Hamilton councillors not keen on $8M loan for group’s rec centre project
Councillors will wait to hear from the bidders of the 2026 Commonwealth Games next month before deciding whether to support a community group's pitch to build an indoor multi-sport facility.
The Hamilton Collaborative Partnership Group hopes to land financial support from the federal and provincial governments - including an $8-million city loan - to build the estimated $60-million project.
But councillors at Friday's emergency and community services meeting warned massive COVID-19 costs could make that loan a non-starter.
Coun. Tom Jackson praised the non-profit's initiative but said the pandemic has thrown the city a massive curve ball."
Coun. Brad Clark said he couldn't offer blind support" for the group's 200,000 square-foot recreation centre - or the Commonwealth bid.
Finance staff have predicated a municipal budget hole ranging from $61.6 million to $122 million due to COVID-19.
Councillors have backed the partnership group's goal of federal and provincial funding through a letter of support.
The estimated $60-million proposal banks on $24 million in federal funding, $19.9 million from the province and the $8-million municipal loan. It also asks the city to fund half of land costs, cover half of project overruns and to waive land development fees.
Staff's estimate differs, putting the project at upwards of $80 million. No property has been identified.
The project envisions six to eight multi-use courts for volleyball, basketball, pickleball and dodge ball, a 200-metre indoor track, and a field.
There's no desire to double up on the Commonwealth bid's efforts, Kevin Gonci, chair of the Hamilton Collaborative Partnership Group, told The Spectator. If we're going to build a multi-court sport area and they need a multi-sport court area for the Commonwealth Games, then we should look at where our facility could fit in."
About a year ago, the group presented staff with plan that was nearly 1,000 pages long, Gonci said. We expected a lot more back and forth to answer some of those questions."
Hamilton 100 is scheduled to give councillors a Commonwealth update July 6.
City staff have estimated the municipal share of roughly $1 billion in public sector contributions would be between $200 million and $300 million.
Teviah Moro is a Hamilton-based city hall reporter at The Spectator. Reach him via email: tmoro@thespec.com