City Council Item I2-1 for June 6, 2012
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12-1 BRAMPTON BRAMPTON CITY COUNCIL ™pL" Flower City ' »^*'M c,City Rcepo" Council The Corporation of the City of Brampton Date: June 4, 2012 File: M025-Pan Am Subject: Status Report: 2015 Pan Para/Pan American Games Contact: Deborah Dubenofsky, City Manager (Tel: 905-874-2625) and Dennis Cutajar, Commissioner of Economic Development &Communications (Tel: 905-874-2698) OVERVIEW • The purpose of this report is to provide Council with the current status of the 2015 Pan/Para Pan American Games ("Games") in relation to the Council Resolution of May 23, 2012. • At the Council meeting of May 23, 2012, Council referred two separate private submissions for multi-sport facilities, along with a reopened staff report titled "2015 Pan/Para Pan American Games Status Report dated February 15,2012", to staff for further information and review. • After the May 23 Council meeting, staff formally followed up with the Organizing Committee (TO2015) of the Games to request official confirmation of its intent to reconsider possible baseball/softball venues in Brampton as a host municipality, based on the private submissions to Council. • On May 28 and May 29,2012, TO2015 submitted letters of response to the City of Brampton with new and reaffirmed information (see Appendix 1). • TO2015 stated that it has considered Council's May 23,2012 decision and is prepared to give the City of Brampton until June 15, 2012 to put forward a 'concrete' proposal with municipal funding commitment (from either private or public funds). • The City's proposal must ensure that the site(s) can be in a 'construction-ready state' by March 31, 2013 at the City's cost (e.g.: completion of servicing, environmental assessments, demolition and removal of existing structures, approvals and compliance with planning and building statutes, regulations and bylaws, other procurement, financial and legal requirements). This is an additional cost to the City above the capital funding formula. • TO2015 also reaffirmed its earlier capital funding formula. Fifty-six per cent (56%) of the total capital cost will be funded by the Government of Canada through TO2015 and 44% of the total project cost funded by the City of Brampton through public or private funds. On the total capital project cost, TO2015 reaffirmed that its 56% share, or $7 million (that is, of the $13 million that was established for the redevelopment of Sesquicentennial Park), remains the maximum amount that it will commit to any baseball and softball venue(s) notwithstanding what the total project might cost. Council's commitment of the City's 44% of the capital funding is required in a submission to TO2015 by June 15, 2012. • TO2015 reaffirmed its vision for hosting a sport cluster for both men's and women's baseball and softball at one venue; however TO2015 stated that while not optimal, it would not disqualify Brampton for a proposal with separate baseball and softball venues. X2.-2 Continued from previous page. TO2015 has also informed the City of Brampton that it is in an advanced stage of discussion with another municipal candidate to host the sports of baseball and softball during the Games. Given the fact that there is limited and unconfirmed financial information, project scope definition, and baseball/softball programming specifications related to the two separate private submissions; limited known committed financial resources from the private sector, nor a reasonable timeframe to undertake a feasibility study and necessary due diligence process to meet the TO2015 deadline; there exists a difference in vision for a baseball and softball venue between TO2015 and the two separate private submissions; and Council's goal of a zero property tax impact, staff has recommended in this report that the City of Brampton should not submit a bid for the June 15 deadline. However, staff also recommends that Council reaffirm its commitment to the ongoing development of high-caliber sports facilities and infrastructure in Brampton by undertaking a comprehensive sports and entertainment opportunities assessment as part of the upcoming strategic planning process and referring to subsequent budget discussions as appropriate. RECOMMENDATIONS 1. That, the report from Deborah Dubenofsky, City Manager and Dennis Cutajar, Commissioner Economic Development and Communications, dated June 4, 2012 to the Council meeting of June 6, 2012, re: Status Report: 2015 Pan Para/Pan American Games, be received; and 2. That, the City of Brampton decline the invitation by TO2015 to submit a bid for the June 15, 2012 deadline, given there is limited and unconfirmed financial information, project scope definition and baseball/softball programming specifications related to the two separate