Contentious Calgary arena deal enters 3rd day of council debate
Debate over the proposed new arena deal resumes at Calgary city hall Wednesday afternoon, after it was revealed earlier this week the cost had risen from $550 million to $608 million.
The higher cost is being split by the city and the Calgary Sport and Entertainment Corporation (CSEC), with up to $25 million earmarked for costs overrun, as per the 2019 agreement, but there is still concern around what the city will pay.
The original contract included a 50/50 split of the proposed $550-million cost to replace the aging Saddledome and provide a new home for the Calgary Flames, Hitmen, Roughnecks and touring events and concerts. Now, both sides are committing an additional $12.5 million and anything beyond this will not be pegged to the city.
The new totals are $287.5 million for the city, and $321 million for CSEC, however this doesn't paint the whole picture for taxpayers.
The city is on the hook for up to $10 million for site preparation, including flood mediation, and more than $4.5 million is for utility relocation, and transportation costs which Mayor Naheed Nenshi says will be minor.
Nenshi also says plans were redrawn because the initial design was not considered accessible, there weren't enough women's washrooms, and luxury boxes were disproportionate to regular seating.
"It's kind of like hiring somebody to build a house for you and the project goes over budget, you have to pay even more and you are giving over complete control over what ultimately gets built," said Ward 11 Coun. Jeromy Farkas, who is running for mayor in October.
"You're still on the hook for the money but you have no insurance that what's going to be built is actually going to serve your needs."
The Calgary Municipal Land Corporation is out as project manager as Flames ownership seek one of their choosing.
"I believe our partner is saying, 'we will take on all costs overruns above and beyond anything that's in front of you today,' and remember, there's 12-and-a-half, plus 10, plus 10, plus unnamed operating costs before us today, but they will take on cost overruns for the building," said Ward 3 Coun, Jyoti Gondek, who is also running for mayor.
Debate in council chambers is expected to be heated when it resumes at 1:15 p.m. on Wednesday.
CTVNews.ca Top Stories
Grandparents killed in wrong-way crash on Hwy. 401 identified
A 60-year-old man and a 55-year-old woman killed in a wrong-way crash on Highway 401 earlier this week have been identified by the Consulate General of India in Toronto.
Police arrest 3 Indian nationals in killing of B.C. Sikh activist Hardeep Singh Nijjar
Three people have been arrested and charged in the killing of B.C. Sikh activist Hardeep Singh Nijjar – as authorities continue investigating potential connections to the Indian government.
Suter scores late goal, clinches series for Canucks
Pius Suter scored with 1:39 left and the Vancouver Canucks advanced to the second round of the NHL playoffs with a 1-0 victory over the Nashville Predators on Friday night in Game 6.
TD worst-case scenario more likely after drug money laundering allegations: analyst
TD Bank Group could be hit with more severe penalties than previously expected, says a banking analyst after a report that the investigation it faces in the U.S. is tied to laundering illicit fentanyl profits.
Quebec man who threatened Trudeau, Legault online sentenced to 20 months in jail
A Quebec man who pleaded guilty to threatening Prime Minister Justin Trudeau and Premier François Legault has been sentenced to 20 months in jail.
Human remains found in rural Sask. possibly a decade old, RCMP say
RCMP say human remains found in a rural area in central Saskatchewan may have been there for a decade or more.
Britney Spears 'home and safe' after paramedics responded to an incident at the Chateau Marmont, source tells CNN
A source close to singer Britney Spears tells CNN that the pop star is 'home and safe' after she had a 'major fight' with her boyfriend on Wednesday night at the Chateau Marmont in West Hollywood.
Canadian doctor concerned new weight-loss drug Wegovy may be used inappropriately
As Wegovy becomes available to Canadians starting Monday, a medical expert is cautioning patients wanting to use the drug to lose weight that no medication is a ''magic bullet,' and the new medication is meant particularly for people who meet certain criteria related to obesity and weight.
Drew Carey is never quitting 'The Price Is Right'
Drew Carey took over as host of 'The Price Is Right' and hopes he’s there for life. 'I'm not going anywhere,' he told 'Entertainment Tonight' of the job he took over from longtime host Bob Barker in 2007.