Report to/Rapport au :

 

Planning and Environment Committee

Comité de l'urbanisme et de l'environnement

 

and Council / et au Conseil

 

19 February 2009 / le 19 février 2009

 

Submitted by/Soumis par : Nancy Schepers, Deputy City Manager

Directrice municipale adjointe,

Infrastructure Services and Community Sustainability

Services d’infrastructure et Viabilité des collectivités 

 

Contact Person/Personne-ressource : Rob Mackay, Acting Director/Directeur intérimaire, Community Sustainability Services/Services de viabilité des collectivités

(613) 580-2424 x22632, Rob.Mackay@ottawa.ca

 

City Wide/à l'échelle de la Ville

Ref N°: ACS2009-ICS-CCS-0013

 

 

SUBJECT:

needs assessment and location analysis for multi-purpose SPORT AND ENTERTAINMENT FACILITIES

 

 

OBJET :

ÉVALUATION DES BESOINS ET ANALYSE DE LOCALISATION POUR LES INSTALLATIONS SPORTIVES ET DE DIVERTISSEMENT POLYVALENTES

 

REPORT RECOMMENDATION

 

That the Planning and Environment Committee recommend that Council:

 

1.                  Receive the Needs Analysis for Multi-Purpose Sports and Entertainment Facilities study for information;

 

2.                  Direct staff to consider the factors identified in the Needs Analysis for Multi-Purpose Sports and Entertainment Facilities study as base criteria with respect to needs and location in their evaluation of the two unsolicited proposals; and

 

3.                  Approve the evaluation process outlined in this staff report for the receipt and assessment of the unsolicited stadium proposals submitted by the Ottawa Sports and Entertainment Group (OSEG) and the Senators Sports and Entertainment (SSE).

 

RECOMMANDATION DU RAPPORT

 

Que le Comité de l'urbanisme et de l'environnement et le Conseil :

 

1.                  Prennent connaissance de l'Analyse des besoins pour les installations sportives et de divertissement polyvalentes;

 

2.         Donnent instruction au personnel de considérer les facteurs relevés dans l'Analyse des besoins pour les installations sportives et de divertissement polyvalentes comme critères de base pour l'évaluation des besoins et l'analyse de localisation en ce qui concerne les deux propositions non sollicitées; et

 

3.         Approuvent la démarche énoncée dans le présent rapport du personnel pour la réception et l'évaluation des propositions non sollicitées d'aménagement de stades soumises par l'Ottawa Sports and Entertainment Group (OSEG) et Senators Sports and Entertainment (SSE).

 

BACKGROUND

 

Further to the City Manager’s memo to Mayor and Members of Council, dated February 13, 2009, this staff report outlines a two-stage process to allow for Council’s consideration of the unsolicited stadium proposals received from OSEG and SSE.  In addition, this report is providing background information pertaining to a study that was commissioned by the City to examine the need for multi-purpose sports and entertainment facilities in Ottawa and the evaluation of several potential stadium sites throughout the city.

 

DISCUSSION

 

Evaluation Process

 

The City of Ottawa has received two unsolicited stadium proposals and as such, should consider a process to effectively and fairly evaluate each proposal.  In consultation with the Mayor and the Chair of the Planning and Environment Committee, the City Manager's memo recommended a two-stage evaluation process.  This recommended process has been designed to first allow Council the opportunity to understand some of the issues and pertinent information relating to the needs and location of a stadium before they receive any subsequent information relating to the actual evaluation of both the SSE and OSEG proposals.

 

Stage One:

 

  1. February 19, 2009 - Release a staff report to the Planning and Environment Committee (PEC) outlining the Stadium Review and Approval Process as well as The Needs Analysis for Multi-Purpose Sports and Entertainment Facilities Study;
  2. February 24, 2009 - Formally table the above report at PEC;
  3. March 10, 2009 - Consider the above report at PEC; and
  4. March 11, 2009 - Consider the above report at Council.

 

Stage Two:

 

1.      March 25, 2009 - Tabling of a second staff report at a special meeting of Council outlining the evaluation of the business cases for both the OSEG and the SSE proposals. This report will provide an analysis and will make recommendations for Council's consideration from a business case and land use perspective.  It is recommended this report also be referred to a joint PEC and Corporate Services and Economic Development Committee to allow for public consultation;

2.      April 7, 2009 - Joint PEC and CSEDC meeting to hear public delegations; and

3.      April 22, 2009 - The final report will be considered by Council at its regular meeting.

 
Needs Analysis for Multi-Purpose Sports and Entertainment Facilities study

 

In August 2008, the Corporate Research Group Ltd (CRG) was commissioned by the City of Ottawa to undertake a Needs Analysis for Multi-purpose Sports and Entertainment Facilities for the City of Ottawa.  The study is a detailed undertaking that identifies both the overall need for a Multi-purpose Sports and Entertainment Facility in Ottawa, and a comprehensive list of potential locations for a new facility based on a list of weighted land-use criteria.

 

The purpose of this assessment was to help the City determine the need for sports and entertainment facilities and by extension whether there is a requirement to seek new facilities and/or to expand or renovate existing facilities.  Finally, the study concludes with a sample locational analysis by examining and ranking 23 potential sites large enough to accommodate a multi-purpose sports and entertainment facility.

 

Please note that although the CRG study undertook both a needs assessment and a location analysis, their report provides insights into overall community value and locational considerations as a part of the due diligence analysis of the City’s investment potential for stadium development. This is only one consideration that will be taken into account in the overall assessment of the OSEG and SSE proposals.

