Mayor Nenshi’s statement on the Flames arena

Today, the Calgary Sports and Entertainment Corporation ( the company that owns the Calgary Flames and Stampeders, among other professional sports teams) released an intriguing proposal for a new arena, sports fieldhouse, and football stadium.

This project has been in the works for some time, and I am pleased that the Flames ownership group is now engaging the public on what they would like to see. I also appreciate that the ownership group has come forward with a definitive financial commitment — something that has rarely been seen in other cities.

However, there are a number of challenges that must now be addressed:

The proposal has not been part of the City’s comprehensive capital planning process, and does not form part of the plan, under which the City’s capital funds are fully allocated through 2018;

The proposal includes incorporating the City’s proposed ( and much- needed) fieldhouse into the facility. However, that project, while a very high priority for the City, remains unfunded;

The funding proposal includes a $ 250- million “ticket tax,” but it is unclear if the City will be asked to provide the upfront financing for this;

The proposed site requires significant expenditures to remediate the environmental contamination there. That remediation is also unfunded;

In addition, the proposal requires the contribution of land, a community revitalization levy and significant investments in infrastructure to make the West Village a complete and vibrant community.

Therefore, there are very significant requirements for public funding beyond the fieldhouse funding, and there is currently no money.

I have said for a long time — and continue to strongly believe — that public money must be for public benefit and not private profit. The question for council, the ownership group, and all Calgarians is whether this proposal meets that test.

That said, I truly appreciate the efforts of the ownership group in bringing forward an innovative project in a thoughtful, professional, and ethical way.

I firmly believe that these Calgarians want to do something exceptional for our community.

City council will ensure that there is significant public engagement and will work co- operatively with the Calgary Sports and Entertainment Corporation and the other orders of government to determine whether this project is viable.