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COMMITTEE OF THE WHOLE

For meeting to be held on: Submitted by: For: January 11, 2011 Aileen Murray Ec.D. (F) , Manager of Information Economic Development Subject: SIX COUNTY TOURISM PRODUCT DEVELOPMENT REPORT

BACKGROUND:

Norfolk County’s Tourism & Economic Development Division received funding through the Sand Plains Community Development Fund to undertake a study on potential tourism products on behalf of Ontario’s South Coast Tourism Alliance (which includes Norfolk, Elgin and Haldimand counties), in collaboration with its SCOR neighbours in Oxford, Middlesex and Brant counties.

The study examined two potential tourism products in each of the six Counties and made recommendations to develop them into “viable, buyable and reliable tourism product experiences that extend length of stay and increase tourism expenditures in the region”.

The Sand Plains Community Development Fund stipulated that eligible projects were restricted to publicly owned properties, conservation authorities or not-for-profit or charitable groups such as a historical societies.

Middlesex Tourism issued a call for expressions of interest in the spring of 2010. Two organizations in Middlesex County put forward their names and were included in this report;

• The Donald Hughes Annex Museum (Ailsa Craig Historical Society) • The Battle at Longwoods Enhancement Project

ANALYSIS:

The report authored by Matthew Fischer & Assoc. recommended that the Ailsa Craig Historical Society work together with the numerous museums, historical societies and associations operating within Middlesex County to establish a Middlesex Heritage Network Council. By working collectively, the Heritage Network Council would have the critical mass to become a viable tourism attraction.

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SUBJECT: SIX COUNTY TOURISM PRODUCT DEVELOPMENT REPORT

The Ailsa Craig Historical Society has convened two meetings with the various historical groups in Middlesex and has received seed funding of $5,000 from the Sand Plains Community Development Fund to begin the work of establishing a Heritage Network Council.

The report also assessed the tourism product potential of the Battle of Longwoods Enhancement Project. It was determined that because the event is only held once a year and is not markedly different from other re-enactment events held across the region, it would not have significant tourism potential by itself. The Longwoods Enhancement Project would however contribute to a larger critical mass of historical events and attractions as proposed with the establishment of the Heritage Network Council.

The report also recognized the efforts of Middlesex Tourism to promote the historical features throughout Middlesex County with the Middlesex Heritage Trail Brochure (to be handed out at the meeting).

A copy of the Six County Tourism Product Development Project Report and the Executive Summary are attached for Council’s reference.

Attachments

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SIX COUNTY TOURISM PRODUCT DEVELOPMENT PROJECT

Executive Summary

ONTARIO’S SOUTH COAST TOURISM ALLIANCE

Photo: Backus Mill

PRESENTED TO: Norfolk County Haldimand County Brant County Oxford County Elgin County Middlesex County

November, 2010

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Executive Summary

The Ontario South Coast Tourism Alliance applied to the Sand Plains Community Development Fund for funding to examine 12 tourism projects. Each of the six counties participating in this project nominated two case studies in their jurisdiction.

Tourism is an important contributor to the economy of the six counties under study. Ontario Ministry of Tourism estimates place the total spending at nearly $¾ Billion ($738 million including London).

Regional Tourism Profile - 2008 Total Visitations Total Spending Brant County 865,000 $ 76,431,000 Elgin County 611,000 $ 38,499,000 Haldimand/Norfolk* 1,200,000 $ 94,237,000 Middlesex County ** 4,295,000 $ 472,552,000 Oxford County 746,000 $ 57,166,000 Source: Ontario Ministry of Tourism * Former Haldimand Norfolk Region ** Includes London

In approving the funding for this study the Sand Plains Community Development Fund stipulated that commercial ventures would not eligible. This proved to be a significant constraint because the basic economics of tourism investment don’t generally apply in publicly-owned projects. Broader community objectives such as cultural development, heritage preservation and recreation development are often drivers for public projects.

Because these are not commercial ventures there is little likelihood of attracting outside investment other than grants or contributions from other levels of government.

The final selection of cases included:

Three historical sites Three public campgrounds A trail development Two fair grounds A proposal for a performing arts centre A proposal for a small craft harbour development And a railroad station restoration project.

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Six County Tourism Product Development Project

Location Map - Six County Tourism Product Case Studies

Cobblestone Festival Ailsa Craig Historical Thames Trail Twp. of Museum Norwich Burford Fair

La Fortune Park

Port Maitland

Battle at Norfolk Fair Longwoods

CASO Railway Springwater Maple Backus Conservation Station Syrup Festival Area

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Six County Tourism Product Development Project

Norfolk County

Project Norfolk County Fair Grounds

This case focuses on an expansion of the Simcoe Farmers Market held every Thursday at the Norfolk County Fair Grounds. The market is managed by municipal staff and routinely hosts between 30 and 50 vendors. There is a new market building in Summerside PEI that can serve as a template this project. It is estimated a new 10,000 sq. ft. building of similar design would cost between $1.5 and $2.0 million.

We recommend that the Norfolk County Agricultural Society initiate discussions with the Municipality of Norfolk County about the potential for expanding the existing farmers market, including the construction of a new market building on the Fair Grounds as a joint venture of the Municipality and the Agricultural Society and that the two agencies begin exploring potential funding sources to help offset the capital costs of a new building .

Project Backus Conservation Area and Heritage Village

The Backus Conservation Area and Heritage Village is a campground and heritage village located just north of Port Rowan near Long Point. The property is owned by the Long Point Conservation Authority. There are 159 camp sites of which 96 are serviced with electricity and water. The heritage village has 2 dozen restored buildings. There is also an education centre for outdoor studies.

We recommend that the Conservation Authority develop a long range capital plan to upgrade the camping facilities at the park including: - Provide all campsites with 30 amp electrical service and running water - Develop additional “pull through” sites to accommodate large RV’s - Upgrade recreational facilities in the campground including consideration of the installation of a splash pad - Consider introducing new revenue generating programs such as canoe/kayak rentals, a convenience store or tuck shop, WiFi service, etc. - Introduce “Yurts” which rent out at a premium and extend the season (they are easily winterized) - Open a portion of the park on April 1st to service birders coming to Long Point for the spring migration. - Plan additional special events such as military reenactments, music festivals, etc. which are proven to bring additional visitors to the park.

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Six County Tourism Product Development Project

Oxford County

Project Oxford Thames Trail

The Oxford County Trails Council is developing a trail system on the banks of the Thames River between the Beachville Historical Museum and the Millennium Trail System in Woodstock. The Beachville Museum is integral to the trail experience and the two together create critical mass. The Museum can add to its revenue steam by selling convenience items such as bottled water and soft drinks, chocolate and granola bars, sunglasses and sun screen, bug repellant and the like, as well as souvenirs and historical memorabilia. For a modest investment a canoe/kayak rental operation could be established to add to the trail experience.

We recommend the Oxford County Trails Council in cooperation with the Beachville Museum, Oxford Fanshawe College Campuses, Woodstock YMCA and other partners explore a range of potential revenue producing projects such as those described in our report to incorporate into the design of the trail’s entrance.

Project Norwich Twp. - The Hidden Jewel of Oxford County

Municipality of Norwich Township is proposing to incorporate a Black History Interpretive Centre into the new municipal building currently in the planning process. However there are a number of other year-round tourism experiences that should be promoted through the centre. The community has all the ingredients to be a day-trip destination although the infrastructure to serve visitors is not well developed. Increased tourist traffic will attract entrepreneurs to develop the tourist infrastructure.

We recommend the scope of the “Interpretive Centre” being proposed by the Twp. of Norwich be broadened to include the dissemination of tourist information generally - drawing attention to the many hidden gems in the community including: - The old Quaker homes and museum in Norwich - Tour routes passing the Old Order Amish farms and road-site stands - Antiquing opportunities throughout the township - Boutique shopping and restaurants in Norwich, including the old Dutch Bakery - Agri-tourism opportunities related to the modern large scale dairy farms that have been developed by the many Dutch settlers to the area. - And so on.

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Six County Tourism Product Development Project

Middlesex County

Project Donald Hughes Annex Museum

Ailsa Craig is in the Municipality of North Middlesex, located on Elginfield Road (Hwy 7) about 15 kilometres west of Hwy 4. The Ailsa Craig Historical Society owns two historic church buildings in the village, one of which serves as the Donald Hughes Annex Museum.

The Ailsa Craig Museum by itself is not enough to attract significant visitor interest however there are dozens of Historical Societies in Middlesex County and with few exceptions they work in isolation.

At our suggestion a meeting was held at the CFDC offices in Komoka on Aug. 4th with approximately 16 different groups to discuss the creation of a Middlesex Heritage Network Council. The meeting resulted in a unanimous agreement to move forward with an application to the Sand Plains Development Fund to hire a coordinator.

We support the creation of a Middlesex Heritage Network Council and are encouraged by the progress made to date. We recommend continued efforts to secure funding for a coordinator position.

Project Battle of Longwoods Enhancement Project

A National Historic Sites cairn marks the spot of the Battle of Longwoods which took place in 1814 near Wardsville in the municipality of Southwest Middlesex. The Upper Thames Military Reenactment Society wishes to enhance the signage and make improvements to the battle site. The Society stages a reenactment of the Battle on the first Sunday of May.

This project is similar to the other Middlesex nominated project (the Historical Museum in Ailsa Craig) in that it needs to be part of a larger organization promoting the heritage of Middlesex County in order to build awareness and promote the site.

We recommend that the Re-enactment Society join in and support the establishment of the Middlesex Heritage Network Council to ensure that the Battle of Longwoods is included in the promotion of heritage properties throughout the County.

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Six County Tourism Product Development Project

Elgin County

Project Canada Southern Railroad Station

The former Canada Southern Railroad Station (CASO) is located on Talbot Street in downtown St. Thomas. The property is now owned by the North America Railway Hall of Fame who are in the process of restoring the station as a mixed use building with retail (3,000 sq. ft.) and commercial office space (10,000 sq. ft.), the Hall of Fame’s museum and interpretive centre (3,600 sq. ft.) and a banquet facility (5,000 sq. ft.) for up to 300 patrons.

There is interest in potentially developing a boutique hotel using restored dining cars and sleeper cars brought to the site for such a purpose. We have provided an introduction to PKF Canada, one of the leading hotel industry consultants in Canada. They have an extensive network of contacts and are familiar with persons involved in hotel investments.

We recommend the North American Railway Hall of Fame pursue discussions with the principles of PKF Canada to explore potential interest in the development of a boutique hotel as part of CASO Station restoration.

Project Springwater Maple Syrup Festival

The Springwater Conservation Area is located on Springwater Road, near Aylmer in Elgin County. A Maple Syrup Festival is held there each March attracting an estimated 5,000 visitors. By almost every measure the Festival is a success.

Growth of the Festival is hampered by the size of the site. There is a campground across the small lake with ample space but people would have to venture out on the road to get from one side to the other.

We recommend the Catfish Creek Conservation Authority explore the prospect of staging a complimentary event such as music festival, military reenactment, concert or similar program at the Springwater Conservation Area to coincide with the Maple Syrup Festival. This would allow the two events to feed off each other and could justify the development of a shuttle system to carry people from one side of the lake to the other.

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Six County Tourism Product Development Project

Brant County

Project Cobblestone Festival/Brant Cultural Centre

The Cobblestone Festival in Paris is a theatre festival featuring six local plays presented 4 times (24 performances) over a 10 day period in August. Many of these productions are geared for children. Total audience for all presentations combined is estimated at approximately 1,500.

There is a lack of suitable space for the performing arts in Paris and Brant County. The development of a performing arts centre would allow the Cobblestone Festival (and other groups) to grow and could provide the base for a tourism infrastructure based on the arts for the community and region. There are two separate proposals currently under discussion. One involves the construction of a new performing arts centre. The other revolves around the restoration of an existing heritage building, known locally as the Old Town Hall. Irrespective of which venue is ultimately selected there is a need for close cooperation between the many arts and cultural groups in the community

We recommend the arts and cultural groups in Brant County come together to form an Arts Council. One of the goals of the Arts Council would be to study the feasibility of a performing arts centre to serve all arts and cultural groups. This would help contribute to branding Paris/Brant County as a cultural community.

Project Agricultural Implement Museum in Burford

The development of an antique tractor and agricultural implement museum in Burford has been proposed. The vision is to acquire and house a variety of agricultural implements and provide a workshop for “tinkerers” to restore machines to working order. It would necessitate the construction of a new building with a machine shop.

So far there is no source of funds identified for the development this project however there are several philanthropic groups and companies that will be approached.

Unless there is a willing sponsor to step forward such as the Fairgrounds or another established group or group to be organized, we recommend that no further action be taken on this project.

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Six County Tourism Product Development Project

Haldimand County

Project La Fortune Park

La Fortune Park is a municipally-owned former campground comprised of 80 acres with frontage on the Grand River just west of Caledonia on Hwy 54. The campground has been closed since 2001 due to the high cost of providing potable water to the area. It is now used as a day park. The river front portion is separated from the rest of the property by Hwy 54 although there is a tunnel under the Highway. It is an attractive park with mature shade trees overhanging the river. There is a boat launch and a pavilion for sheltered picnics. The site is served by a “port-a-potty”.

