Friends of the Bowl looking to borrow extra $1.9M
The foundation raising money to improve the Gordie Howe Sports Complex is asking to borrow another $1.93 million from the city amid a pandemic-related slowdown in fundraising.
Friends of the Bowl Foundation chair Bryan Kosteroski’s request to city council would effectively max out a $10-million interim financing agreement struck with the city two years ago, all of which must be paid back.
“This will really kick-start and support the whole project,” Kosteroski told council’s governance and priorities committee on Monday, adding that asking for additional borrowing was “really tough.”
The Gordie Howe Sports Complex is in the midst of a massive $66-million expansion and overhaul. The bulk of the $20.8-million third phase will be funded by the federal and provincial governments.
That cash is expected under Ottawa’s controversial Investing in Canada Infrastructure Program. The federal government is expected to provide $8.3 million, while the province committed $7 million. The city, which will own the facilities, has previously committed $6 million to the project.
The foundation is responsible for 26.7 per cent of all capital funding, and is asking to borrow additional cash from the City of Saskatoon due to slower-than-expected fundraising during the pandemic.
All developments planned for the Gordie Howe Sports Complex were “shovel-ready, pending funds raised, when coronavirus hit,” Kosteroski told council. “The pandemic has been a critical blow ... Donors’ priorities have shifted to ... emergency relief efforts.”
The extra $1.93 million would cover the foundation’s share in several projects planned for this year as part of the third phase.
At the same time, Kosteroski told the committee the foundation has secured a $1-million donation to help pay for a $5.8-million “multi-sport centre” from K+S Potash Canada (KSPC), which has not yet been announced.
KSPC spokeswoman Maeghan Dubois subsequently confirmed the donation. She said in an email it is part of the company’s Youth + US program, which aims to “provide young people with access to more that matters, including the opportunity to participate in sports.”
City council is expected to consider the foundation’s request for additional borrowing next week.
Kerry Tarasoff, the city’s chief financial officer, told the committee his department has “no concerns” with the request. He said it is “really just a cash flow issue” and there is no risk to the city attached.
The committee heard the foundation has to repay the cost of the borrowing, plus interest, with donations.
This was union busting at its finest. We’re just happy that we came out with our heads held high and we’re going to go back there and try and build a relationship.
KEVIN BITTMAN, president of Unifor Local 594, which voted to ratify a deal with Co-op Refinery Complex in Regina on Monday