HomeMy WebLinkAboutCD-22-97,~
- ~ TAE CORPORATION OF THE MUNICIPALITY OF CLARINGTON
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REPORT
Meeting: GENERAL PURPOSE AND ADMINISTRATION COMMITTEE File# 1,~~~li~~'-
Res #( -rrf ~J~ %~'- ~'
Date: MAy 5, 1997
By-Law #
Report#: CD-22-97File#:
Subject: MOSPORT PARK 1997 PROGRAM
Recommendations:
It is respectfully recommended that the General Purpose and
Administration Committee recommend to Council the following:
1. THAT Report CD-22-97 be received;
2. THAT staff be authorized to issue a licence to Mosport Park
to conduct events only at the oval track during the months
of May and June;
3. THAT Mosport Park be advised that beginning in July:
• they will be required to meet all requirements of the
amended Noise and Special Events By-laws; and
• rather than licences being issued 30 days ahead of an
event, a licence will be issued only after the previous
event has been staged to the satisfaction of the
municipality; and
4. THAT a copy of Report CD-22-97 be forwarded to Mosport Park.
BACKGROUND AND COMMENT:
At the Council meeting of June 24, 1996, Council received Report
CD-36-96 which advised that Mosport Park would commit to reducing
the noise level from the oval track by an average of 50 percent
starting in 1997. This was to be accomplished by demanding
mufflers being installed on all racing vehicles and the erection
of noise barriers.
Since this time, numerous discussions regarding this issue have
taken place with the officers of Mosport Park. In correspondence
dated April 22, 1997, addressed to Mr. Stockwell, Robert Salna,
the new Chairman and CEO of Mosport has indicated that the
promises made by Bernard Kamin in this respect are unrealistic
(see Attachment No. 1).
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1_
Report CD-22-97 - 2 - May 5, 1997
In response to this correspondence, Mr. Stockwell advised that
amendments to the municipality's Noise and Special Events By-laws
will be presented to Council in the near future. The amendments
which are being proposed would not pose any burden to Mosport
should they carry out their noise abatement program, however,
without it, the by-laws may be difficult for them to comply with.
(See Attachment No. 2). We are anticipating that the amendments
to the by-laws will be presented to the General Purpose and
Administration Committee on May 20, 1997.
During a meeting with the proponents of Mosport Park and again in
his correspondence dated April 24, 1997, Mr. Stockwell advised
that for the 1997 racing season, permits will only be issued on
an "as applied for" basis rather than at the beginning of the
racing season as was done previously.
Presently, the Special Events By-law requires that an application
must be submitted to the Clerk 45 days and a licence must be
issued 30 days of a scheduled event. As the amendments to the
by-laws are anticipated for late May, it is our recommendation
that Mosport be granted a licence to conduct events only at the
oval track during the months of May and June. Beginning in July,
they would be required to meet all requirements of the amended
by-laws.
Also, rather that the licences being issued 30 days ahead of an
event, it is our recommendation that a licence be issued only
after the previous event has been staged to the satisfaction of
the municipality. In the case of the oval track where racing is
conducted every Saturday, this will mean a licence will be issued
a maximum of six days prior to the next event. In this way,
staff will have an opportunity to review each event and its
effect on the municipality.
llvlsubmitted
Reviewed by
atti ar ie, A.M.C.T. W.H. Stockwell
Cle / Chief Administrative Officer
PLB
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ATTACIIAfENT N0. 1
CANADA'S HOME OF MOTOR RACENG
April 22, 1997.
Municipality of Clarington
40 Temperance Street,
Bowmanville, Ontario L1C 3A6
Attention: Mr. William H. Stockwell
Chief Administrative Officer
RE: BERNARD 11{AM1N'S PROivII5ES ON BEHALF OF MOSPORT
PARK ENTERTAINMENT CORPORATION (MPEC) & THE
ANNICIPALITY OF CLARINGTON IN REGARDS TO METHODS
OF REDtL1CBVG SOTIND LEVELS AT MOSPORT'S OVAL RACE TRACK
As the new Chairman and CEO of MPEC C would like to advise the Municipality of Clarington that MPEC
now faces some very difficult times of which I have summarized in a letter to our shareholders attached
hereto. Please read it to get a feel for how and why MPEC now requests your leniency and understanding.