The waterfront potion of the park is a “flood plain” for the Grand River and therefore cannot be built on, but it is perfect for camping. Immediately west of the site is the Rio Grande Campground, a commercial campground. The property on the hill side could potentially be used for recreational projects such as zip line, paint ball, ATV or motocross bike trail, cross country skiing or snowmobiling.

The land cannot be sold because it was bequeathed to the municipality. A private operator would need to make only minimal improvements to the property.

We recommend the Municipality of Haldimand County issue a “request for expressions of interest” for the use of La Fortune Park, specifically addressed to adjacent property owners.

Project Development at Port Maitland

Port Maitland (population 100) is a small harbour on Lake Erie at the outlet of the Grand River.

There are numerous tourist assets in the area including Rock Point Provincial Park, provincially significant wetlands, the No. 6 RCAF Dunnville Museum plus remnants of 2nd Welland Canal dating back to 1824.

However there is no bridge over the Grand River in Port Maitland. The nearest crossing is in Dunnville approximately 20 km away. The municipality owns land on the west side of the harbour and is seeking options for development however most of the tourist assets are on the east side of the river. The local resident population is too small (approximately 100) to support commercial development.

We recommend no further action at this time.

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Six County Tourism Product Development Project

Overall Themes

The Value of Collaboration Heritage and culture groups in Middlesex and Brant Counties can benefit from joining forces with other likeminded organizations. We recommend this for groups in other Counties as well. When groups can speak with a single voice they have a much better chance of influencing councils and funding organizations and they can also benefit from joint planning and the coordination of their programs.

Trends in Camping and Recreation Our research shows that camping is on the rise in North America. It is also evident that operators are investing in improved campground amenities. The Conservation Authorities we met with will need to continue investing in improvements to their properties to remain competitive. The introduction of “yurts” into the camping scene represents a significant opportunity. The Provincial Parks system has had great success with yurts, which are rented out six months in advance - at premium prices.

Growing Market for Tour Routes The prevalence of stay at home vacations presents new opportunities for rural communities to promote driving and hiking routes. Combined with a growing interest in heritage features and eco-friendly experiences by baby boomers, we can expect more people to enjoy trail experiences and “Sunday drives” through our rural areas looking for interesting experiences. DMO’s can package these experiences in pre-planned tour routes.

Considerations for Tourism Strategic Planning It is a simple truth that unless visitors leave money in the community they are of little value to the local economy. In fact they just wear out your roads. Tourism operators and DMO’s need to make sure visitors are provided ample opportunities to leave their money behind.

Having said that, we point out that leisure travelers or vacationers are only one small segment of the tourism market. The definition of a tourist also includes:

- commercial travelers visiting customers and suppliers, - attendees at meetings/conferences away from home, - school groups on class trips and - construction crews or contractors working away from home and staying in motels mid-week.

Outside established tourist destinations like Niagara Falls, prospective investors in tourism projects generally do not rely on the leisure traveler for business. For most

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Six County Tourism Product Development Project

hotel and motel properties, commercial travelers account for the bulk of room revenue. Local residents are the main customer base for restaurants and places of entertainment.

Prospective investors must be convinced that there is an adequate base of commercial and business travel or a sufficient number of local residents to ensure that there will be enough business to survive the dreaded “Tuesday night in February” when there is very little leisure travel in most of Ontario.

It is also important to acknowledge that most publicly funded tourist attractions or services are not able to cover their costs through operations. This is why they are publicly financed in the first place.

It is especially true for cultural and heritage projects. Even major attractions such as the ROM (Royal Ontario Museum) and the AGO (Art Gallery of Ontario) must rely on government grants to offset operational expenses because the public would never tolerate admission prices based on full cost recovery. (Interestingly, major league sports fans will pay full price for their tickets.)

Elected officials have to be convinced of the community wide benefit of investing in the arts, culture and heritage projects in much the same way they consider investments in arenas and recreational facilities. These projects are not designed to attract tourists (although they can attract some visitors); they are designed to serve to local residents.

We trust the concepts and recommendations presented in this report will be useful to the participants.

Respectfully Submitted:

Matthew Fischer, Ec.D.

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SIX COUNTY TOURISM PRODUCT DEVELOPMENT PROJECT

ONTARIO’S SOUTH COAST TOURISM ALLIANCE

Photo: Backus Mill

PRESENTED TO: Norfolk County Haldimand County Brant County Oxford County Elgin County Middlesex County

Funding by: Sand Plains Community Development Fund

November 3rd, 2010

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Introduction

In the spring of 2010, Ontario's South Coast Tourism Alliance (which includes Norfolk, Elgin and Haldimand counties), in collaboration with its SCOR neighbours in Oxford, Middlesex and Brant counties, launched a study intended to examine a number of potential tourism products in the six county area and explore how to develop them into “viable, buyable and reliable tourism product experiences that extend length of stay and increase tourism expenditures in the region” (quoting from the project RFP).

The project was administered by Norfolk County’s Tourism & Economic Development Division on behalf of Ontario’s South Coast Tourism Alliance and the South Central Ontario Region (SCOR) Counties. Project funding was made available through the “Sand Plains Community Development Fund”.

Each of the six counties was asked to nominate two projects or case studies in their jurisdiction for study. The Sand Plains Community Development Fund stipulated that commercial ventures were not eligible in order to avoid the issue of pubic funds being used to benefit private ventures. As a result the selection of projects was severely restricted to publicly owned properties, conservation authorities or not‐ for‐profit or charitable groups such as a historical societies.

This proved to be a significant constraint because the basic economics of tourism investment don’t apply in publicly owned projects.

The final selection included:

Three historical sites Three public campgrounds A trail development Two fair ground projects A proposal for a performing arts centre A proposal for a small craft harbour development And a railroad station restoration project.

Of all the projects, the last one, the restoration of the Canada Southern Railroad Station in St. Thomas, has the greatest potential for significant tourism impact. The restoration is well underway based on a background of solid research and is supported by a strong business plan and a well organized capital campaign.

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Location Map

Cobblestone Festival Ailsa Craig Historical Thames Trail Twp of Museum Norwich Burford Fair

La Fortune Park

Port Maitland

Battle at Norfolk Fair Longwoods

CASO Railway Springwater Maple Backus Conservation Station Syrup Festival Area

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For each of the other projects we have tried to identify potential enhancements that would make the project more attractive to potential users or would improve the revenue stream from operations. However in most cases the proponents are hampered by a lack of financial resources and because they are not commercial ventures, there is little likelihood of outside investment except in the form of grants or contributions from other levels of government. There is a very limited role for the private sector.

Each of the projects is described in detail in the case study reports which accompany this report.

Recommendations in Common

There are several recommendations which could be applied to other projects throughout the study area.

Trends in Camping In particular we would draw attention to the recommendations respecting campground operations that were included in the case study for the Backus Conservation Area.

Public and private campgrounds throughout the six county areas would benefit from reviewing the trends identified in camping which have been included in this case study, in particular the successful introduction of “Yurts” in the Provincial Park System. As well there is a general upgrading of services in campgrounds across North American in response to new competitions. In particular are the upgrading of basic services to include 30 amp electrical service and water at each site and enhanced recreational facilities such as splash pads (as opposed to swimming pools). Industry reports show that camping continues to grow, especially so since the recent recession because it is a less expensive alternative to traditional resort holidays.

Collaboration/Cooperation among Arts and Heritage Groups In the ever more complex battle for community support (capital) and the need to extend ever‐shrinking marketing dollars it is incumbent on arts, culture and heritage groups to band together. The advantages of such collaborative activities are a stronger voice with which to communicate with government and funding agencies and the ability to coordinate promotions and marketing programs to reach their audiences.

We have recommended local groups should seriously consider the advantages of combining forces with related organizations in the community to create “Arts

Councils” or “Heritage Groups” as recommended for in both Middlesex and Brant Counties.

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There are excellent examples of the potential power of collaboration.

The Toronto based Caribana has run annually since 1967, and the Caribana events have been organized by a nonprofit organization named the Caribbean Cultural Committee (CCC). Its board members are mostly made up of expatriate Caribbean nationals living in Canada.

A recent study, released this year, calculates Caribana’s total economic impact to be $438 million. The annual celebration of Caribbean culture, now in its 42nd year, creates the equivalent of 6,800 jobs, with 83 per cent in the Toronto area, the study found. The analysis also showed Torontonians spent an average of $327 at the festival, while visitors from outside Canada spent an average of $901.

The Niagara Wine Festival had its origins 59 years ago as a celebration of the annual grape harvest organized by a group of grape growers and wineries in the St. Catharines/Niagara Region. It has since grown to be the second largest parade in North America after the Rose Parade in Pasadena.

The Doors Open Program in Ontario is another example of cooperative marketing of heritage sites. In 2002, the Ontario Heritage Trust launched Doors Open Ontario, the first province‐wide event of its kind in Canada. Since the program was launched over 3 million visits have been made to heritage sites participating in this exciting initiative. Doors Open Ontario is now considered a cultural phenomenon. In 2010 there are an expected 55 events planned across the province.

Offer Services on Trails Lastly for trails organizations and campgrounds with water features, consideration can be given to increasing revenues through the introduction of canoe/kayak rentals. In most instances trail users are self sufficient mostly because there are few opportunities along the trail to purchase necessary supplies like bottled water, energy bars etc. For a modest capital investment (under $20,000) kiosks and rental outlets can produce a modest profit, increase the economic impact of the trail user and enhance the recreational experience for users.

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Acknowledgements

In closing I would like to thank the people who guided me through each of these properties and participated in the discussions. I learned a lot about southern Ontario despite living here most of my life and I enjoyed the stimulating experience of exploring new ideas and visions for cultural and tourism development in each of the six counties that we covered.

Six County Tourism Product Development Project Proponents and Champions

Norfolk County Clark Hoskin, Karen Matthews & Janice Robertson

Oxford County Cathy Bingham and Edward Hunt

Middlesex County Sheila Devost, Marvin Recker & Ron Walker

Elgin County Alan Smith, Lindsey Morritt, Paul Corriveau & Kim Smale

Brant County David Johnston, Dan Graham, Ron Hansen & Howard Snodgrass

Haldimand County James Goodram, Jeff Ballin & Joanne Wolnik

Respectfully Submitted:

Matthew Fischer, Ec.D.

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Norfolk County

Project Norfolk County Fair Grounds

Proponent Karen Matthews, General Manager, Norfolk County Fair, 172 South Drive, Simcoe, On, N3Y 1G6 519 426‐7280 [email protected]

Clark Hoskin, Mgr. Norfolk County Tourism & Economic Development Phone: (519) 426‐5870 ext. 1238 [email protected]

Project Description Location The Norfolk County Fair is the fifth largest fair in Ontario (after the CNE, the Royal Winter Fair, Ottawa and London) attracting over 100,000 visitors annually. It is considered a "core attractor" for tourism in Norfolk County. This year's fair runs October 5 – 11.

The fairground is a 48 acre complex adjacent to Downtown Simcoe. It boosts a 3000 seat grandstand overlooking a 1/2 mile race track, a soccer field and a wide infield. There are a dozen buildings of different ages and configurations ranging in size from 900 to 23,000 square feet. The fairgrounds also host the municipality’s new arena and community centre.

Ownership of Property and/or Related Properties The grounds and facilities used by the Norfolk County Fair & Horse Show are the property of the Norfolk County Agricultural Society and are also utilized by the community for local events year‐round. The Society is interested in expanding and enhancing the use of the fair grounds and hence this project was nominated by the County.

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Downtown Simcoe

Norfolk Fairgrounds

Identification of Tourism Product Champion The Board of the Agricultural Society wanted to explore options they could consider under the auspices of the Tourism Product Development Study. A meeting was held with Karen Matthews, the General Manager and several members of the board, attended by the consultant and Clark Hoskin from the Norfolk County Tourism and Economic Development Department.

Several hours of discussion resulted in the focus of our attention turning to an expanded market featuring locally grown produce, crafts and cottage industries selling goods produced locally.

Description of Tourism Experience The Fair Ground is currently the site of a one day Simcoe Farmers Market held every Thursday in the Home Craft Building.

The Market is managed by municipal staff and Home Craft Building routinely hosts between 30 and 50 vendors.

There are a couple of options to grow the Market:

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– increase the amount of space available to accommodate more vendors – consider opening two or more days per week instead of one day (Thursday)

There is a definite interest on the part of the current market vendors in being part of an expanded operation as evidenced by the following letter.

Karen Matthews, General Manager, Norfolk County Fair, 172 South Drive, Simcoe, On, N3Y 1G6 16th April, 2010

Dear Karen,

On behalf of the Simcoe Farmers’ Market I would like to express out interest to be included with the application from the Norfolk County Fair Board for the proposed case study.

The market operates year round and offers the local public and visiting tourists a one stop shopping experience for local in‐season produce and cottage industry products. We encourage and support our local farming community and their value added products.

We would like to increase our ability to promote locally grown produce and the public desire to buy local by opportunities to educate consumers and showcase the variety of produce available in this area, perhaps with the aid of videos demonstrating the method of production and uses of the produce. There could be a number of videos as vegetables and fruits come into season.

We would also like to stage cooking and taste testing events for the public as items come into season. This could be expanded to agri‐tourism by first getting an overview at the market and then visiting specialized farms and farming operations in the area together with local restaurants willing of offer meals featuring the item in season. As we operate on Thursdays this could offer a few days stay in the area including other local tourist attractions or events staged at the County Fairgrounds.

