With a community-based naming rights committee unable to find a new partner for the Events Centre, city council has decided to pursue its original decision and hire a contractor.
During its Dec. 12 regular meeting, council voted 6-1 to award a contract to Performance Sponsorship Group (PSG) to locate and negotiate a naming rights agreement for the Events Centre/Multiplex — previously Mosaic Place — for $29,000 and a 20-per-cent commission.
Coun. Dawn Luhning was opposed.
This money is not in the $985,000 subsidy council approved for the venue during a recent budget meeting. However, city administration says the building will recover this money — and it will be offset — once a new partner starts paying $150,000 yearly over 10 years.
This decision to hire PSG is the same one council made on June 13. However, two weeks later, several residents stepped forward and offered to find a new partner. So, council unanimously agreed on June 27 to postpone the agreement with PSG so the residents could pursue their work.
That naming rights committee included the mayor, a city councillor, city administration, Events Centre staff, residents and business owners.
After unsuccessfully finding a new partner, the committee issued a request for proposals for a professional naming rights company, a council report explained. The group reviewed the cost estimates and backgrounds of three companies, and after discussion and review, recommended hiring PSG.
“There was further interest in November 2022, and an excellent presentation was made on Dec. 5, 2022,” the report added. “Unfortunately, while very interested, the other party just could not move forward.”
The agreement with PSG has five phases:
- Phase 1: initial start-up; no fee
- Phase 2: review existing inventory and suggest a strategy; no fee
- Phase 3: develop sales materials within two weeks; $5,000 fee
- Phase 4: develop a prospective development list and pursue direct sales over 16 weeks/four months; $6,000 per month
- Phase 5: secure funding and agreement with a company; no fee
Council discussion
Many people are concerned that it’s taken the municipality so long to reach this point, said Mayor Clive Tolley. The naming rights committee worked hard to find a partner, and while it was unsuccessful, he thought it was worth the effort.
“And now that we’ve exhausted all our local opportunities, I think it’s the right thing to do to contract this out,” he added.
While hiring a private contractor is not ideal, not having a naming rights partner is even worse, said Coun. Heather Eby. She thanked the committee for providing the time over the summer.
“People are interested in this, but it’s a big thing,” she added. “And it’s difficult to find a naming rights sponsor 10 years later than it was 10 years ago. I’m looking forward to what this group can do and (the Events Centre) having a new name.”
Coun. Crystal Froese agreed that it is a challenging economic climate for businesses, so she hoped that PSG — a professional organization — could “turn over every rock” to find someone.
City administration will send PSG the information package immediately, while the company will start looking in January, said city manager Jim Puffalt. He spoke with the company recently and it said it was optimistic, especially since national entities had already been inquiring about the building.
“They’re going to work diligently and very hard. It is a really good opportunity to get the name out there,” he added. “As you know, it (the Multiplex) is the preeminent facility in Saskatchewan by far. … Even 80 per cent of what we get is better than nothing.”
Coun. Doug Blanc also thanked the committee, noting the members deserve a pat on the back.
The next regular council meeting is Monday, Jan. 9.
