With city council support eroding in light of the $215 million price tag, the Kingsway Entertainment District is likely to be scrapped at Tuesday’s city council meeting. Of the narrow majority of city council members who have supported the project so far, several have indicated their intention to vote against it next week to effectively kill it. “It just doesn’t make sense to me anymore,” Mayor Brian Bigger told Sudbury.com. “I cannot support a total cost of $215 million. … I just can’t support the necessary tax increase when we’re already under a lot of pressure this year with inflation.” That existing financial pressure has already affected next year’s budget discussions of $16.3 million, which the city government has been asked to cut in order to meet a planned 3.7 percent tax increase. Since the city council has only budgeted $100 million for the municipal arena/events center to date, administration recommended putting the $115 million shortfall on debt, which is projected to cost 7.48 to service annually over the next 30 years. million dollars. In addition to ongoing concerns about the tax burden, Bigger said there is too much sensitivity about the city’s existing debt load of about $355 million to pile on more. “My position will be to reevaluate all the things we’re working with,” Bigger said. “It will probably be a decision made by the next council, which I hope to be a part of.” From what Sudbury.com has gathered from councilors and gleaned from previous votes in relation to the KED, it seems clear that the project as currently proposed will not survive Tuesday’s meeting. On September 28, 2021, a 7-6 vote of the city council approved a motion to the city administration to negotiate the start of site preparation. The following council members voted for her: Ward 11 Coun. Bill Leduc, Ward 12 Coun. Joscelyne Landry-Altmann, Ward 5 Coun. Robert Kirwan, Ward 6 Coun. René Lapierre, Ward 7 Coun. Mike Jakubo, Ward 8 Coun. Al Sizer and Mayor Brian Bigger. In addition to Bigger, both Kirwan and Leduc confirmed their intentions to vote against KED as currently proposed on Tuesday. “I was completely surprised,” Leduc said of the $215 million price tag, adding that he expected it to come in above the $100 million already budgeted for, but not by that much. “It’s disappointing that we’ve come this far now and the anti-KED team has held us for so many years and we’re paying the price.” Legal challenges delayed the project for years, he said, and pushed the project into the era of COVID-19, which brought with it a cost inflation greater than any in recent history. In addition to exploring the RFP process, Leduc said he would like to see the project thrown to city administration with a mandate to stick to a $150 million budget. Kirwan offered a similar view to Leduc and confirmed that while he’s still very supportive of the project, he can’t vote for a $215 million cost plan. “If the city council rejects the recommendations, it will be up to staff to ask the successful RFP proponent to redraw the plans, review their own cost estimates and come back to us with a more acceptable budget proposal and financial plan.” Jakubo told Sudbury.com that he was “still digesting the price of any future development, knowing full well that the cost of any new facility will not decrease significantly in the future. That price makes it a tough decision, but I’ll be ready to make that decision on Tuesday.” Those elected officials who had declined to vote to move forward with site preparation work last year included Ward 10. Fern Cormier, Ward 1 Coun. Mark Signoretti, Ward 2 Coun. Michael Vagnini, Ward 3 Coun. Gerry Montpellier and Ward 4 Coun. Geoff McCausland and Ward 9 Coun. Deb McIntosh (who by abstaining was counted as a negative). Since they voted against the project at $100 million, it is unlikely that more than doubling the cost of the project to $215 million will convince them to support the project. “As you know, I never voted for this project,” Cormier said. “That certainly won’t change given the additional impact on the tax burden it would create. Without an identified source of funding to cover the additional costs, I do not believe it would be prudent for us to continue to pursue the project.” McIntosh declined to comment, while McCausland confirmed his growing opposition to the project. “This is a time of uncertainty, with rising costs already affecting families across Canada, and we have no shortage of roads, pipes and buildings in Greater Sudbury that need investment,” he said. “I think the council needs to focus on the outcomes, what we’re trying to achieve with an investment in the arena and see that there’s still an opportunity to turn it around and ensure what we want and need for both today’s events and the future generations”. McCausland wants to see the city “breathe new life into the old barn” — the downtown Sudbury Community Arena — by pursuing the Project Now proposal to renovate the 70-year-old building. “We can add nearly a thousand seats, improve the arena as a performance venue for concerts, add modern locker rooms and bathrooms, improve accessibility, add restaurants, shops and concessions, and improve the loading area for traveling shows. approach so that Wolves’ season is not disrupted,” he said. This option was proposed in 2020 at a cost of about $60 million, which did not include a parking structure estimated to carry a price tag of about $35 million. Leduc said with KED’s cost more than doubling to $215 million, why wouldn’t the downtown options, which were originally slated to cost either about the same or more, increase at the same rate? While the KED as currently proposed is likely to fall at Tuesday’s city council meeting, it remains to be seen what might take its place. Leduc told Sudbury.com he plans to introduce a motion or amendment to move the project forward in a different form than the one presented, while Bigger said it’s a decision best made by whichever incarnation of city council is elected on Oct. 24. The city’s current debt load includes $90 million already secured and earmarked for KED, which they secured along with $110 million for other projects at an interest rate of 2.416 percent. “I’m sure different councilors will come up with different proposals on how to spend that money, but there are still some unresolved issues that really matter to our community,” Bigger said, pointing to beleaguered Laurentian University as an example. Signoretti, Vagnini, Montpellier, Sizer and Landry-Altmann did not return Sudbury.com’s phone and email messages for comment. Lapierre clarified that he was unable to comment due to the limited coverage of the cells he was in. Tuesday’s city council meeting will start at 2pm, so members of the public can watch proceedings in person in Tom Davies Square or watch a live stream by clicking here. Tyler Clarke covers city hall and political affairs for Sudbury.com.