For these reasons we support the application by the Norfolk County Fair.

Sincerely, Rosemary Reijerse, Market Clerk, Simcoe Farmers Market The operating budget for the Farmers Market is $31,500. This includes rent ($7,500) paid to the Agricultural Society, plus utilities, insurance, advertising ($4,300), snow removal and janitorial services ($6,300 in total) etc.

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These costs are recovered by charging vendors for space based on a per foot frontage. There are different rates charged based on whether the space is inside or outside the building. The charges to the market vendors are ridiculous low ‐ amounting to approximately $20 to $25 per week. There is obviously room grow rental revenue without digging too deeply into vendors’ margins.

Description of Target Markets With few exceptions (Kitchener and St. Jacob’s farmers markets) farm markets cater to local consumers. They do however play a role in the “eat local”, agri‐tourism and culinary tourism products being developed by a number of communities across the province, including Norfolk County.

SWOT Analysis for Tourism Product It is very difficult to differentiate one market from another. There are primarily markets for local vendors to sell fresh produce, crafts and preserves to local citizens. There is considerable interest in Norfolk for locally produced products. The County supports programs such as “Direct from Norfolk”, “Flavourfest” and the imaginative “Two Fairly Fat Guys” promotion.

A recent report prepared for the Downtown Simcoe BIA (Downtown Simcoe BIA Commercial Attraction Strategy – April 2010) highlighted the findings of a 2009 consumer survey:

“The survey indicated 35 different business types that consumers would like to have in the downtown. The top businesses that consumers want to see in the downtown are:

 Family restaurant  Bakery  Women’s Clothing  Butcher  Shoe maker/ repair shop  New & used books  Fruit & vegetable market  Fine Food Restaurant

It is of note that of the eight business types identified, five are food related.”

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Proposed/Recommended Changes to Tourism Product There are 152 farmers market in Ontario. Most are outdoor markets typically held one day per week but there are a growing number of indoor markets. They generally operate two of more days per week because they need to cover higher overheads.

www.farmersmarketsontario.com

While most indoor market operate in historic structures (Brantford, Woodstock, Guelph) a number of communities have constructed new market buildings such as those found in London, Kitchener and Hamilton.

We recommend consideration of a new market building for Norfolk County which would provide fresh new space for a larger Farmers Market, as well as providing meeting space for a wide variety of community events and much needed office space for the Norfolk County Fair administration.

One model we have looked at is the Shipyard Market in Summerside PEI. The Shipyard was developed as part of a larger plan early in 2000 to boost tourism in the Summerside area.

Shipyard Market, Summerside, PEI

The Shipyard was initially intended to be a center where information was available on Summerside’s rich shipbuilding history as well as a publicly owned facility catering to community functions offering a well equipped catering kitchen and an

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open concept 5,000 sq foot public space. The capital cost for the Shipyard was approximately $750,000.

A budding farmers market was held on Saturdays at the Shipyard, as well as a great many other programs such as displays of local crafts, quilt shows, performances featuring local talent and other public gatherings.

As time went on the cost of operating the facility became an issue. Focus gradually shifted to improving the revenue options.

The focus of the Shipyard shifted to catering and food services. The facility had become popular for wedding and related functions which generated good revenue however this business (mostly all on Saturdays) began to compete with the Farmers Market.

The Simcoe Farmers Market is held on Thursday’s so this situation should not present itself.

Today the facility is leased to a private operator with its primary focus geared toward sea food dining experiences as well as wedding and special event functions requiring the use of the catering facilities. It is hoped dinner theatre style events will become part of future offerings.

The Shipyard is 5,000 sq. ft. of open space with a large deck/patio of almost comparable area covered with an awning. The building was constructed with garage style doors along the one side to allow the building to be opened up to the deck. It has a commercial kitchen for catering. For trade show or market functions it uses roll away dividers to separate the stalls.

A somewhat larger structure could be considered for the Norfolk County Fair Grounds – approximately 10,000 sq. ft on ground level with an open deck or paved area for open‐air presentations. With two storey construction, the Fair offices could be located above.

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The large open space could serve a variety uses (as it does in Summerside) ranging from public events, weddings and other catered functions, to a meeting space for service clubs or a presentation hall for local cultural groups much like a community centre.

Financial Analysis of Proposed Changes Currently the Simcoe Farmers Market is operated by Norfolk County staff and it rents space from the Fairgrounds which generates revenue of $7,500 to the Agricultural Society. A County staff person coordinates the vendors who are charged a nominal amount for space rental ($20 to $25 per week). The total budget for the operation of the Farmers Market is $31,500. This does not include salary of the municipal employee who coordinates the Farmers Market.

We have no information on the sales revenue generated by the market vendors with which to estimate the impact of the market in the local economy however one Manitoba study (“This Little Farmer Went to Market...” An Economic Impact Study of the Member Markets of the Farmers’ Markets Association of Manitoba Cooperative, December, 2008) reported annual average income for market vendors at $5,629. Other studies in Canada and the US had similar findings.

The Simcoe market has between 30 and 50 vendors, at various times. Assuming financial results similar to the Manitoba study, the gross income from the Simcoe Farmers Market would be in the range of $170,000 to $280,000.

Potential for Government Participation A rough estimate of the capital cost for the development of a 10,000 sq. ft. building as envisioned would be between $1.5 and $2.0 Million This is based on the cost to construct the Shipyard Market. Because the market does not generate a positive cash flow and based on historical and legal precedents associated with the lands owned by Agricultural Societies, the Society itself is the only possible investor although there is the possibility of a partnership with Norfolk County much as is evidenced with new community centre on Fair Grounds.

There are several potential sources of grants available including the Sand Plains Development Fund that could be tapped to fund a substantial portion of the capital investment.

Marketing Review of Proposed Changes The potential to grow the revenues of the framers market has limits. Even if the size of the market were doubled (attracting more vendors or by having a second market day each week) it would be unlikely that revenues would double because the customer base has not changed and markets serve primarily local residents. The

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Manitoba survey confirmed that the overwhelming majority of customers were local residents.

We think it is more likely that revenues could increase between 20% and 40%.

Potential for Private Sector Participation There is only a limited role for the private sector other than the market vendors themselves.

A catering business could be contracted to a private operator although by keeping it in‐house, the agricultural society retains any profits generated from catering and hall rental.

Viability of the Tourism Product for Potential Investors Although we could fairly accurately predict the income to the Society from the famers market (currently $7,500 per year) it is difficult to estimate the potential revenues from catering and hall rental without canvassing service clubs and other community groups to determine the need for community facilities. You would also need to estimate the revenue from weddings, stag and doe parties, charitable events, etc.

A market survey to measure potential interest should be undertaken before moving forward with the project, to assess the impact of the development of a new banquet facility on other publicly owned facilities such as the arena.

Fortunately the down side potential for a community hall is mitigated by the fact that there are few fixed expenses ‐ the bulk of costs are variable. (You only need to bring in staff when there is an event planned.) Assuming the project is not carrying interest and paying down the principle, the overhead is minimal.

Recommendations on Project Next Steps We recommend that the Norfolk County Agricultural Society initiate discussions with the Municipality of Norfolk County about the potential for expanding the existing farmers market, including the construction of a new market building on the Fair Grounds as a joint venture of the Municipality and the Agricultural Society and that the two agencies begin exploring potential funding sources to help offset the capital costs of a new building .

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Project Backus Conservation Area and Heritage Village

Proponent Long Point Region Conservation Authority C/o Janice Robertson, Supervisor Community Relations 4 Elm Street Tillsonburg, ON N4G 0C4 519‐842‐4242 ext 227 [email protected]

Clark Hoskin, Mgr. Norfolk County Tourism & Economic Development Phone: (519) 426‐5870 ext. 1238 [email protected]

Project Description Location The Backus Conservation Area and Heritage Village is a campground and heritage village not unlike Fanshawe Conservation Area and Pioneer Village although considerably smaller in scope. (Fanshawe is 3,000 acres – Backus is 400 Acres). It is located just north of Port Rowan very close to the Long Point Provincial Park which is both an attraction and a competitor to the Backus Campground.

Backus Conservation Area

Long Point

Ownership of Property and/or Related Properties The property is owned by the Long Point Conservation Authority.

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Description of Tourism Experience The Backus Conservation Area campground consists of 159 camp sites of which 96 are serviced with electricity and water. The property also includes a heritage village with more than 2 dozen restored buildings, an education centre for outdoor studies and an operating water powered flour mill. A mill pond feeds the mill and it is stocked for fishing. There is a swimming pool located on site.

Campers at the Backus Conservation Area have easy access to the beaches at Long Point although they have to purchase day passes to enter the Provincial Park itself.

The Provincial Park has 256 camp sites and there are a number of commercial campgrounds in the immediate area.

Heritage Village Education Centre

Backus Mill

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SWOT Analysis for Tourism Product The aforementioned attractions make the Backus Conservation Area an attractive campground however the Long Point Provincial Park is both an attractor and competitor to the Backus Conservation Area because it has access to the beaches and water which is an undisputed motivator.

Long Point Provincial Park has 256 campsites, 78 of which offer electrical connections. Of note however, 20% (52) of the Provincial campsites are “pull‐ through” sites which appeal to large RV’s who would have difficulty navigating the Backus campground due to tight corners and overhanging tree limbs.

Financial Analysis of Proposed Changes From a competitive standpoint the day rates at the Backus Conservation Area are lower than those charged by the Provincial Park.

Daily Rates for Campsites ‐ 2010 Long Point PP Backus CA Premium with Hydro $46.00 Premium No Hydro $40.50 Premium No Hydro – No Showers $39.00

Middle with Hydro $42.25 $36.00 Middle No Hydro $36.75 $31.00 Middle No Hydro – No Showers $35.25

Low with Hydro $36.75 Low No Hydro $31.50 Low No Hydro – No Showers $29.75

It is important to note that half of the camp sites (80 of the 159 sites) at Backus are taken by seasonal campers. This provides a guaranteed revenue stream which improves the revenues at the park. Seasonal campers account for $123,000 in revenue to the park, approximately 44% of the park’s total camping revenues.

Camping revenues are the mainstay of the park’s operations. Based on the 2010 YTD budget the revenue and expense breakdown is roughly as follows:

Revenues Education Centre $55,637 13% Heritage Village $93,447 22% Camping and Related $275,925 65% $419,944

Expenses Education Centre $52,243 12%

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Heritage Village $90,659 20% Camping & Related $282,106 65% $433,700

Revenues for the Education Centre and Heritage Village are mostly in the form of grants and contributions. Revenue from camping is based on user charges.

There are some modest trust funds available to support the Heritage Village ($54,000) and the Education Centre ($100,000).

The Education Centre and the Heritage Village do not charge admission, (although one has to purchase a day pass to enter the park). We believe there are additional opportunities to stimulate camping revenues which in turn is used to support the other features of the Backus Conservation Area.

From a “tourism product development” standpoint the campground also attracts tourist expenditures to the area.

Description of Target Markets Our research shows that camping is enjoying growth despite recent economic conditions. Nationwide, tent camping is up 10% from last year as more people stay close to home and seek less expensive vacation alternatives. The American Association of RV Campgrounds reports that 33.7 million American camped in 2008 – up 7.4% from the year before. 16.5 million Americans took an RV holiday in 2008 – up 5.9% from the previous year. The average length of each trip was 14 days.

Even higher fuel prices do not seem to be putting a dent in the growth of camping and RV'ing. It is reported that sales of RV units continue to increase. People are simply not travelling as far from home for their vacation, thereby saving fuel expenses.

Proposed/Recommended Changes to Tourism Product We believe that the Long Point Conservation Authority should consider a long term strategy of upgrading facilities at Backus with improved servicing and amenities such as those discussed in this report and consider adding additional camp sites, especially “Yurts” and “drive through” sites to accommodate RV’s and larger “5th Wheel” type trailers as a means of growing the camping revenues for the park.

Additional camping revenues will provide a broader base for the heritage village and the education centre thereby serving all three of the Conservation Area’s mandates.

Marketing Review of Proposed Changes The bar has been raised by other campground operators both commercial and non‐ commercial in terms of amenities. 30 amp electrical service and piped water at every site is now the standard. WiFi is being offered at many commercial sites (the

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availability of WiFi at the Pinery Provincial Park was in the news this year). Campers are also demanding upgraded showers and washroom facilities.

As for recreational amenities Splash pads are increasingly popular. Fanshawe Conservation Area opened a splash pad this year at a cost of $145,000. Splash pads are less expensive to build than swimming pools, require less maintenance and use a fraction of the water (which is recycled). Additionally they don’t require fencing and there is no requirement for lifeguards.

We believe the Authority should consider a modest increase in camping fees to approach those of the Provincial Park. Obviously they will have to take into account competitive factors we may not be aware of.

We considered other revenue enhancing activities. Each of them would require a modest investment which currently could not be funded out of operations. The capital would have to be found elsewhere.

Some of the revenue enhancing opportunities we have considered includes;

Canoe/Kayak Rentals - See the attached sample model Opening a Tuck Shop/Café to better serve campers - Snacks, coffee, camping supplies, etc. Organize additional events to draw day visitors - Military reenactments, antique car rallies, quilting bees, etc.

