Council Signs Deal To Keep Sea Dogs In Saint John

Saint John council has approved a contentious agreement to keep the Sea Dogs hockey team in the city.

During Monday night’s regular meeting, council agreed to give the hockey club up to $112,500 over five years.

The money is contingent on the five-year license extension the team recently signed with the Harbour Station Commission and the securing of a naming rights partner.

According to the agreement, the hockey club would not agree to the extension without a more “favourable financial arrangement” — one the commission was unable to offer.

Coun. Ray Strowbridge said council was asked to help after the two sides were unable to come up with a solution.

“Basically what it was told to us, and what I heard, is if we can’t reach an agreement, the Saint John Sea Dogs are leaving town,” said Strowbridge. “They even gave us the name of another city where they were going.”

Grant Subject To Reduction

The deal includes $17,500 in “sustainability” funding each year and a one-time capital expenditure grant of up to $25,000. The grant is subject to reduction if new revenues are identified through an operational review.

Coun. John MacKenzie said thousands of people come to watch Sea Dogs games and the return on investment is critical.

“The other side of this coin is if we don’t have a major tenant in that building, the deficit goes way up, and the taxpayers of this city are going to pay that deficit,” MacKenzie said.

Three councillors voted against the agreement — Greg Norton, Gary Sullivan and Sean Casey. Norton said he cannot support giving money to a for-profit business when the city is heading towards a financial cliff.

“Our role is to set policies and grow conditions for private business to succeed,” he said. “It’s not to directly fund them.”

Mayor Don Darling said he believes the risk of not doing this deal “far outweighed the benefit of holding the line.” The Quebec Major Junior Hockey League has suggested the economic impact to cities which host a team to be in excess of $1.5 million.

“The ROI on this is about six months,” said Darling.

The money will come from the city’s growth reserve fund.