Edmonton city council arena motion passed on April 6, 2011

Main Motion (S. Mandel)

That Administration negotiate a financial framework for a downtown City-owned sports and
entertainment facility with the Katz Group based on the following terms and conditions:
1. Maximum Price - $450,000,000 to be set prior to any approval by Council of adequate price
guarantees
2. Confirmation of Katz Group commitment of $100M.
3. User fee (Ticket Surcharge) to fund capital costs of $125M

4. Evaluate options for a CRL(s): That administration revise and reframe projected CRL
project(s) to support the City’s overall downtown plan with $20 million from the CRL to be
directed to arena and the balance of proceeds used to support other priority downtown
projects (Quarters, Jasper Avenue, Warehouse District) in conjunction with the overall
downtown plan.
5. a) Evaluation options for further support (potentially $105 million) to be paid for by either
direct tax revenues from the arena, or savings from not having to pay current subsidy and
parking revenue increase to the City
b) That the total of 4 and 5 in terms of the City’s direct contribution to the arena building would
not exceed $125million
6. City owns the arena and the land for any new facility.
7. Agreement on fair market value of the arena property.
8. An agreement is entered into with the Katz Group, with the Katz Group responsible for
operating costs and generating necessary revenues for 30 years.
9. Project cannot proceed until the balance of funds are confirmed.
10. That Administration continues to work with Northlands to ensure the City understands
their financial challenges and how these can be addressed.
11. Location agreement whereby the necessary agreements are signed to ensure that the
Edmonton Oilers operate out of the facility for 30 years.
12. That the City retain the right to access to facility 4 weeks per year – uses to be
determined by the City but may include allocation of uses to Northlands or other bodies, for
example, the Canadian Finals Rodeo, Capital EX and other events the City deems of civic
importance.
13. City to negotiate options for potential revenue sharing.
14. Investigate the opportunities for lottery through establishment of foundation, with
proceeds directed towards community benefits in the new facility.
15. That Administration provide a report on options for the naming rights.
Amendment (LS/SM) Carried
16. That Administration negotiate the requirement for a Community Benefits Agreement
 associated with the above framework as part of any negotiated agreement.

Amendment (LS/JB) Carried

17. That the final negotiated agreement be brought back to Council for ratification.