The Bluegrass Festival held this summer at Backus is a good example of the strength of these events. Quoting from the local press coverage of the weekend festival “Like Backus' popular pioneer re‐enactments, the Backus bluegrass weekend attracts visitors from far and wide. Participants – many of them musicians – came up from the United States. Among the states represented were Michigan, New York, Wisconsin and West Virginia.” Monte Sonnenberg, QMI Agency

Another practical suggestion came from the Backus Advisory Committee Meeting attended by the consultant. Long Point is very popular with bird watchers because it is on the migration route for many species (it and Point Pelee are the short cuts across Lake Erie for birds flying north).

However like most other parks in Ontario, Backus doesn’t open until May 1st which is past the peak migration period. At least a portion of the park should open April 1st as a service to the bird watching community. Note‐ the opening date for the Provincial Park is May 14th.

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Another suggestion is to introduce Yurts to Backus. These are semi‐permanent canvas‐covered structures typically measuring 16 feet in diameter, mounted on a wooden deck about two feet off the ground.

Yurts can accommodate up to six people with two sets of bunks beds. They are typically furnished with a table and chairs, plywood floors, electric heat and lighting, and a propane barbecue. Yurts are ideal for winter camping.

Ontario’s Provincial Parks offer a limited number of these units at a rate of $91.50 per night. We understand they are booked up six months in advance.

An Internet search shows base prices for the purchase of a yurt ranging from approximately $5,500 for a basic 12 foot diameter model to nearly $20,000 for a deluxe, fully insulated 32 foot model.

Recommendations on Project Next Steps We recommend that the Authority develop a long range capital plan to upgrade the camping facilities at the park including: - Provide all campsites with 30 amp electrical service and running water - Develop additional pull through sites to accommodate large RV’s - Upgrade recreational facilities in the campground including consideration of the installation of a splash pad - Consider the introduction of new revenue generating programs such as canoe/kayak rentals, a convenience store or tuck shop, WiFi service, etc. - Introduce “Yurts” which rent out at a premium and extend the season (they are easily winterized) - Open a portion of the park on April 1st to service birders coming to Long Point for the spring migration. - Plan additional special events such as military reenactments, music festivals, etc. which are a proven draw bringing additional visitors to the park.

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Appendix: Sample Financial Model of Canoe/Kayak Rental Program

For a modest investment a Canoe/Kayak rental operation could be established to add to the camping experience at Backus Conservation Area. This model was prepared for another Sand Plains Case but is included here for consideration.

A regional competitor (Grand River Canoe Rentals) in Brantford charges the following for rentals: Canoe $15.00 per hour/ $30.00 per day Kayak $12.00 per hour/ $25.00 per day Tandem kayak $20.00 per hour/ $40.00 per day Fishing kayak $15.00 per hour/ $35.00 per day Plus HST

In Toronto, price points are higher with Harbour Front Canoe Centre charging the following:

Canoe $30 per hour/ $60.00 per day Kayak (single) $30 per hour/ $70.00 per day Kayak (tandem) $40 per hour/ $85.00 per day

We have attempted to model the revenue and expenses of a canoe/kayak rental operation to determine its viability. Based on a scan of the internet vendors of canoes and kayaks we find average prices to be approximately $500 for a single seat kayak and $1000 for a 16ft. canoe.

Based on these prices a fleet of 10 canoes and 10 kayaks would cost about $15,000 to $20,000. We suspect that with a little price checking, a fleet could be purchased for much less. There would be an additional cost for paddles, life jackets and other safety equipment.

The operation would need a modest structure for an office and overnight storage. Assume an additional $5,000 is required for all the sundries and supplies.

With 4 to 6 all‐day rentals on an average week day and as many as 15 per day on weekends, rental income would be in the order of $1,500 ‐ $1,800 per week. Over a 10 week season this would total $15,000 to $18,000. If we include school class trips in which you rent out the entire fleet at $40 per head for 40 students we bring total income up to $22,900.

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The model includes costs for staffing with 2 person @ $10 per hour – 40 hours per week) totaling approximately $13,200 including vacation pay and CPP contributions. It is possible this could be done with one staff person cutting these costs in half.

The model is very sensitive to interest expenses so the more equity brought to the business in the outset the greater the chances of success. We prepared this model based on 60% equity ‐ 40% debt ratio.

Sample Canoe Rental Cost Analysis Year 1 Year 2 Year 3 Year 4 Initial Capital Investment 10 canoes at $1000 $10,000 10 kayaks at $500 $5,000 Structures (2 at either end) + Safety Equipment $5,000 Total Investment $20,000

Equity contribution $12,000 Credit line $8,000 $1,920 interest @ 14% $1,120 $269 Total Financing Charges $9,120 $2,189 $0 $0

Income School Field Trips ‐ 10 trips ‐ 40 kids @ $10/head $4,000 $4,000 $4,000 $4,000 Rentals mid Week ‐ 3 @ $30/day x 5 days X 14 weeks $6,300 $6,300 $6,300 $6,300 Rentals Week end ‐ 15 @ 30/day x 2 days x 14 weeks $12,600 $12,600 $12,600 $12,600 $22,900 $22,900 $22,900 $22,900 Expenses Equipment Replacement (1/3 of fleet each year) $0 $4,500 $4,500 $4,500 Staff (2) at either end @ $10/hr/40 hours/14 weeks) $11,200 $11,200 $11,200 $11,200 Benefits $2,000 $2,000 $2,000 $2,000 Supplies $2,500 $2,500 $2,500 $2,500 $15,700 $20,200 $20,200 $20,200

Surplus/Loss from Operations ‐$1,920 $511 $2,700 $2,700

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Oxford County

Project Oxford Thames Trail Beachville to Woodstock

Proponent Oxford County Trails Council Wayne Daub 519‐485‐2223 [email protected]

Cathy Bingham Oxford County Tourism 519‐539‐9800 [email protected]

Project Description Location The Oxford County Trails Council wishes to support development of a trail system between the Beachville Historical Museum and the Millennium Trail System in Woodstock.

Millennium Trail

Beachville Museum

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Ownership of Property and/or Related Properties The trail would follow the banks of the Thames River on land that is currently owned by the County of Oxford, Upper Thames Conservation Authority, and a few private property owners. The site is a pristine natural setting near the headwaters of the Thames River system. The Thames River is a designated Ontario Heritage River

Identification of Tourism Product Champion The Oxford County Trails Council is a community‐based, non‐profit organization incorporated, with charitable status, working for the development, coordination, linking, preservation and use of trails in Oxford County.

Taking from their website their Vision is:  “Coordinated trail development, utilizing a County Trails Master plan, including recognition of different uses  Trails for transportation as well as recreation  Community involvement, active political support, including financial support, with no borders to allow for a trail system across the county and connecting with neighbouring trails  Increased trail tourism through canoe and kayak rent, guided interpretive nature walks and with amenities such as Bed & Breakfasts, cafes, etc.” Goals:  To create, maintain, rehabilitate, enhance, and protect trails in order to provide easily accessible opportunities for the public  To encourage public use of trails for a healthy lifestyle and for the appreciation of nature  To educate the public on responsible trail use and respect for the designated uses of the trails  To restore damaged trails and the habitat surrounding them, while encouraging community involvement in stewardship of the land  To have a united voice to advocate for non‐partisan political support of trails and for the purchase and/or preservation of the open space that will best serve the public good  To create conditions for increased economic opportunities through trails activities

Description of Tourism Experience There are a number of opportunities to boost trail use and visitations to the Museum. Some of those that could be considered include:

 Fanshawe College Woodstock campus – ecology, geology (glacier) and wildlife/nature courses (general interest and training for interpretive guided nature walks).

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 Nature and Geography Lecture Series in the amphitheatre at the Beachville Museum. Carolinian Canada and Upper Thames lecturers.

 Fundraising events and entertainment in the amphitheatre at the Beachville Museum.

 School trips to the amphitheatre for lectures, followed with craft sessions in the museum. Interpretive signage on trees and plants surrounding the museum for their learning experiences.

 Summer day‐camp field trips to the Beachville Museum and to the trails with purchased crafts sessions, guided walks and talks.

 Service clubs and church group outings to the Museum for outdoors and indoors programs.

The Trails Council manages 15 trail systems totaling approximately 98 kilometres. Beginning in 2004 they started work on a Thames River Trail spring boarding on a Trillium grant that funded a consulting engineer’s study (Stantec) examining the proposed routes and expected capital costs. The overall capital cost of developing the entire trail was estimated at $1.7 million at the time of the report.

The first phase of the project stretching along 4kilometres of the Thames River property was estimated to cost approximately $300,000 and a fund raising campaign was initiated in January 2010 with a goal of raising $256,000. Since then the Thames River Trail Project has also received some extremely valuable in‐kind support in the form of large quantities of aggregate from OPG and the nearby Carmeuse North America quarry. As well, the Upper Thames Conservation Authority is involved with planting of native Carolinian species within the proposed trail system.

Description of Target Markets Hiking and cycling are two outdoor activities enjoying rapid growth. In addition to promoting a healthy lifestyle and serving to “green up” the environment, the economic impact of trails is beginning to capture the attention of tourism planners and other economic developers due to the fact that certain trails are now seen as tourist destinations.

Quoting from a fact sheet published by the Ottawa based group “Go for Green”

“Among the ten most popular physical activities of Canadians are: walking (84%), bicycling (44%) and jogging (24%). Walking, a common trail activity has consistently been the top ranked activity in research conducted in 1981, 1988 and 1995 for both sexes and across all age groups (Canadian Fitness and Lifestyle Research Institute, 1996).”

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“The Bruce Trail in Ontario had more than 410,000 user visits over the twelve month study period July 1994 until June 1995. 70.3% of these users felt the trail was a primary reason for visiting the area. 26.8% of users stayed away from home at least one night. The average number of nights away was 3.8. Therefore, there were about 417, 605 (410,060 x 26.85% x 3.8) nights spent by trail users in some kind of accommodation (Schutt 1997).”

“In Canada, bicycle tour companies logged around 28,000 traveler‐days in 1993. Most trips lasted more than one day and 73% were sold as pre‐ arranged packages. Average trip length was 5.6 days, with daily spending of $116 (Vélo Québec 1998).”

“70% of all trail users spent money on non‐durable goods during their visit to the Bruce Trail. Of those 70%, the average expenditure per group was $60.99. Seventy‐five percent of this $60.99 was spent within a 10‐km corridor on either side of the trail, resulting in a high local economic benefit. Each group had an average of 3.12 persons (Schutt 1997).”

A local trail such as the Thames River Trail would not likely generate numbers of this magnitude but US research by the “Rails to Trails Conservancy” showed the average hiker on one of their trails (Perkiomen Trail in Pennsylvania) purchased soft goods in the following quantities:

Beverages 17.8% Candy/Snacks 6.1% Sandwiches 4.1% Ice Cream 10.1% Restaurant Meals (along the trail) 13.2% Other 1.9% None of these 46.7%

Average soft goods purchase $11.09 per person

Acknowledging that only about half the hikers made any purchases at all this amounts to an average expenditure by those persons who did make a purchase of approximately $20.80 (average expenditure / % of hikers who made purchases x 100). The American findings are consistent with the Bruce Trail findings.

Unfortunately we have no way of knowing how many people use the trails in Oxford or what the Thames Trail can reasonably expect once it is open.

Potential for Private Sector Participation

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A couple of business opportunities present themselves which would improve the average expenditure per visitor and the resulting economic impact of the trail in the local economy.

A year‐round business selling takeout food would be an excellent service to hikers and cyclists. It could be located at the western end of the trail at or adjacent to the Beachville Museum where hikers can park their car. That operation could also provide picnic tables in the shade for its customers. It would be wise to start small with a small portable stand such as depicted here.

It would be important to also target local customers in the Beachville/Woodstock area on which to build its base business,

because of the high degree of seasonality and weekend usage of the trail.

We recommend the Trails Council identify a vendor to operate this fast food kiosk as a concession. That concession could possibly be operated by the Beachville Museum itself. Or it could even be run as a summer student business as it would likely be eligible for student grants.

The Beachville Museum is integral to the trail experience and the two should be marketed jointly. This creates additional critical mass with one experience feeding off the other.

The museum too has an opportunity to add to its revenue steam by selling packaged goods such as bottled water and soft drinks, chocolate and granola bars, sunglasses and sun screen, bug repellant and the like, as well as souvenirs and historical memorabilia.

Viability of the Tourism Product for Potential Investors

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For a modest investment a Canoe/Kayak rental operation could be established to add to the trail experience. The Woodstock YMCA has indicated an interest in considering this venture. There has been private entrepreneurial interest expressed as well

Because this section of the Thames Trail is reasonably short, visitors can be offered the opportunity to walk one way and canoe/kayak back thereby circumventing one of the problems associated with a linear trail ‐ how to get back to your car without backtracking the same route.

Financial Analysis of Proposed Changes A regional competitor (Grand River Canoe Rentals) in Brantford charges the following for rentals on the Grand River: Canoe $15.00 per hour/ $30.00 per day Kayak $12.00 per hour/ $25.00 per day Tandem kayak $20.00 per hour/ $40.00 per day Fishing kayak $15.00 per hour/ $35.00 per day Plus HST In Toronto, price points are higher with Harbour Front Canoe Centre charging the following:

Canoe $30 per hour/ $60.00 per day Kayak (single) $30 per hour/ $70.00 per day Kayak (tandem) $40 per hour/ $85.00 per day

We attempted to model the cost and revenues of a canoe/kayak rental operation to determine its viability. Based on a scan of the internet vendors of new canoes and kayaks we find average prices to be approximately $500 for a single seat kayak and $1000 for a 16ft. canoe. Based on these prices a fleet of 10 canoes and 10 kayaks would cost about $15,000 to $20,000. We suspect that with a little price checking, a fleet could be purchased for much less.

