Council’s canoe museum funding sticker shock

In late June, the chair of the board of the Canadian Canoe Museum (CCM) appeared before the City of Peterborough budget committee. He asked for a grant from the city of $4 million to assist with the development of the proposed new $50-million canoe museum on Parks Canada lands beside the Lift Lock. If granted, it would represent the largest single capital grant in the city’s history.

Following his presentation, seven of the 11 councillors asked him questions, all of which revealed an undercurrent of concern about the size of the $4 million request. One councillor called it “a gargantuan amount.” Another cited “lofty goals.” Others asked about the willingness to negotiate the amount or to spread the payments over a number of years. Throughout, councillors expressed a palpable sense of sticker shock. The budget committee decided to refer the CCM’s request to city staff for a report.

That decision came to city council last week and it was expected to be dealt with as a routine matter. Instead, Coun. Andrew Beamer spoke forcefully and at length, indicating his opposition to the amount of the request and suggesting that, if a capital grant is to be given, the city’s annual operating subsidy to the museum of $106,000 should be eliminated. Coun. Dan McWilliams agreed and councillors Lesley Parnell and Dean Pappas expressed similar concerns. Later, Beamer explained that he told no one about his intentions in advance and was surprised when some councillors supported him and none defended the CCM request.

This debate takes place in the context of heavy demand on the city’s capital funds. There are more good projects than there are available dollars, many of which are seen to be more pressing than a

museum. There is also a measure of political resistance by some councillors to a grant that appears to be too large in relation to the request made by the CCM to the county ($1 million) and the province. ($9 million) For some councillors, there is a real disconnect between the money sought and the local benefit received; the fact that concern over the grant comes from both the left and right factions on council is a telling sign.

The CCM case for some level of city support is surely worthy. It houses the world’s largest collection of paddled watercraft in a community world renowned for canoe culture. A 2017 study on the direct and indirect impacts of the development and operation of the new museum indicates an economic benefit of $86 million over the period 2017-2021. In addition, a $50,000 visitor and market demand study by Consult Econ of Massachusetts is currently underway. Due before year end, it will be instructive in determining the financial viability and sustainability of the new museum. With more than 27,000 visitors last year, CCM is typically the first or second rated attraction in Peterborough.

While the CCM is deserving of city support, its ineffective advocacy has resulted in resistance among councillors that may harm it financially. The organization remains publicly unclear about how it arrived at its $4 million figure – a critical matter when you are asking for the sky. The attempt to argue the value of taxpayer investment in a museum as a city priority has been insufficient. Most councillors were not individually briefed and have little justification to put to their constituents. If the approach was to ask high and settle for less, the timing of that tactic was not well assessed. Beamer advises that the grant request should be cut in half. His position is now likely to find support on council.