Councillor having a little bit of fun with protocol items before the serious issues come up for debate. .
Council discussing items on today's agenda.
Council taking a five minute recess to take off their red shirts.
@BUILD IT There will be discussion before a vote. We'll update on the blog as the meeting unfolds.
Arena debate now underway. For how long remains unclear. .
Iveson wants to know if City can build arena cheaper than 450 mil but keep quality the same..
Councillors asking a round of questions. Don Iveson asking about sponsorship arrangement. City manager says it will be an industry standard package. .
Councillor Henderson asking for assurances that after 35 years everything is recouped. .
Henderson wants assurance from admin that 100 mil from Katz over 35 years will not be reneged on. .
City manager says if the additional 100 million doesn't come through (funding sources from the province continue to be pursued), the city is not bound by any agreement. .
Sloan asking where the remaining $100 million will come from.
Sloan says a location agreement is not collateral for the loan.
Councillor Linda Sloan wondering what happens if the Katz Group does not pay the lease. The city lawyer says then the city could then step in and control the revenue of the facility. .
Sloan asks why Katz doesn't make an equity contribution to the $350 million.
Simon Farbrother says Katz Group would take all profits, but would also be responsible for building maintenance costs.
Leibovici wants to know what the chances are of an arena being built by 2014.
Farbrother says the new arena would not be complete until the 2015/2016 season.
Councillor Leibovici wondering about the timeline. The city manager says if they move ahead, the Oilers won't be able to play in the new building until the start of the 2015/ 2016 season. .
Leibovici says there was a consensus after Tuesday's meeting that a new arena is needed.
Leibovici says total cost of arena won't be known until design is finalized.
Farbrother says between the CRL, ticket tax, parking revenue and funding not given to Rexall Place, $350 million of arena funding could be raised without any cost to the taxpayer.
Farbrother says there is no tax increase in the 2012 budget that would fund a new arena.
Councillor Sohi talking about funding model. He wants to ensure the public understands the city's contribution will not mean an increase in property taxes. .
Councillor Sohi has some reservations about the marketing proposal where the city would pay the Oilers 2 million a year for ten years. .
Diotte says city's contribution to the arena will be more than $125 million after interest is figured in.
Councillor Diotte asking about the city's overall cost. A city administrator says with interest, land, city's contribution to arena, lrt connection the high end amount is in the 305 million dollar range. .
Krushell asks again if property taxes will be raised to pay for the arena, administration says no.
Councillor Krushell confirms with city administration the city would not be responsible for maintenance of new arena if built..
Anderson asks if it is correct that in most cases, the NHL team takes all revenue from the arena. He is told that is correct.
Anderson confirms most NHL teams, if not all, get all profits from their respective arenas..
Councillor Anderson stresses most NHL teams receive all the revenues from the facility they play in. .
Mayor Mandel wants to ensure access to businesses in arena will be available everyday and not just on game days, if a facility is built. .
Mayor Mandel talking about sponsorship arrangements and the merit of marketing with the Oilers. .
Council moving to second round of questions. .
Councillor Sloan wondering if an agreement is struck, which organization would the deal be with? The Katz Group or the Oilers. The city says it will be the Katz Group. .
@BUILD IT City Manager Simon Farbrother is providing most of the answers.