private submissions; limited known committed financial resources from the private sector, nor a reasonable timeframe to undertake a feasibility study and necessary due diligence process to meet the TO2015 deadline; there exists a difference in vision for a baseball and softball venue between TO2015 and the two separate private submissions; and Council's stated goal of a zero property tax impact; and 3. That, Council reaffirm its ongoing commitment to the development of high-caliber sports infrastructure in Brampton by including an assessment of Sports and Entertainment Venues in the upcoming strategic planning process for broader xi-2 communitydiscussion and engagement, and referral to subsequent budget discussions as appropriate; and 4. That, Council acknowledge the private sector developers and community advocates for their ideas and concept submissions to the City of Brampton on May 23, 2012. BACKGROUND Origin of Report - February 22. 2012 Council Decision The following motion was approved by Council at its February 22, 2012 meeting: 1. That the report prepared by Dennis Cutajar, Commissioner of Economic Development and Communications, dated February 15, 2012, re: 2015 Pan/Para Pan American Games Status Report, prepared for the Council meeting of February 22, 2012 be received; and 2. That given current financial constraints and Council's commitment to a cricket facility, City Council respectfullydecline the request by TO2015 to upgrade the existing Sesquicentennial Park for baseball and softball events during the 2015 Pan/Para Pan American Games; and further that TO2015 be advised that the City of Brampton shall withdraw from the venue selection competition for these baseball/softball events; and 3. That Council continue with its vision to build a dedicated cricket facility at the Bram East site and that staff of the Community Services Department report on facility concept and potential partners in facility development or enhancements; and 4. That Community Services staff be authorized to communicate Council's decision to the national and Brampton-based sports associations affected by the TO2015 venue and sports strategy; and 5. That a letter of thanks be written to the CEO of TO2015 for his ongoing professionalism in strengthening the relationship with communities in the Toronto region, including Brampton, in the complex planning of the Pan/Para Pan American games in 2015. Origin of Report - May 23 2012 Council Meeting At the May 23 2012 Council meeting the following motion was approved. 1. That the presentations/submissions by the delegations to the Council Meeting of May 23, 2012, for baseball/multi-sport stadia, including consideration for Pan/Para Pan American Games in 2015, along with the re-opened staff report X2-W from D. Cutajar, Commissioner Economic Development and Communications, dated February 15, 2012, re: 2015 Pan/Para Pan American Games Status Report, be referred to staff for information and further review and investigation, including the following: a) official confirmation from TO2015 Organizers regarding their intent to re consider possible baseball/softball/multisport venues in Brampton as a host municipality based on purported discussions with local residents and business interests; and b) official confirmation from both the provincial and federal governments regarding specific funding opportunities for 2015 Games stadium/venue development, such that any stadium development is not subject to any City of Brampton capital funding commitment and/or Brampton taxpayer impact; and c) subject to satisfactory official confirmations and assurances provided to the City in clauses (a and (b, staff undertake a detailed review and analysis of the stadium proposals as possible venues for the 2015 Pan/Para Pan American Games, with such review and analysis to consider the following matters:; i. overall project costs and funding sources (capital and operating financial costs related to the projects), including associated land sale/lease arrangements and any foregone revenue to the City, to ensure there is no financial impact on the Corporation or Brampton taxpayers; ii. confirmation of specific private sector funding and investment commitments for both stadium submissions; iii. impact on the current Powerade Centre cost-sharing agreements as it pertains to the Phase II lands; iv. addressing associated floodplain issues and flood remediation requirements, costs and approvals; v. review of specifications with TO2015 Organizers for the requirements for two or more stadiums/venues for baseball/softball events; vi. confirmation of stadium/venue facility ownership over the long term; vii. demand for baseball/softball fields in the City and the resulting legacy project impacts; viii. necessary contracts and/or agreements, as required, in order to protect the