 

Identification and Assessment of Needs

 

The approach and methodology employed by the Consulting Team (CRG) to conduct the study consisted of a combination of research including: 

 

1.   Individual interviews and/or focus group meeting(s) with key sport, trade show, cultural organizations and local community groups to identify local needs and expectations with respect to future facility requirements beyond Parks and Recreation’s basic mandate and Infrastructure Project Listing. 

2.   A scan of multi-purpose sports and entertainment facilities in other large urban Canadian cities to determine the competitive environment for attracting major events.  The scan assessed key criteria such as stadium seating capacity, site area, location, funding model, and multi versus single use.

 

Based on the results of the stakeholder interviews and the scan of other multi-purpose sports and entertainment facilities, the following key findings, conclusions and facility recommendations were identified: 

 

            Existing Facilities:

 

·         Ottawa boasts a strong complement of sports and entertainment facilities but several of these are older, outdated and will require upgrading and/or replacement in the near term;

·         Most current major facilities in Ottawa are not considered presently suitable as venues for professional events/teams, the notable exception being the City’s baseball stadium; and

·         Ottawa will, therefore, require new facilities in the future, both to replace aging ones, and to address new requirements.

 

Needs Assessment

 

·         If a new major sports facility is built in Ottawa, it will be driven by a major need, either facility replacement (e.g., Lansdowne) and/or the need associated with a specific use such as professional team(s) locating/relocating to Ottawa (e.g. professional soccer and/or football). The specific type, size and elements included in any new facility will therefore be dictated by the mix of uses/users and the players involved;

·         While the review of sports and entertainment facilities in other locations suggests there are challenges in combining uses into a single facility, this approach is used effectively and is considered the most realistic approach for Ottawa, given market size. That is to say, Ottawa cannot realistically support more than one new major facility in the near or even medium terms; and

·         Any new major facility developed in Ottawa should therefore be designed with multiple uses in mind and further it should be designed to address needs from the community level up to professional sports and entertainment. In this way the new facility can function as a location/node where numerous needs are served.

 

Facility Recommendations

 

·         In terms of location, any new larger multi-use sport facility developed in Ottawa should be located either in the urban centre of the City, as part of an overall development plan for an area that may include commercial, residential and/or retail redevelopment, or, alternatively in a group setting to achieve a sport-entertainment district which provides benefits through common infrastructure, parking, shared facilities for larger events and increased exposure for all venues to each others’ user groups. In either case, accessibility is key, notably access to transit, parking, etc.

·         The size of the facility and associated land area will be dictated by the uses/users as well as location. Nonetheless, market norms suggest if a new major facility is developed it should provide:

 

o   seating capacity in the range of 15,000 - 20,000 spectators, with expansion capacity depending upon the event/sport.  This suggests a site area requirement of at least 25 - 30+ acres;

o   associated facilities and amenities;

o   parking requirement of about one space per three to four seats, although this will depend upon the uses, location, availability and proximity to transit, etc; and

o   an open-air facility is recommended to allow ability to introduce a dome during the winter months.

 

CRG Evaluation Criteria

 

As a final phase of the study, the consultant identified and evaluated potential sites in Ottawa for the location of a multi-purpose sports and entertainment facility.  This phase of work consisted of translating the results of the previous research into land requirements for a possible new facility, and identifying the following locational criteria:

 

·         Site Technical (e.g. site area, soil condition, site development costs, etc.);

·         Site General (e.g. impact on neighbours, access to amenities);

·         Transportation and Access (e.g. proximity/access to major roadways and public transportation); and

·         Planning and Infrastructure (e.g. OP status, serviced/unserviced, etc.)

 

Based on the site selection criteria, the consultant and City staff collectively identified possible sites, and scored/rated each site in terms of the extent to which they met the identified criteria and requirements.  Two sites achieved the highest ranking, a City owned site along Bayview Road which includes the Tom Brown Arena, followed by a property located at Carleton University.  Comparatively, the City-owned site at Lansdowne Park ranked 6th overall and the City-owned site in Kanata proposed for the development of a soccer stadium ranked 7th out of 23 possible sites.

 

Overall Evaluation Criteria

 

Staff will review the stadium proposals based on criteria that consider the net cost to the City (e.g. capital and operating costs, life cycle cost); planning approvals and requirements (e.g. location, site feasibility, transportation) and other needs-related considerations as identified by the CRG study.

 

CONSULTATION

 

Interviews with key stakeholders within the sport, entertainment, and exhibition industries were undertaken in the development of the study.

 

LEGAL/RISK MANAGEMENT IMPLICATIONS:

 

Given the short circulation period of the staff report, Legal did not have adequate time to provide a response.  As such, Legal/Risk Management Implications will be distributed separately.

 

FINANCIAL IMPLICATIONS

 

There are no financial implications associated with this report.

 

SUPPORTING DOCUMENTATION

 

Document 1    Needs Analysis for Multi-Purpose Sports and Entertainment Facilities Study (distributed separately)

 

DISPOSITION

 

Following consideration and deliberation by Planning and Environment Committee on March 10th, this report will be forwarded to Council for its approval on March 11th.  Following Council’s direction, staff will evaluate the stadium proposals based on the approved criteria, and report back to a special meeting of Council on March 25th to make recommendations for Council’s consideration.