accessible by fans and visiting teams.
There is already some infrastructure there as far as hotels and restaurants, and if you are a fan of “Field of Dreams” then you know “if you build it, they will come.” This could have become a more viable development strategy.
Council unilaterally chose the downtown location without any input from residents. I would have loved to see Council give residents a chance to vote on the potential location of a new SEC.
Transparency and lack of consultation
I have written about this previously but I just have to mention how disturbing it is that residents did not get a chance to voice their opinions or concerns or ask questions of Council regarding this project. You can’t proceed with a nine-figure project and think the 600 people that answered a survey and the 100 people that were in their one ratepayer meeting speaks for a population of 108,554.
When Council decided to sell a piece of land (Arrowdale), they held two public meetings at the Sanderson Centre to hear from residents. But when you are contemplating a nine-figure debenture like a new Sports and Entertainment Centre, you don’t get to have your voice heard.
Commitment from Brantford Bulldogs
Michael Andlauer, owner of the Brantford Bulldogs, has verbally committed to keeping the team in town if Council builds a new SEC. Truthfully, I believe him completely that he will keep his word and remain in town. The concern is for how long.
Council went about this entire project backwards. Before passing this resolution, I would have met with Bulldogs ownership and requested a memorandum of understanding, formally acknowledging the team’s commitment to the City. I would have ensured that there was a clause in the agreement stating that the team would play out of the new facility for 15 years.
Anything less than the length of the debenture could prove very costly to the municipality. If the Bulldogs sign a lease for five or ten years, that could potentially leave the City without a tenant for the last five or ten years of the debenture. So now you would have a new facility with exorbitant operational costs and no one to share those costs with.
If Council’s financial plan is solid and they are able to pay $10 million per year to the debenture, it would be fully paid off in 15 years or so, including interest. But if the Bulldogs only stay for five years, how would the municipality cover those costs?
I also would have made a request of the Bulldogs, asking if they would consider covering half of the construction costs. That would cut the municipalities’ debenture in half and cut the team’s lease agreement to seven years, which, in my opinion, is a win for both parties. If this was agreed to, both sides could negotiate other benefits, like the team would play rent-free for the seven years and a potential revenue-sharing agreement.
Regardless, Council did none of these things and now they are going to spend hundreds of thousands of dollars (if not millions) on the design phase of this project and have no way to recover those costs if they choose not to proceed with the construction of the facility.
Long-term financial implications
Finally, but most importantly, there will be long-term financial implications on the City and its residents.
During their Special Council Meeting on Tuesday, October 8, 2024, several members of Council asked staff if there would be financial implications on their taxpayers. Staff said the debenture portion of the project would be funded from the new developments.
“The debt servicing costs would primarily be paid from incremental property taxes generated from the developments that were just highlighted in the lower downtown area. Post development, these property taxes are estimated to be $9.5 million and current taxes on these properties are half a million dollars, meaning incremental taxes would be $9 million annually,” said Joelle Daniels, Commissioner of Corporate Services and City Treasurer, during the special meeting.
However, no one clarified the impact on taxpayers from the operational costs of the facility or a potential shortfall when it comes to the debenture. Council clearly believes there will be no financial impact on the taxpayers and that may be true. However, that can only be true for the next two years.
The current iteration of Council only has two years left on their term. Hypothetically, let’s say that during the next scheduled municipal election, which is in October of 2026, six current councillors don’t run again, or better yet, six of them lose their seats. That means there will be six new bodies that may be against the SEC and while they can’t reverse Council’s decision, they could find unique and interesting ways to cover the costs associated with it.
A new Council could increase property taxes to cover any shortfall or they could do something else like create a Sports and Recreation Tax Levy to recover any costs associated with sports and recreation within the municipality, including funding the SEC. That amount could be $200, $500 or even $1,000 that would be separate from the property taxes the City receives, which could go into a little pot to fund this over-priced Sports and Entertainment Centre.
If I were a parent in Brantford and it came down to giving the City $500 for a sports centre that I had no say in approving or feeding and clothing my children, I know the choice I would make.
The current Council has no right believing that the SEC won’t impact taxpayers because they just don’t know what the future will bring.
Final thoughts
Overall, this project could potentially be a $140-million mistake. A mistake that could prove costly to residents for years to come. There was very little consultation, no thought or planning to negotiate in advance with the Bulldogs, blinders on when it came to the location and no real thought or planning into the potentially devastating financial impacts on the municipality and its residents.
In an effort to push this through at the speed of light, Council may have gotten their legacy project and it could all work out. However, it could also be the project that financially cripples Wayne Gretzky’s hometown.
Only time will tell.
