It is likely that a Briefing Note will be brought forward at the November 6 2023 City Council meeting re the MHES’s request for over $22 million from the City for replacement of the grandstands and an expansion of meeting facilities as well as a replacement of a 45 year old kitchen.

The Province of Alberta will kick in 40% of the $37.3 million project but ONLY

if the City of Medicine Hat (COMH) matches it.

$14.9 million grant from Province of AB

$14.9 million grant from the COMH

$7.5 million interest free loan from the COMH

Total ask from the COMH $22,400,000

According to their website, the Medicine Hat Exhibition and Stampede (MHES) has 120 shareholders.

Source Medicine Hat Exhibition and Stampede Website

Background

2021 was a tumultuous year for the Stampede, Covid was still running rampant forcing a number of cancellations). Jim McArthur retired from his position as general manager (he held that position for 23 years). Kara Brake was named as his successor in February, she was the very first female general manager.

Summer 2021 The rodeo still went on but no midway, no free stage entertainment etc

Nov 12 2021 Ms Brake was removed from her position as General Manager; no reason was given. (Ms Brake now works for the COMH.)

Nov 15 2021 MHES presentation to Council re early lease renewal. The delegation consists of Lease Committee members Ron Edwards, Ross Brigdon and Bob Thomson.

Nov 30 2021 Announcement that Ron Edwards has come out of retirement to take the reins as General Manager; he said in a news interview that he has been told he can have them as long as he wants. Mr Edwards is a long time member of the MHES and has served the organization for decades.

MHES Early Lease Renewal

The presentation was all of 3 minutes long. They said they needed to renew the lease early so they can start fundraising for their planned expansion. They needed to show stability in order to get government grants.

After over a year of negotiations with City Manager Bob Nicolay, they got their lease renewal.

Screenshots below

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Fast Forward to Oct 3 2023 Presentation

When asked how much fundraising they had done in the last 2 years, no numbers were given. No revenue forecasts. no proposed repayment schedule, nothing.

Mr Edwards said

“…we’ve tried, we’ve had our 50/50 draws, silent auctions...”

At 45:15 of the Oct 3 2023 City Council Meeting

Lease terms - 96 acres leased for $1/yr for 25 years, renewable for another 25,effectively a 50 year lease.

Pgs 221-224 of Nov 15 2021 Agenda Packet

Local golf courses are looking to renew their leases with some different terms from before. Pg 3-5 of the October 23 2023 Public Services Committee Meeting Agenda Packet

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I’ve created a chart to compare key parts of the different leases.

MHES Lease Compared to Proposed Golf Course Lease Oct 2023 - created by Kelly Allard

The City has an opportunity to make adjustments to the lease.

If the MHES wants the money the City can demand that they agree to:
allow annual inspections

maintain facilities in first class condition
remit more financial reports and forecasts
contribute to capital improvements every year

(this is not the same as repairs and maintenance)

Much more to come!

#yxh #medicinehat #medicinehatexhibitionandstampede #MHES #comtv #communityTV #kasosumh #thetrashpanda #50yearlease