Art gallery and indoor turf projects receive new funding
The Community Economic Development Commission has approved $500,000 in funding for the Thunder Bay Art Gallery, and the same amount for the planned multi-use indoor turf facility.
In each case, the money will be released over two years from the commission’s Tourism Development Fund, which is supported by the City of Thunder Bay’s Municipal Accommodation Tax.
That’s a 5 per cent levy (increased from four per cent as of Jan. 1, 2025) on the price of a rental in a hotel, motel, or any other short-term accommodations.
Both funding decisions were made by the CEDC board of directors last November, but no public announcements were made.
Paul Pepe, manager of tourism for the city, told Newswatch funding approval announcements generally aren’t made until contracts are signed and conditions are finalized.
He added, though, that approvals for the art gallery and indoor turf facility are noted in the minutes of the CEDC board meeting, and that both projects are listed as receiving funding last year on the CEDC website.
In the case of the art gallery, the $500,000 contribution is conditional on the TBAG contributing at least 10 per cent equity to the project, whose cost was pegged at around $57 million in 2023.
The bulk of the funding is already in place through a combination of federal, provincial and municipal contributions, but the art gallery is also seeking to raise $5 million in the community.
Newswatch requested an update from the TBAG on the fundraising campaign and on the final projected construction cost, but did not receive a response.
Executive director Matthew Hills issued a brief statement Monday, saying “The gallery is extremely grateful to CEDC for this important gift to the gallery campaign. It will have a significant impact on the work we are doing to further the building of the new gallery, which will be transformative for our city and region.”
Pepe said the CEDC used various methods to evaluate the potential of the art gallery and the indoor turf facility to increase tourism in the city.
“We use tourism regional economic impact models that help identify anticipated visitation to the gallery and the economic impact of that visitation. Its proximity to the cruise ship terminal, for example, the diversity of its programming, and also as a meeting place and unique venue that could host social and business events.. All those combine to demonstrate it would have a cultural tourism value to the community.”
With regard to the covered turf complex, Pepe said the CEDC took into account its potential for hosting regional and provincial events.
“Sport tourism is a big part of what we do. We worked with all the user groups to identify the opportunities this venue will be able to support once built. From there, we were able to develop a sport tourism economic impact model, and run analyses on all these possible events…It’s certainly qualified for funding support based on that.” – tbnewswatch.com
article website here
Note: the City of Thunder Bay gets $20 million annually from Tbaytel. Free money. Why is that money not specifically targeted for these type of facilities? You know, taxes go for the ‘must-haves’, TbayTel dividends go towards the ‘nice to have’. Save it up for a couple of years and you have a nice pile of cash.
…The bulk of the funding is already in place through a combination of federal, provincial and municipal contributions, but the art gallery is also seeking to raise $5 million in the community.,,,
I wonder how that fund raising effort is going? Not heard a peep about it. Nothing. No 50/50 draws. No Persian sales. No car washes. Nothing.
But why should they do anything to raise any amount of money. The art gallery backers are well connected people who know full well that the taxpayers will pony up any fund-raising shortfall As far as I know, there isn’t even a final cost of the mistake-on-the-lake. project. The project that has little to no support from the general public.
At least the indoor turf facility will be used by a large group of people ranging from child to adult. Yes, the private sector should have been allowed to build the thing. Run the thing. Maintain the thing.
All levels of governments need to stop throwing money around like drunken sailors. They are running huge annual deficits and are well over a trillion in debt. The City of Thunder Bay needs to learn how to stand on its own two feet. Depend less on the kindness of strangers (Federal and Provincial Governments) and more on making due with the money they suck out of municipal taxpayers. That way, the high salaried residents of City Hall are responsible for full funding projects such as the mistake-on-the-lake and the turf facility. Get out of the way and let the private sector spend its money. THAT is how free enterprise works.
For projects costing taxpayers (all levels of government) more that say $20 million (the money the City gets from TbayTel) need to go through a plebiscite process.