There would be an additional investment for paddles, life jackets and other safety equipment. The operation would need two small structures for an office and overnight storage at each end of the route. Assume an additional $5,000 is required for all the sundries and supplies.

With 4 to 6 day trips on an average week day and as many as 15 day trips per day on weekends, rental income would be in the order of $1,500 ‐ $1,800 per week. Over a 10 week season this would total $15,000 to $18,000. If we include school class trips in which you rent out the entire fleet at $40 per head for 40 students we bring total income up to $22,900. Costs for staffing (2 person @ $10 per hour – 40 hours per

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week) would be approximately $13,200 including vacation pay and CPP contributions. The model is very sensitive to interest expenses so the more equity brought to the business in the outset the greater the chances of success. We prepared this model based on 60% equity ‐ 40% debt ratio.

Sample Canoe Rental Cost Analysis Year 1 Year 2 Year 3 Year 4 Initial Capital Investment 10 canoes at $1000 $10,000 10 kayaks at $500 $5,000 Structures (2 at either end) + Safety Equipment $5,000 Total Investment $20,000

Equity contribution $12,000 Credit line $8,000 $1,920 interest @ 14% $1,120 $269 Total Financing Charges $9,120 $2,189 $0 $0

Income School Field Trips ‐ 10 trips ‐ 40 kids @ $10/head $4,000 $4,000 $4,000 $4,000 Rentals mid Week ‐ 3 @ $30/day x 5 days X 14 weeks $6,300 $6,300 $6,300 $6,300 Rentals Week end ‐ 15 @ 30/day x 2 days x 14 weeks $12,600 $12,600 $12,600 $12,600 $22,900 $22,900 $22,900 $22,900 Expenses Equipment Replacement (1/3 of fleet each year) $0 $4,500 $4,500 $4,500 Staff (2) at either end @ $10/hr/40 hours/14 weeks) $11,200 $11,200 $11,200 $11,200 Benefits $2,000 $2,000 $2,000 $2,000 Supplies $2,500 $2,500 $2,500 $2,500 $15,700 $20,200 $20,200 $20,200

Surplus/Loss from Operations ‐$1,920 $511 $2,700 $2,700

This trail also is ideal as a cross‐country ski route during the winter months. Groomed winter trails would also attract more hikers. Because of the quiet nature of cross‐country skiing and canoeing, opportunities for nature appreciation and photography are excellent, too.

Recommendations on Project Next Steps We recommend the Oxford County Trails Council in cooperation with the Beachville Museum, Oxford Fanshawe College Campuses, Woodstock YMCA and other partners explore a range of potential revenue producing projects such as those described in our report to incorporate into the design of the trail’s entrance.

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Project Discover Norwich Twp. The Hidden Jewel of Oxford County

Proponent Township of Norwich 210 Main St., PO Box 100, Otterville, ON N0J 1R0 C/o Edward A. Hunt, Interim CAO/Clerk 519 863 2709 [email protected]

Cathy Bingham Oxford County Tourism 519‐539‐9800 [email protected]

Project Description Location The Township of Norwich is in Oxford County about 20 kilometres south of the City of Woodstock. It consists of several historic settlement areas, Norwich, Otterville and Burgessville

Description of Tourism Experience The region was first settled by the Quakers, who sheltered slaves coming to Ontario via the Underground Railway. During these years Oxford County had two large Black settlements. There are few reminders of those days however the Black history stories are well documented along with the African Methodist Episcopal Cemetery at Otterville.

Identification of Tourism Product Champion The project envisions the development of a Black History Interpretive Centre incorporated into the construction of new municipal offices which are currently in the planning process.

With the interpretative centre sharing space with the municipal administration in the Township offices, it would be open weekdays year round and could be

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supplemented with summer students during the peak summer months based on the availability of summer student grants.

Related tours of the Black interpretive centre and the Otterville cemetery could provide a missing piece of the puzzle in the Underground Railroad story in Southern Ontario.

Description of Target Markets There are a number of other year‐round tourism experiences that can be promoted through the centre including boutique shopping, dining on Norwich’s main street, tours of the Quaker museum, farm‐gate shopping at several local Amish farms.

A lineup of seasonal tourist offerings would include the Norwich Farmers Market, artist studio tours, Otterville Mill tours, reenactments, rodeo, car show, and rib‐fest. Norwich Main Street Scenic picnic areas, and picnic lunches from the local bakery or restaurant takeout lunches would reinforce this leisurely rural Ontario experience.

The village of Burgessville is home of the Village School Museum where visitors can see how the children of 100 years ago learned their lessons.

The Village of Otterville is a hidden gem with its mill pond and restored water power grist mill, Woodlawn House, the cemeteries, the Museum located in a former railroad station, the river side park with its swimming pool and wonderful and unique playground equipment for the children. There is also a new awarding winning destination golf course in Otterville called the Mill in Otterville Otter Creek Golf Club.

The Township has many Old Order Amish families farming in the old fashioned way with horse and buggy and horse‐drawn farm implements. Many have sawmills, and road side stands with fresh farm produce and baking are abundant for miles around. They are excellent craftsmen as well making furniture, baskets, quilts, sheds etc. Back road drives through Amish country will explain why there are hitching posts in Norwich, Tillsonburg and Ingersoll.

The Norwich area boasts one of the largest settlements of Dutch, outside of Holland, some of whom have established a variety of boutique shops and a great Dutch bakery and store. The Dutch farmers have built large modern buildings housing

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hundreds to thousands of head of livestock each – an intriguing contrast to their next‐door Amish friends.

The development of the new Township offices is dependent on the Township securing grants which have been applied for. Property has been identified.

Marketing Review of Proposed Changes The tourism potential of Norwich Township could be boosted by bringing these disparate parts together in a common theme, creating more focused critical mass than is possible by all the tourism components operating separately. It requires a commitment by the municipality, and a willingness to collaborate amongst the various tourism stakeholders. Quaker House There is little we could recommend to advance this project. The interpretative centre is planned and is currently awaiting word on its funding applications. A centre such as this will not in itself generate tourist traffic however it will serve tourists who come independently.

There are very few accommodations in Norwich except for a few B&B’s and a limited number of nice restaurants in the village of Norwich.

The countryside is beautiful and the settlement areas are charming. The community has all the ingredients to be a day‐trip destination however the infrastructure to serve visitors is not well developed. Increased tourist traffic will attract entrepreneurs so the development of the tourist infrastructure is a bit of “chicken and egg”.

We recommend the County Tourism agency continue to promote day trips of Norwich Township and its constituent settlement areas, while making efforts to highlight commercial stops along the route (antique shops, tea houses, restaurants, boutiques, farm roadside stands, etc.) as a means to capturing more tourism dollars. We also encourage tourism officials to proactively promote individual tourist business opportunities they see in the community as a means of stimulating additional investment.

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Recommendations on Project Next Steps We recommend the scope of the “Interpretive Centre” being proposed for the new administration building be broadened to include the dissemination of tourist information generally ‐ drawing attention to the many hidden gems in the community including: - The old Quaker homes and museum in Norwich - Tour routes passing the Old Order Amish farms and road‐site stands - Antiquing opportunities throughout the township - Boutique shopping and restaurants in Norwich, including the old Dutch Bakery - Agri‐tourism opportunities related to the modern large scale dairy farms that have been developed by the many Dutch settlers to the area. - And so on.

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Middlesex County

Project Donald Hughes Annex Museum Ailsa Craig, Ontario

Proponent Ailsa Craig & District Historical Society C/o Ron Walker, Museum Operations Chair PO Box 112 Ailsa Craig, ON N0M 1A0 Tel: 519‐293‐3694 Cell: 519‐854‐7734 [email protected]

Sheila Devost Middlesex Tourism 22423 Jefferies Road, Unit 6 RR#5 Komoka, Ontario, Canada N0L 1R0 [email protected]

Project Description Location The (former) Village of Ailsa Craig, in the Municipality of North Middlesex, is located on (Denfield) Elginfield Road (Hwy 7) about 15 kilometres west of Hwy 4 in Middlesex County.

Ownership of the Property The Ailsa Craig Historical Society owns two historic church buildings in the village, one of which is operated as the Donald Hughes Annex Museum.

The Historical Society wishes to improve awareness within the community of the work of Ailsa Craig Historical Museum the society and generally increase attendance at the museum.

Identification of Tourism Product Champion

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The Ailsa Craig historical Society is only 14 years old and was created to facilitate the purchase of a former church and turn it into a museum.

There are an estimated 700 museums in Ontario and as far is known, this is the only one owned 100% by a local society. Most are publicly owned through local or regional governments or other public body such as a Conservation Authority.

The Historical Society is active in the community. They participate in Gala Days held the 1/3rd weekend in July and annually organize a reenactment “Battle on the Ausable” on 1/2nd weekend in June. The reenactment features participants in period costume staging a mock battle with camp followers setting up camp to sell various items from the period.

Description of Tourism Experience The building is typical of a southern Ontario small town church, being constructed of yellow brick with a steeple and bell tower. Outwardly the building appears to be in good repair.

Wheelchair access has been installed. The ground floor area is estimated at 1800 sq. ft. A number of small displays have been erected using artifacts from every day life in the 19th century along with pictorial displays of notable figures and events from the community’s past.

The Society received a Full Time employee grant from Trillium Foundation for a two year project to digitize the large collection of records they have acquired and which are stored in the building, as well as to increase tourism and visitor ship to the facility.

The Society was subsequently able to acquire another church, the former Trinity Anglican Church which is made available for weddings and other events. The office space at the back is used to house more Society records.

That property is constructed of white clap board with natural wood paneling on the interior walls. The pews are all of wood, and there is an old manual Trinity Chapel pump organ that still functions. Proposed/Recommended Changes to Tourism Product We had a long discussion with Mr. Walker and several members of the society, joined by Sheila Devost from Middlesex Tourism.

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During the discussion it was acknowledged that the museum and Trinity Chapel by themselves are not unique nor are they capable of receiving substantially more visitors due to staffing limitations.

The Society itself is limited in terms of participating in community events more than it already does by the number of volunteers and by the financial resources available.

Middlesex County generally lacks a major tourism generator and has an underdeveloped accommodation infrastructure.

(The new Donnelly Museum in nearby Lucan‐Biddulph was opened officially on May 1st 2010 resulting from a community campaign to raise the $600,000 for the construction of the building and outfitting the museum dedicated to telling the story of the infamous Donnelly murders in 1880.)

It was acknowledged that a larger presence ‐ with a larger draw ‐ was required to generate sufficient critical mass for a new tourism industry. One common element to most Middlesex communities was a shared agricultural history dating back the mid 19th century.

Recommendations on Project Next Steps There are dozens of Historical Societies operating in Middlesex County, each one dedicated to telling their own story but with few exceptions they are working in isolation. A County wide society, made up of all the local societies might be able to fund new tourism attractors and repackage existing ones in a well promoted tour route that would benefit all members.

During this discussion it was agreed that a gathering of all historical societies, museum groups and similar organizations (battlefield re‐enactors for example) in Middlesex County was an important first step in building viable projects.

It should be noted that up until this time the idea of “Heritage Network Council” or similar group had not been considered.

On Wednesday August 4th a meeting was held at the CFDC offices in Komoka with approximately 16 different groups to discuss the proposal for the creation of a Middlesex Heritage Network Council comprised of members of the many historical societies, museum’s and related groups such as the Upper Thames Military Re‐ enactment Society. The meeting resulted in a unanimous agreement to move forward with a funding application to the Sand Plains Development Fund to hire a coordinator. Middlesex Tourism also unveiled their new brochure entitled “Heritage Trail Middlesex” which documents dozens of heritage properties throughout the County.

Financial Analysis of Proposed Changes

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In as much as there is no investment planned we have not provided a financial analysis.

Viability of the Tourism Product for Potential Investors There is no investment planned.

Recommendation We support the creation of a Middlesex Heritage Network Council and are encouraged by the progress made to date. We recommend continued efforts to secure funding for a coordinator position.

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Project Battle of Longwoods Enhancement Project Wardsville, Ontario

Proponent Upper Thames Military Reenactment Society (UTMRS) C/O Marvin Recker, Chairman of the Longwoods Project 1460 Norman Ave London, ON N6K 2A7 519‐ 471‐9546 [email protected]

Sheila Devost Middlesex Tourism 22423 Jefferies Road, Unit 6 RR#5 Komoka, Ontario, Canada N0L 1R0 [email protected]

Project Description Location There is a National Historic Sites cairn marking the spot where the Battle of Longwoods took place located on Hwy 2 near Wardsville in the municipality of Southwest Middlesex about 45 kilometres southwest of Strathroy in Middlesex County.

Ownership of Property The battle site is owned by the County of Middlesex as part of the road right of way.