Although this fetter exudes some confidence in the future, it is somewhat optimistic and 1viPEC may yet
face the harsh realties of life.
It is my opinion that promises made by Mr. Bernard Kamin were in my opinion not realistic. By asking
OVAL 17rivers to spend $600-$1,000 to put mufflers on their vehicles does not work realistically because
it is not a universal policy yet in Canada and the liSA .That means when our drivers leave to race
elsewhere, they remove their muffler to remain competitive as a substantial amount of horsepower is lost
and each every time a muffler is removed, an expensive tune up is required to retune tha engine. In
addition any drivers wanting to race at our track from out of town would not he too interested to make all
of these expensive modifications, just to race at our track for one or two weekends, preventing us from
havin; a full complement of races thereby reducing revenue and entertainment qualit}' for the spectators.
Which again could end up showing up as reduceu revenue.
In essence, what I would like to say is that although I would like to see mufflers on all the vehicles, it is an
impractical situation and at this time. Please al!o«~ us the time to analyze the situation surrounding the use
of mufflers in the industry before a final decision is made. As the racing season is quickly upon us, we
hope it is possible not to enforce thi; reyuirement, at least for this year for the following reasons:
1) Doing this would effect Mosport's determined bid to raise revenue to pay its creditors money
owed. Some of these creditors are focal businesses. Without operating the Oval this will become a much
harder job.
Coat.../
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825 DENISON STREET, UNIT 16 • MARKHAM, ONTARIO • L3R 5E4
PHONE: (905) 513-0550 1.800-561-0124 FAX: (905) 513.0566 WEESITE: WNIV`J,MOS?ORT.COM
2
2) Many local people use the oval as a form of entertainment. The fact that drivers come from all
areas of the province, this also brings many outsiders into our community. By closing the oval we would
be upsetting many drivers who have spent their life savings to build race cars to race at Mosport.
3) We employ 50-70 local people on a Saturda}'night of racing. Many of these people art local kids
living in rural areas where part time jobs are hard to find. Operating this track we are required to buy
man}' things locall}'. Some of the things which come to mind are Permit Fees for the Town of Claringtoo,
ambulance service, tow truck service, lumberyards, trades people, food supplies for the oval are all
purchased locally
4) We aze in the position to ten[ the oval for 8 Friday nights and 5 Sunday afternoons, as welt as our
norma120 Saturday nights for a total of 33 daylnight of operations. For 1997 we would be willing to
restrict ourselves to 20 nights of racing. Keeping in mind that Peterborough Speedway operates a schedule
as follows - 25 Wednesday night practices, 25 Friday race nights, 25 Saturday night races, plus ~ Sunday
race days.
5) Mosport would be willing to operate in 1997 for only 100 hours of actual track usage. 1Vhen you
consider that there is 8,760 hours in a year, this does not seem like much to ask.
6) Mosport has been in discussion with a new speedway located at Kawartha Race Track to have the
same rules for both tracks and try to start implementing mufflers for environmental safety. By working
together we would have a much greater influence in this regard. But, V1._Q promises are coming from me.
7) As in the past, we have worked with local charities at the oval, lVe would like to increase this
involvement to include discounted tickets which they can sell and an idea fora 50/50 draw which some
charities could become involved with, would be very welcomed.
You have to realize that Mr. Kamia is the type of person who promises, some times more than he can give,
Mosport believes that mufflers on stock cars at this time is not practical and we ask to be lot off the hook
on this promise for the time being.
Another promise made by Bernie was the construction of a berm and a sound barrier on top of this been at
the north end of the track. This in itself is not an impossibility at this point in time, but for Mosport it is
extremely difficult. Mosport currently faces 55,600,000 in liabilities and puts the Company in a very
precarious position.
Mosport has served the community well for 30 years, always being a good corporate citizen by hiring
locally and buying local goods whenever possible. In addition, enclosed is a study indicating the large
sums of money that are spent locally as well by the visiting guests of the site. Yes Mosport is in fact a very
real and large contributor to the local economy and has been so for over 30 years. We would like to
continue for another 30 years, but we require your help, please at this time. W'e cannot make the 5150,000
capital expenditure to achieve the been and the sound attenuation wall. If we survive this season, then yes
let us talk next year about Borne expenditures towards sound reduction, but at this time we would have no
alternative, but to shut down the oval at this time rather titan make such large capital improvements to the
site.
