Tuesday, December 04, 2018 - 11:15 AM

City Shares Operating Costs for St. John’s Sports and Entertainment

As part of the 2019 operating budget for the City of St. John’s, City Council will vote on the operating grant provided to St. John’s Sports and Entertainment (SJSEL) of $2.9 million. In addition to the operating grant, $500,000 has been allocated for the regular capital investments required at Mile One Centre and the St. John’s Convention Centre (SJCC).

“For many years, the City released the operating grant in advance of announcing its annual budget. As part of our commitment to openness and transparency, this Council is pleased to return to that practice,” explained Mayor Danny Breen. “The City’s investment in St. John’s Sports and Entertainment is an acknowledgment of the value of Mile One and the Convention Centre, which contribute to high quality sports, entertainment and convention activity in St. John’s.”

SJSE 2019 Projected Operating Grant (including $500,000 capital grant) $3.4 million
Mile One 2019 Projected Operating Cost $7.83 million
  2019 Projected Revenue $5.87 million
Convention Centre 2019 Projected Operating Cost $4.43 million
  2019 Projected Revenue $3.48 million

The City operating grant represents only 25 per cent of the total operating cost of these facilities. Revenues cover the majority of operational costs for both facilities - 74.97 percent for Mile One and 78.72 percent for the Convention Centre.

“Mile One Centre and the St. John’s Convention Centre generate economic benefit for the City and represent an excellent investment in stimulating activity in the downtown,” noted Councillor Sandy Hickman, Chair of the SJSEL Board.  “Hospitality is a growing industry in this province and these venues contribute significantly to this growth.”

To ensure continued success into the future, SJSEL’s operating grant for 2019 has increased by $752,183.  This is due in part to a bigger and busier convention centre, which requires recruitment of appropriately skilled staff and allows SJCC to compete for and execute exceptional events in an increasingly competitive marketplace. Additionally, the finalized lease with the Growlers and the Edge allows the organization to better reflect actual revenue from corporate sponsorship, valued at $500,000 for 2019.

“Mile One Centre staff continue to seek opportunities to deliver world-class sport and entertainment events,” said Councillor Hickman. “Together with Edge basketball and Growlers hockey, we look forward to bringing patrons a variety of local, national and international events in 2019.”
 
Media Contact:
Kelly Maguire
Media Relations
City of St. John's
709-576-8491
kmaguire@stjohns.ca