Identification of Tourism Product Champion The Upper Thames Military Reenactment Society, led by Mr. Marvin Recker, wishes to enhance the Cairn ‐ Battle of Longwoods signage and make improvements to the site of the Battle which originally took place near the former village of Wardsville. The Reenactment Society is a group of volunteers who participate in reenactments of battles for the War of 1812 throughout Southern Ontario and the Great Lakes States.

On March 4, 1814 the Western (Caldwell) Rangers led Mr. Recker’s great (6) grandfather William Caldwell came upon a group of about 160 American invaders. The ensuing battle involving the Rangers, British Regulars and Native warriors resulted in the British forces being soundly defeated.

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Description of Tourism Experience Mr. Recker and a dedicated group of volunteers have been donating their time to clean up the site around the cairn. They have cleared the underbrush and constructed a small "abittis" (brush enclosure) similar to that which the Americans constructed as protection from the attack by the British forces. They plan to construct a pathway where the actual road would have been located in 1814 (different than the current alignment).

For over 20 years the Upper Thames Military Reenactment Society has been presenting a reenactment of the Battle on the first Sunday of May and conducting a memorial service at the cairn on the first Sunday of March to remember those who died on March 4, 1814. They also participate in reenactment and similar events in Ontario, Michigan, Ohio, Indiana and New York regularly. Battlefield Re‐enactment

Mr. Recker has designed an information sign to be constructed of concrete and granite telling the actions of the British and American forces. Total estimated cost would be in the range of $15,000.00. They have applied to the Trillium Foundation for a grant to fund the sign’s construction.

Mr. Recker has been given approval by the County to continue working to improve the site.

SWOT Analysis for Tourism Product We toured the site and had a long discussion with Mr. Recker and Glen Stott of the Upper Thames Military Reenactment Society, joined by Sheila Devost from Middlesex Tourism.

There are 958 officially dedicated National Historic Sites in Canada, 262 in Ontario alone. Without some differentiating feature it would be difficult to generate substantially more visitors to the site.

The reenactment itself is appealing to visitors but it is only staged once per year. It is not possible to stage re‐enactments on a regular basis because the Society is already in involved in numerous re‐enactment presentations throughout Ontario and the US and relies totally on volunteer participation.

Proposed/Recommended Changes to Tourism Product

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This project is similar to the other Middlesex nominated project (the Historical Museum in Ailsa Craig) in that it needs to he part of a larger organization promoting the heritage of Middlesex County in order to build awareness and promote the site.

On Wednesday August 4th a meeting was held at the CFDC offices in Komoka with approximately 16 different groups to discuss the proposal for the creation of a Middlesex Heritage Committee comprised of the many historical societies, museum’s and related groups such as the Upper Thames Military Re‐enactment Society.

There was unanimous agreement to move forward with a funding application to the Sand Plains Development Fund to fund a coordinator.

Middlesex Tourism also unveiled their new brochure entitled “Heritage Trail Middlesex” documenting dozens of heritage properties throughout the County.

Recommendations on Project Next Steps We recommend that the Re‐enactment Society continues join in and support the establishment of the Middlesex Heritage Network Council to ensure that the Battle of Longwoods is included in the promotion of heritage properties throughout the County.

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Elgin County

Project Canada Southern Railroad Station St. Thomas

Proponent North American Railway Hall of Fame 691 Talbot Street, PO Box 20040 St. Thomas, ON N5P 4H4 C/o Paul Corriveau 519 633‐2535 [email protected]

Alan Smith Elgin County asmith@elgin‐county.on.ca 519‐631‐1460 ext. 133

Project Description Location The former Canada Southern Railroad Station (CASO) is located centrally on Talbot Street in downtown St. Thomas.

Canada Southern Railroad Station

Ownership of Property The building is a large brick structure that previously served as the railroad station and at various times, the headquarters for several American railroad companies. In 1983 it was purchased by a joint venture of CN and CP who acquired the former Penn Central operations. In 1996 it was abandoned by CN. It was subsequently acquired by a local community group called “On Track” who hoped to use it as a centerpiece for the development of a railway theme for the community.

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In 2004 the property was purchased by the North America Railway Hall of Fame who currently has title.

Identification of Tourism Product Champion The North America Railway Hall of Fame is a not for profit corporation with charitable status. It is governed by a board of directors headed by Mr. Paul Corriveau, a local St. Thomas businessman.

The objectives of the Corporation are:

To recognize and establish an enduring tribute to men and women of the past and present who have made significant contributions or achievements relating to the railway industry in North America.

To likewise honour significant railway organizations, railway related innovations and technical accomplishments, railway rolling stock, railway buildings and other construction feats, railway cultural contributions and historical railway events.

To provide a facility for the preservation and display of a collection of library materials and railway heritage artifacts related to the Hall of Fame inductees.

To educate the public about the impact of railway transportation on the history and the continuing development of communities, nations and international relations throughout North America.

The building has been designated under the Canadian Heritage Railway Stations Protection Act. Description of Tourism Experience The architectural conservation and restoration of the property has been closely studied by respected experts for a number of years. With assistance from the Ivey School of Business, a business plan was developed in 2007 which called for the redevelopment of the property into a mixed use building with retail (3,000 sq. ft.) and commercial office space (10,000 sq. ft.), the Hall of Fame’s museum and interpretive centre (3,600 sq. ft.) and a much needed banquet facility (5,000 sq. ft.) for up to 300 patrons.

Description of Target Markets There are many unique architectural features to this building including ornate 20ft high ceilings, arched windows and hardwood floors.

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A capital campaign is currently underway to restore the station which is vacant and in immediate need of repair. There are numerous craftsmen on site and the building is beginning to return some of its magnificence. The entire project is budgeted at $8 million of which nearly $4 million has already been raised. The restoration work is ongoing.

We understand the MP Steve Peters has already spoken for one of the offices on the second floor.

Although the project is far from complete it is already being used for private functions and catered dinners such as weddings and receptions.

Through exhibits and education Set up for Banquets programs, the North America Railway Hall of Fame will provide a flavour of the importance of the Canada Southern Railway Station, restored to 1918‐1925, to the economic, social and cultural life of St. Thomas and Elgin County.

The restored west waiting room with period furnishings, historic paint scheme, train schedule and ticket window, will convey the experience of embarking on a train trip to New York, Detroit, Buffalo, Chicago and points between.

The Hall of Fame will contain information recognizing and honouring North American railway heritage and will do this through presentations on inductees.

Searchable data bases provide the stories of workers, events, communities, businesses and organizations, technical innovations, art forms and facilities and structures that made railways central to the economic prosperity of North America.

Throughout the station, interpretive panels and artifacts will convey aspects of station history, available to users of the building and those involved in education programs. Rail cars and a model railway may extend the visitor’s experience beyond the building.

The public programs of the Hall of Fame are supported by a researched collection of artifacts, storage facilities, archives, reference collection and staff offices.

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The entire operation has been well researched and by outward appearances is professionally managed.

Proposed Changes to Tourism Product One of the interesting potential developments identified by Paul Corriveau is the construction of a boutique hotel using restored dining cars and sleeper cars brought to the site for such a purpose. The idea is inspired by the Crowne Plaza Hotel Development at Union Station in Indianapolis.

SWOT Analysis for Tourism Product The St. Thomas area is not well served with quality hotel rooms. Most business travelers tend to stay in near‐by London. However a unique offering such as this would encourage local companies to put up their customers and other visitors in the community.

Although ownership of the land and structures, including rolling stock would most likely stay Union Station, Indianapolis in the hands of the Hall of Fame, the benefit from their charitable status, a partnership with private investors could be considered for the operation of a hotel on the site.

We have set up an introduction to the principals of PKF Canada, one of the leading hotel industry consultants in Canada. They have an extensive network of contacts within the hotel industry and are familiar with persons involved in hotel investments. If they believe the boutique hotel to be viable they are in a position to introduce prospective partners to expand the redevelopment into a hotel project.

Financial Analysis of Proposed Changes As this is still at the exploratory stage we have not provided a financial analysis.

Potential for Private Sector Participation We believe there is potential for a partnership between the North American Railway Hall of Fame and an investor or group of investors interested in the development and operation of a boutique hotel on site.

Recommendations on Project Next Steps

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We recommend the North American Railway Hall of Fame pursue discussions with the principles of PKF Canada to explore potential interest in the development of a boutique hotel as part of CASO Station restoration.

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Project Springwater Maple Syrup Festival Aylmer

Proponent Catfish Creek Conservation Authority 8079 Springwater Road, RR 5 Aylmer, ON N5H 2R4 C/o Kim Smale, General Manager 519 773‐9037 [email protected]

Alan Smith Elgin County asmith@elgin‐county.on.ca 519‐631‐1460 ext. 133

Project Description Location The Springwater Conservation Area is located on Springwater Road, south and west of the Town of Aylmer in Elgin County.

Springwater Conservation Area

Ownership of Property The property is owned by the Catfish Creek Conservation Authority and is operated as a campground with 264 sites.

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Campground

Lake

Sugar Shack

Description of Tourism Experience A small patch on the southeast bank of the lake (shown in this detailed image) is the location on the annual Springwater Maple Syrup Festival. The festival has been successfully staged for over 25 years and annually attracts an estimated 5,000 visitors and school children. It runs for four weeks in March and is the largest of its kind in the region.

The education program is run jointly with the Jaffa Environmental Education Centre and serves school groups from several boards of education.

Tours are provided of the tapping, sugaring off and wagon rides are offered through the winding trails to the south of the sugar shack.

The Association of St. Thomas Wood Carvers offer displays of their handicrafts and local service clubs operate pancake breakfasts as fund raisers.

Financial Analysis of Proposed Changes The entire program generates approximately $50,000+ year and this has grown 50% in the last five years.

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The festival is self funded from the sale of maple products, admission tickets and other miscellaneous revenues. It operates in the black each year and returns amounts ranging from $4,000 to $14,000 to the Conservation Authority each year.

By almost every measure the program is a success.

Proposed/Recommended Changes to Tourism Product The Conservation Authority wants to explore ideas to make this already successful program even more so. One of the most significant restrictions to the further growth of the Festival is the physical size of the property. It is difficult to get many more people on site and even more difficult to find parking.

The camp ground is a large property with ample parking however it is located on the opposite bank of the lake. Access between the two sides is difficult and requires a long walk on the road which is not desirable for safety reasons.

An outdoor winter event held at the campground during one of the weeks the Maple Syrup Festival could see the two events feed off each other. With sufficiently more people attending it would also justify the introduction of a shuttle service (horse/tractor and wagon) between the two venues.

The Conservation Authority has a lot of experience staging special events. They regularly host 10 significant events each year including a charity Music Festival featuring Fred Eaglesmith. They also have experience handling winter weather events through their annual Christmas Spirit Walk along a candle lit trail in the snow.

Because the Conservation Authority already has connections with the Eaglesmith organization we recommend they approached them first to see if there is interest in staging an additional concert to coincide with the Maple Syrup Festival.

Anther suggestion is to meet with counterparts at the Long Point Conservation Authority to research the background of their successful Blue Grass Festival held at the Backus Conservation Area in August each year or a military re‐enactment which similarly draws large crowds to the park each year.

SWOT Analysis for Tourism Product March coincides with Spring School Break when parents are often looking for things to do with their children. However the weather in this part of Ontario is notoriously unpredictable and this event would be vulnerable to adverse weather.

Potential for Private Sector Participation

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We see very little potential for private sector participation other than as sponsors.

Recommendations on Project Next Steps We recommend the Catfish Creek Conservation Authority explore the prospect of staging a complimentary event such as music festival, military reenactment, concert or similar program at the Springwater Conservation Area to coincide with the Maple Syrup Festival. This would allow the two events to feed off each other and could justify the development of a shuttle system to carry people from one side of the lake to the other.

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Brant County

Project Cobblestone Festival/Brant Cultural Centre Paris

Proponent Ron Hansen, Director & Dan Graham, Development Officer Brant Cultural Centre Project 165 Grand River Street North Paris 519 863 2709 [email protected]

David Johnston Director of Development Services County of Brant (519) 442‐6324 ext. 3010 [email protected]

Project Description Location The project as originally proposed was a 10 day summer theatre festival staged by the Cobblestone Festival in Paris, Ontario.

Description of Tourism Experience The festival (http://www.cobblestonefestival.ca/) is in its’ 11th year and features plays written by locals performed by local players. This year the festival staged six productions, each presented 4 times (24 performances) over a 10 day period. Several of these productions are geared for children. Several of the performances are staged in the open in a downtown park and as a result are susceptible to weather. Others are staged in local churches.

Description of Target Markets Total audience for all presentations combined is estimated at approximately 1,500.

Proposed/Recommended Changes to Tourism Product In discussions with Mr. Hansen and Mr. Graham it was conceded that this festival by itself could not be considered a tourist generator. However there are 40 or so different theatre, arts and cultural groups in Brant County and if they could combine forces there could be sufficient critical mass to “brand” Paris and Brant County as a cultural centre.

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Since 2002 a group called the Brant Arts, Culture and Heritage (BACH) group has been meeting to develop a proposal for a Brant Cultural Centre. A business plan was prepared in 2006 funded by a grant from Enterprise Brant, the local CFDC.

Financial Analysis for Tourism Product Based on the business plan prepared for the group a presentation was made to the County of Brant in 2006 seeking municipal support for the development of a centre for the arts. Council committed to providing a site on Elm Street beside the Grand River and the Syl Apps Arena. The estimated value of the land was between $300,000.00 and $400,000.00. In addition, the County committed $220.000.00 towards the construction of the BCC facility in its five year capital forecast.

