- For the first year of the agreement, Bathurst will provide a $75,000 grant from the city’s accommodation charge.
After local officials signed a first agreement that lays the way for a potential five-year, $275,000 investment, the Acadie-Bathurst Titan will remain in the Chaleur region.
Following relocation rumours, ownership changes, and low attendance in recent years, the Quebec Major Junior Hockey League franchise was decided. Last summer, the franchise’s owners indicated that they were encountering financial difficulties and needed to explore selling the business.
Bathurst will provide a $75,000 grant from the city’s accommodation levy for the first year of the arrangement. At a news conference held at the K.C. Irving Regional Centre, the team’s home location, league, and local authorities announced the idea on Tuesday.
The urgency of the financial situation, according to Mayor Kim Chamberlain, motivated swift action to try to keep the team.
“This lays the groundwork for future actions to protect the Titan’s long-term survival,” she said.
The one-year agreement is intended to establish a long-term arrangement with other towns in the region. The five-year strategy is now being discussed.
‘It puts Bathurst on the map,’
The current owner is committed to keeping the franchise, according to board chair Serge Thériault, and the contract creates the framework for that.
He explained, “It’s an area that generates positive economic spinoff in the northern region.” “The rink serves as a gathering place for family and friends to celebrate their community. As well, it establishes Bathurst as a destination.”
The proposed five-year deal would include a $100,000 operational grant from the city’s general operating fund, $50,000 from the 2021 budget, and $50,000 from the 2022 budget. The package would also include the initial accommodation levy grant.
The city of northern New Brunswick’s general operating budget for 2022 is $27 million.
According to the planned long-term agreement, Bathurst will receive a percentage of game proceeds if more than 2,100 people attend. More than 66% of tickets at the K.C. Irving Regional Centre would have to be sold to reach that goal.
According to the league, the squad has an average attendance of 1,573 people for home games this season.
The city also aims to buy a corporate box for tourism promotions, engage with the team to create new revenue streams through advertising and provide more physical space.
In New Brunswick, host cities have routinely used arena contracts to reduce costs, ranging from lowering rent to paying for employees.
Source: CBC News
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