Both the land and the financial support were conditional on the Brant Cultural Centre raising the remaining funds required to construct and operate the facility. We do not know the current status of the fund raising effort.

The following is from the Business Plan prepared by Enterprise Brant dated August 2005 – revised November 2006

From “Brant Cultural Centre Project Business Plan” http://bccproject.ca/userfiles/BCC%20Business%20Plan.pdf

The need for a facility was identified as having three main components: • A 300 seat performance space with adjacent studio/workshop for rehearsals/artists • A gallery/foyer space with a display/retail space and a foyer/greeting room • A historical exhibit space representing special and memorable attractions, e.g., the historical roots of the County

The space requirements were estimated to be 19,000 square feet. It was estimated from these requirements that an annual operating expense of $100,000 to $135,000., would be necessary to function effectively. These expenses would be offset by revenues from annual memberships, fundraising, teaching, rentals and co‐productions. A user survey identified 40 user groups ranging from local arts, museum, and theatre, to Laurier Brantford and Mohawk College. It was estimated that the centre would be used between 48 and 52 weeks of the year.

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The building is estimated to cost $4.4 Million. The proposal contemplates a funding split shared between the County, Provincial & Federal Governments Corporate/Private Investments. It was determined that the economic and programmatic impact of the Centre was viable providing no debt carrying charges on the building were incurred.”

The cash flow forecasts included in the business plan suggest the centre would cover its’ own costs. Projected revenues were estimated to be $260,110 in Year 1 rising to $283,012 in Year 3. Expenses are estimated at $255,140 in Year 1 rising to $275,934 in Year 3. We are concerned that projected revenues are overly optimistic and that the centre will have trouble achieving its financial targets based on the experience of other cultural centres in Canada. It will likely require on‐going annual support from the municipality – a point that was subsequently acknowledged in the addendum.

Potential for Government Participation There is an argument for development of a cultural centre in Brant County both from a cultural perspective as well as an economic one. Such a centre would provide a focal point for the arts and cultural groups from across the municipality and could generate a modest tourism demand benefiting the community however in most instances the performing arts centre services a local audience. It is only in select instances based on scale that such centres draw visitors in significant

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numbers such as the Stratford Festival Theatre, the Shaw Festival Theatre or the Rose Theatre in Brampton. This proposal is for a more modest development.

Museums and performing arts centres are never able to cover their operating costs from admission prices or retail sales and in every instance require ongoing financial support from the public sector, in this case most likely from Brant County.

Potential for Private Sector Participation There is another building in Paris that could potentially serve as a cultural centre although it is currently in private hands and we have no indication of what the costs for restoration would be.

The Old Town Hall as it is known locally is owned by John Runnquist and is currently used as an auction house. In its’ day the second floor of the building was the opera house.

Old Town Hall

In a presentation to Council last year Council agreed to a tax rebate plan to facilitate the sale of the building to a local developer, A. G York Developments, who agreed to retain the historic character of the building. According to the plan presented to Council, the ground floor would be made available for theatre productions as well as a continuation of the antique auctions. There could also be room for the Brant Museum and Archives, which is in desperate need of more space.

It is important to note that no business plan has been prepared to look at the projected cost of operations nor have any estimates of restoration costs been prepared.

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Old Town Hall

Since this presentation was made to Council it has been reported that the sale did not proceed so the property is still owned by Mr. Runnquist and is still offered for sale. A group of volunteers led by Deano Wilson Rouse, a local actor and theatrical producer is working to preserve the building in the hope it could become a performing arts centre.

Viability of the Tourism Product for Potential Investors As mentioned earlier, museums and cultural centres are almost exclusively public sector projects because there is no financial incentive for the private sector to invest. Such projects will not likely cover their own operating expenses and there is no potential return on investment, other than as a charitable donation.

Malcolm Thurlby, a Visual Arts Professor at York University with an interest in the building recommends on his web‐site that such a local group seek charitable status and begin fund raising to ultimately acquire control of the building and develop a plan for redevelopment.

Recommendations on Project Next Steps We recommend the arts and cultural groups in Brant County come together to form an Arts Council. One of the goals of the Arts Council would be to study the feasibility of a performing arts centre to serve all arts and cultural groups. This would help contribute to branding Paris/Brant County as a cultural community.

There is a lack of suitable space for the performing arts in Paris and Brant County. The development of a performing arts centre could have a material impact on not only the growth and development of the arts community but it would also achieve an important economic objective in providing the base for a tourism infrastructure based on the arts for the community and region.

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Success in the development of a Brant Centre for the Arts will require the close cooperation of the many arts and cultural groups in the community irrespective of which venue is ultimately selected.

It has been subsequently reported that efforts are underway now l to pul together the 30 or so groups identified on the BCC web‐site for a meeting in October. We wish them every success.

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Project Farm Implement Museum Burford Area

Proponent Executive of the Burford Agricultural Society P.O. Box 133, Burford, ON N0E 1A0 (519) 753‐7242 [email protected]

David Johnston Director of Development Services County of Brant (519) 442‐6324 ext. 3010 [email protected]

Project Description Location The Farm Implement Museum could possibly be located on the Burford Fairgrounds or on lands in the Burford Area in the County of Brant – the Burford Village Area is located on County Road No. 53 west of Brantford.

Ownership of Property and/or Related Properties The Burford Fairgrounds are owned by the Burford Agricultural Society (BAS) and a potential site could be located on the Grounds. As an alternative, other sites may exist in the Burford area for the Farm Implement Museum.

Identification of Tourism Product Champion The Executive of the Board of Directors of the BAS is interested in exploring the possible development of a Farm Implement Museum.

Description of Tourism Experience The Executive of the BAS is proposing the development of a Farm Implement Museum on the Fairgrounds’ property (or possibly on other lands in the Burford area, if another group expresses an interest or a desire to proceed forward with the project). The idea of a Farm Implement Museum has developed following a successful antique farm equipment display that was held at the Burford Fair on Thanksgiving Weekend of 2009. The interest was made stronger as a result of a parade held in the Burford community in May of 2010 which had many local entries of antique tractors. With both expressions of interest, it was noted by the Executive of the BAS that many local farmers, ratepayers and retirees have antique tractors and farm implements and are willing to showcase their equipment. Of course, part of the reason for the strong local interest is that Brantford and Brant County is the home of the Massey Ferguson Company and the Cockshutt Farm Equipment Company and therefore, a great deal of the local history of the Brant/Brantford area is tied in with the agricultural implement industry.

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The vision of the Executive of the BAS is to have a building/facility on the Fairgrounds (or in the local Burford area) that could house a wide variety of agricultural implements and possibly provide workshop space for individuals to work on the restoring of the machines to a working order condition. The project involves the possible conversion of an existing building on the Fairgrounds property (e.g. the former hog marketing board building) or possibly the construction of a newer facility.

Description of Target Markets A target market for such a facility would likely be collectors and owners of antique machinery being primarily farm implements. There could be some interest among the general public, however we believe this would be a more casual interest and the ability to generate tourism demand may be questionable.

SWOT Analysis for Tourism Product Due to the preliminary nature of the project, the Board of Directors of the BAS has not yet endorsed the principle of the project and no commitments have been made for covering the costs of acquiring or housing exhibits for a proposed Farm Implement Museum.

There is a similar facility in Milton which is not only closer to major markets in the GTA but also enjoys the benefit of established funding sources. The Country Heritage Park is operated by Country Heritage Experience Inc (CHE).

It has been pointed out to the Executive of the BAS that it may be highly unlikely that a Farm Implement Museum would be self sustaining in that prospective patrons might be reluctant to pay admission fees to the facility that reflects the full cost of the operations.

Financial Analysis of Proposed Project We did not conduct a financial analysis of the proposed project for a Farm Implement Museum, in that we have questioned the viability of the project unless a sponsor steps forward or a group is established that would take on the project.

Viability of Tourism Product for Potential Investors At this point in time, we do not feel that the project is viable as a tourism investment until further organizational structure and/or sponsorship matters are dealt with.

Potential for Government Participation It is unlikely that either Brant County or senior levels of government would be interested in such a project in light of the close proximity of other established facilities such as the Agricultural Museum in Milton.

Potential Private Sector Participation We question if there is any potential role for the private sector in this project other than as a donor or a major sponsor for up front facility costs.

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Recommendation on Project – Next Steps Unless there is a willing sponsor to step forward such as the Fairgrounds or another established group or group to be organized, we recommend that no further action be taken on this project.

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Haldimand County

Project La Fortune Park Caledonia/Haldimand County

Proponent James Goodram Haldimand County [email protected] 905‐318‐5932 ext. 242

Jeff Ballin Haldimand County [email protected] 905‐318‐5932 ext. 232

Project Description Location & Ownership of Property La Fortune Park is a municipally‐owned former campground located just west of Caledonia on Hwy 54 on the north bank of the Grand River. The campground has been closed since the Walkerton tragedy in 2000 because it would have been prohibitively expensive to pipe potable water to the area. It is now used as a day park.

La Fortune Park

The property consists of 80 acres with a small portion fronting the Grand River. The river front property is separated from the rest of the property by Hwy 54 although there is a tunnel under the Highway to connecting the two pieces. The larger

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portion runs up the hill on the north side of the road. The road layout is clearly visible in this Google Earth image. The main entrance to the larger portion is off Onondaga Town Line Road.

Description of Tourism Experience The Economic Development Department at Haldimand County wishes to explore potential uses for this property ‐ perhaps returning it to operations as a campground, despite Council’s decision not to extend water services to the area.

Entrance to La Fortune Park La Fortune Park is an attractive park with mature shade trees overhanging the riverbank. It is kept clean and the lawns are mowed. The La Fortune park area includes a boat launch and a pavilion for sheltered picnics etc. The site is served by a “port‐a‐potty”.

The waterfront potion of the park is a “flood plain” for the Grand River and therefore can not be built on, but it is perfect for river front camping. The lack of water is the only hindrance to a range of development options.

Description of Target Markets The Rio Grande Campground, a commercial campground, is located immediately to the west and there are other commercial operations further up river.

These campgrounds appear to cater to seasonal campers who use the campsite as a get away cottage. There was not much evidence of day use or tent camping.

Financial Analysis of Proposed Changes Currently the park is a maintenance expense to the municipality. The park previously had 80 campsites for which the charges ranged from $17 to $21 per night.

Assuming the park operated at 50% occupancy during the ten weeks of summer, the revenues would be modest – approximately $56,000 per year.

Potential for Private Sector Participation The municipality has no plans to return to campground operations but consideration should be given to offering it to the adjacent campgrounds as a concession. The property on the hill side, which is above the flood‐plain, could potentially be used for commercial recreational such as zip line, paint ball course,

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ATV or motocross bike trail, cross country skiing or snowmobiling. Obviously some uses would have to be judged for their potential impact on neighbouring property owners.

Viability of the Tourism Product for Potential Investors The land can not be sold because it was bequeathed to the municipality however a nominal lease arrangement could be considered, which then takes the park off the expense side of the ledger (for maintenance costs) to produce a most income.

A private operator would have to make only minimal improvements to the property.

Recommendations on Project Next Steps We recommend the Municipality of Haldimand County issue a “request for expressions of interest” for the use of La Fortune Park, specifically addressed to adjacent property owners.

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Project Development at Port Maitland

Proponent James Goodram Haldimand County [email protected] 905‐318‐5932 ext. 242

Jeff Ballin Haldimand County [email protected] 905‐318‐5932 ext. 232

Project Description Location Port Maitland (population 100) is a small craft harbour on Lake Erie at the outlet of the Grand River. It is located approximately 10 kilometres south east of Dunnville. The Economic Development Department wanted to explore ideas for further development of the harbour lands to complement other tourist features of the area.

Welland Canal Airport with RCAF Control Weir Museum Circa 1824

Rock Point Provincial Park

Port Maitland

Ownership of Property and/or Related Properties The Municipality controls the harbour lands. There is a small strip of land along the west wall used as a picnic area/park.

We understand that land titles in the vicinity of the harbour are clouded by land claims by the Six Nations Band.

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Description of Tourism Experience The Grand River and Lake Erie offer a host of aquatic activities from swimming, sailing, wind‐surfing, canoeing and feature prime locations for fishing. There are numerous summer cottages along the shore of Lake Erie. There is a nice sand beach west of the harbour.

Rock Point Provincial Park is nearby to the east of Port Maitland, offering 178 campsites. In the fall, Rock Point hosts thousands of Monarch butterflies heading south.

The area is also the site of one of the largest expanses of provincially significant wetlands in Ontario and is perfect for bird watching and nature photography.

The former World War II RCAF Training Base, the Dunnville Airport, is now used for recreational flying and skydiving. The airport is also home to Haldimand County's newest museum, the No. 6 RCAF Dunnville Museum.

There is ongoing commercial fishery located on the east side of the harbour although it is surrounded by heavy chemical industries.

There are the remnants of the control weir for the 2nd Welland Canal (the current Canal is actually the 4th canal to be constructed) dating back to 1824 and the extant lock has been restored. It too is surrounded by heavy industry.

Proposed/Recommended Changes to Tourism Product The municipality owns a strip of parkland immediately adjacent to the west wall of the harbour which could potentially house a couple of small entrepreneurial Municipal Park waterfront businesses. Linear Park on Harbour Wall

Consideration could be given to offering a lease on this site to private sector interests through a “Request for Expressions of Interest”. We suggest a ground lease due to the native land claims on the property.

Potential for Private Sector Participation There is very limited commercial development around the harbour. There could be an opportunity for a small restaurant or other retail service catering to fishermen and day trippers however we are concerned about the small resident market and the high degree of seasonality any business would face in this area.

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SWOT Analysis for Tourism Product Despite the area’s many tourist assets, there are several serious constraints to further development in Port Maitland.

The site is remote. The local population is small (only about 100) and is concentrated on the west side of the harbour. There are only a handful of commercial businesses.

The east bank of the harbour has several unique features with tourism potential although the area is dominated by a two large chemical industries in full operation.

The extant remains of the historic second Welland Canal have development potential themselves but they are surrounded by these industrial operations which are not conducive with the travelling public.

Rock Point Provincial Park is a tremendous asset with its sandy beaches, fossil laden rocks and campground with 178 campsites. It is located a short distance east of the Port area.

The most significant constraint however is that access from one side of the river to other is not possible. There is no bridge over the Grand River in Port Maitland. One has to travel all the way back to Dunnville to cross over to the Photo: Raymond J Barlow website other side of the river, a distance of approximately 20 km.

Viability of the Tourism Product for Potential Investors The biggest challenge to any operation in this area is the seasonality of operations and the very limited local market. With only about 100 local residents there is very little base from which to build a restaurant or other retail operation, especially considering the fact access to potential customers at the Provincial Park is hampered by lack of bridge across the river.

There is a small yacht club and marina further up river with a relatively new dining room. We question how it survives the winter.

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A bridge across the river would make a significant difference to the development potential for the area, but due the fact that the Grand is navigable waterway it would be a very expensive project to consider. We don’t foresee the County considering such an investment in the foreseeable future.

Without access to the east side of the river we don’t think there is sufficient potential business to support a commercial operation on the west side.

Recommendations on Project Next Steps We recommend no further action at this time.

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Conclusion

Tourism as an Economic Driver for Communities One of the most common models used to describe the functioning of local economies is called Economic Base Theory. In this model all business activity falls into one of two categories:

 “Basic” industries are those businesses that produce goods and services for sale outside the local marketplace. Traditional examples of “basic” industries are agriculture, resource‐based industries, manufacturing and tourism. Increasingly there is a growth of exportable services including finance and insurance, software and information technologies, engineering and architectural design. The revenue derived from selling goods and services outside the local economy or conversely attracting visitors to spend money in your community, represents “new wealth” which adds to the “wealth” circulating in the community. Basic industries stimulate the development of other businesses in the local economy through their payroll and their purchases of goods and services.

 “Non‐Basic” industries are those businesses that serve primarily local customers. They include most retail, personal and business services, health care providers, elementary and secondary education, etc. They are important for capturing and redistributing “wealth” within the community.

There are often “Basic” elements found in “Non‐Basic” industries. For example, to the extent that a retailer (or any other business for that matter) attracts customers from outside the local marketplace ‐ say for instance a tourist boutique ‐ a portion of their business becomes “Basic”. In fact the industry definition of “tourist retail” is a store with at least 20% of its revenues from visitors.

Why is the “Basic/Non‐Basic” distinction important?

According to Economic Base Theory, to strengthen the local economy one needs to stimulate the development of the “Basic” sector. A growing “Basic” sector produces growth in all other sectors of the local economy and therefore it is identified as the "engine" or “economic base” of the local economy.

This is why most economic development programs focus on manufacturing, exportable services such as call centres and tourism industries. Another reason is that because they export most or all of their production, the growth of a community’s “Basic” industries is not constrained by the size of the local marketplace. Assuming there is sufficient labour available to meet production

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demands in a manufacturing context or to service the numbers of visitors coming to your attractions, there is virtually no limit to how large a “Basic” industry can grow.

A strict interpretation of Economic Base Theory would suggest that economic developers needn’t concern themselves with retail and service businesses in their community because ‐ all things being equal ‐ the size of the service sector (the “Non‐ Basic” industries) is governed by the population of the local marketplace. However all things are not always equal and local markets seldom operate as efficiently as the theories would suggest, especially in a regional marketplace.

Smaller communities typically experience “economic leakage” to larger commercial centres, especially if the larger centre is close by. This is due to a phenomenon that William J. Reilly called “retail gravitation” in which larger centres exert a “pull” on the retail and service expenditures of smaller communities, much like the force of gravity in physics. Because of this, many “non‐basic” business sectors are often under‐represented in smaller communities.

The economist Michael Power put it this way:

"The standard interpretation of the economic base model would dismiss a restaurant or recreational facility as derivative or secondary ‐ however the alternative interpretation would say that such local economic activity absorbs and holds dollars longer in the local economy, increasing jobs and income.

The economic base model should not be interpreted as meaning that only exports matter. Rather, export earnings interact with a particular local economy to determine the overall level of local economic activity. Both export earnings and the local economic structure matter. The internal logic of the economic base model has simply been misinterpreted." Power, Thomas Michael, (1996) Lost Landscapes and Failed Economies. Washington DC, Island Press

To help illustrate the dynamics of the marketplace imagine the local economy is a bucket of water and that the water in the bucket represents the wealth of the community. The water is stirred by economic activity. It swirls around and reaches every part of the bucket. It goes from person to person, business to business, person to business and is constantly moving.

One person purchases a house and the realtor makes a deposit at the bank. The banker makes a loan to another person who buys a car. The car salesman buys a new shirt. The storeowner pays a life insurance premium. The insurance agent pays his school tax. The teacher pays the water bill. The money moves on and on.

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However there are holes in the bucket through which water (the wealth of the community) leaks out. Manufacturers purchase raw materials from suppliers outside the local marketplace. Retailers import items to stock their shelves. Income taxes and sales taxes leave the local economy. Even the money invested by individuals for their retirement leaves the local economy. The list goes on and on. The process is dynamic and in constant motion.

For a local economy to be healthy, vibrant and growing, the flow of new money into the community needs to exceed the amount of money leaking out.

Powers’ argues that it is important for economic developers to plug as many of the holes in the bucket as possible ‐ through programs of “import substitution” and “entrepreneurial development” because the leaks in the bucket prevent the community from growing to its full potential.

Therefore the goal of any economic development program should be to raise the water level (wealth) in the bucket. There are fundamentally only two ways to do this:

1. By increasing the flow of new wealth into the community through the attraction of tourists and outside investment and by stimulating exports.

2. By plugging leaks in the bucket through programs of import substitution and entrepreneurial development to fill gaps in the mix of retail and service businesses.

The importance of tourism is over unappreciated in many communities because of the perception that tourism jobs are predominantly minimum wage jobs. While it is true that some jobs in housekeeping or restaurant service are at the low end of the wage scale there are also management positions in virtually every business and tourism employs or contracts for a number of high end “creative” jobs in marketing and business administration.

Tourism operators are often employers of young people especially in service positions. These jobs often represent first time or part time jobs for the next generation which is an important part of the fabric of our society.

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The most important point, one that is often overlooked, is that tourist revenues represent new wealth for the community and therefore have much higher multiples than comparable revenues in retail or other personal services. Being “basic” industries, tourist establishments add wealth to the community helping to provide a foundation for other businesses.

Another factor that is often overlooked is that compared to some other business sectors (manufacturing for instance) the investment required to launch many tourism businesses is lower than for other sectors, presenting more opportunities for local entrepreneurs and investors to create new businesses.

Another subtle benefit of tourism development in a community is that those attractions and services intended to make your community attractive to visitors are also enjoyed by local residents. In fact in most cases local residents will comprise a substantial proportion of the customers to these facilities. In an era when “quality of place’ is considered an important factor in site selection criteria, this is an important consideration. This is especially so when one considers that many tourist communities are based on the preserved heritage of the community which is a greater stimulus for future heritage preservation.

According to Ministry of Tourism total tourism spending in the six counties subject to this report is estimated at nearly $¾ Billion ($738 million including London).

Regional Tourism Profile ‐ 2008 Total Visitations Total Spending Brant County 865,000 $ 76,431,000 Elgin County 611,000 $ 38,499,000 Haldimand/Norfolk* 1,200,000 $ 94,237,000 Middlesex County ** 4,295,000 $ 472,552,000 Oxford County 746,000 $ 57,166,000 Source: Ontario Ministry of Tourism website * Former Haldimand Norfolk Region ** Includes London

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Economic studies conducted by the Ontario Ministry of Tourism suggest that:

Every $ million in Tourism Spending ‐ Generates 14 jobs and ‐ $553,400 in Wages and Salaries

Based on these averages the tourism industry in the area represented by the Ontario’s South Coast Tourism Alliance produces more than 10,000 jobs (10,322 in 2008).

It is therefore important that the economic development offices and DMO’s in the region continue to explore opportunities to further develop the tourism infrastructure of the region.

The restrictions imposed by the Sand Plains Development Fund for this study (no private sector projects) limited the range of case studies presented for study. Because the projects nominated are all publicly owned or not‐for‐profit projects there is little role for the private sector to play. Also traditional measures of “profitability” and “return in investment” were not applicable. In these cases other “non‐commercial” objectives become project drivers, including heritage preservation, cultural development, education and recreation.

In each case we have attempted to add value or enhance the projects where we saw an opportunity but few of these projects will have a substantial impact on the tourism economy of the region except potentially the CASO Railway Station.

Nonetheless of the twelve projects presented for consideration only two are considered to be “unviable” based on available information.

The restoration of the CASO Railway Station in St. Thomas has the greatest potential to generate substantial numbers of tourist visitations and we are pleased to see the progress being made by the North American Railway Hall of Fame on their capital campaign and the restoration work. We hope the introductions to hotel consultants, PKF Canada, will be helpful in identifying potential investors for the boutique hotel project envisioned.

Overall Themes

The Value of Collaboration The heritage and culture groups in Middlesex and Brant Counties will benefit from joining forces with other like minded organizations. This would likely be the case in other Counties as well. When multiple groups can speak with a single voice they will have a much better chance of influencing local councils and funding organizations and they can benefit from joint planning for promotions and the coordination of their programs. Much work remains to be done and it may be many

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years before tangible results are evident but there are examples throughout Ontario of very successful tourism festival and events that had their foundations in group collaboration.

Trends in Camping and Recreation Our research shows that interest in camping is on the rise in North America and this is good news for the two conservation areas included in this study. It is also evident that the bar is being raised by private sector campground operators which have been investing in improved campground amenities. Both Conservation Authorities will need to continue investing in improvements to their properties to remain competitive. The introduction of “yurts” into the camping scene represents a significant opportunity. The Pinery Provincial Park has had great success with their yurts, which are rented out six months in advance ‐ at premium prices.

Growing Market for Tour Routes The growth of “staycations” (stay at home vacations) presents new opportunities for rural communities to promote driving and hiking routes. Combined with a growing interest in our past and eco‐friendly experiences sought by baby boomers, we can expect more people to enjoy trail experiences and “Sunday drives” through our rural areas looking for interesting experiences.

Considerations for Tourism Strategic Planning The secret to a successful tourism strategy is to ensure visitors have ample opportunities to spend money. It is a simple truth that unless visitors leave money in the community they are of little value to the economy. In fact they are just wearing out your roads. Tourism operators and DMO’s need to consider how best to service visitors to make sure they leave money behind when they leave the community.

Having said that, we point out that leisure travelers or vacationers are only one segment of the tourism market. The definition of a tourist also includes:

- the commercial traveler calling on customers and suppliers, - people attending meetings or conferences away from their usual place of work, - school groups on class trips and - construction crews or contractors working away from home and staying in motels mid‐week.

Outside established tourist destinations like Niagara Falls, prospective investors in tourism projects can not rely on the leisure traveler for business. For most hotel and motel projects, commercial travelers account for the bulk of room revenue. For restaurants and establishments offering experiences in the arts, entertainment or recreation, local residents are the main customer base.

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Prospective investors must be convinced that there is an adequate base of commercial and business travel or a sufficient number of local residents to ensure that hotel rooms, restaurant seats, attractions or other services have enough business to operate twelve months of the year, even during the dreaded “Tuesday night in February” when there is very little leisure travel in most of Ontario.

The other point we wish to acknowledge is that most publicly funded tourist attractions or services are not be able to meet their operating cash requirements through operations let alone cover debt repayment. This is why the project is publicly financed and operated in the first place.

It is especially true for cultural and heritage projects. Even major attractions such as the ROM (Royal Ontario Museum) and the AGO (Art Gallery of Ontario) must rely on government to offset operational expenses because the public would never tolerate admission prices based on full cost recovery. (Interestingly, major league sports fans will pay full price for their tickets.)

Elected officials have to be convinced of the community benefit from investing in the arts, culture and heritage projects in much the same way they consider investments in arenas and recreational facilities. These projects are not designed to attract tourists (although they can attract some visitors); they are designed to serve to local residents.

We trust the concepts and recommendations presented in this report will be useful to the participants.

Respectfully Submitted:

Matthew Fischer, Ec.D.

575 McGarrell Place Unit 16 London, ON N6G 5L3 226‐663‐6389 [email protected]

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