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Please work with us this year and if we survive, lets re-negotiate next year. if we were not allowed to
operate under curre~it conditions, we would have no alternative, but to close tl~e Ovat.
Sincerely,
TIIE MOSPORT PARK ENTERTAINMENT CORPORATION
"'%~~
ROBERT P. SAI.NA
CHAIRMAN & CEO
RPS/lmcm-m unit lar.doc
Encls.
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a+
°a
Lease agreement
could put Mosport
back on right tracl~
By Rrcx MATSUMOTO
SPORTS REPORTER
It looks es if there might
be automobile and motor-~
cycle racing at Mosport
!'ark this summer after all.
But it could come at the
expense of creditors, who
are owed more than $3
million, and the jobs of
track employees.
According to sources,
the operators of the finan-
cially troubled tracknorth
of Bowmanville have
reached .agreement on a
long-term lease with..the
International Motorsports
Speedway Group:-
Mosport CEO Robert
' Solna insisted the deal has
not been completed but
admitted "it's looks like it's
'going [o_happen."
The sources; however,
told The Star that the deal
was completed Thursday
night. It would result in
Ib7SG, which holds a $1.58
million mortgage, leasing
Mosport for as long as 40
years rather than purchas-
ing it, as was the original
intention.
'Ib.~o Mosport directors,
Barrie Morton and John
Eversley, resigned on
Thursday and were re~
placed immediately by Ted
Murphy, the new presi-
dent, and Philip Flug, who
becomes the secretary-
treasurer.
Neither Morton nor Ev-
ersley would confirm that
he quit because of the deal
shuck with IMSG. Both
said they resigned for
"personal reasons."
[MSG made a bid to pur-
chase the facility as eazly
as January, but the deal
stalled over legal prob-
lems.
The new lease deal,
however, could pose a
problem for creditors, who
supplied services to Mos-
port such as printing pro-
grams; providing radio
and television advertising,
etc., but have not been
paid.
Also, the future of em-
ployees, some of whom
have not been paid in full
since last summer, could
be in jeopardy.
Solna would say only
that his intention is "[o do
what has to be dose to
save the company."
7
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ATTACHMENT NO. 2
MU NICIPnLITV OF
Iar'ington
CN7AR10
dP~ zs ~z z9 ~~ ~s~
April 24 1997
Mr. Robert P. Salna
Chairman & CEO
Mosport Park Entertainment Corporation
825 Denison Street, Unit 16
Markham, Ontario L3R SE4
Re: Mosport Park 1997 Program
Gentlemen:
Thank you for your letter of April 22, 1997. Needless to say, we
are disappointed that the promises made by Mr. Kamin on behalf of
Mosport, will not be carried out.
You will recall that during our meeting of February 25, 1997, we
explained that we were presently holding amendments to the Noise
By-Law and amendments to our Special Events By-Law that would
further control the sound emission from Mosport Park, awaiting u
timetable from you regarding the noise abatement program that was
promised leading up to the Edenfest Concerts.
The by-laws in question set out the decibel levels for different
times of the day and night.
In drafting same, we did not feel that the changes would be a
burden to you given the promises made. However, without the
necessary noise abatement program being carried out by yourself,
the by-laws may prove difficult for you to comply with.
It is our intention to present the amendments to Council for their
consideration in the next few weeks so that it will be in place for
the 1997 season. It should be noted that we still have an open
door to work with you in order that the new noise levels can be
adhered to during the course of your racing and concert season.
To this end, we will supply you with a copy of the amendments prior
to presenting them to Council and would encourage you to work with
" us in ensuring that all future activities at Mosport will be in
accordance with the Municipality's by-laws including the
amendments.
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As previously stated, Council has made it clear that it will not be
issuing any future permits if all the necessary documentation is
not received as outlined within the Special Events By-Law 91-56.
You have also been advised that in the 1997 racing season, permits
will only be issued on an "as applied for" basis.
Yours truly,
i~~-~_%~
W. H. Stockwell,
Chief Administrative Officer
cc: Mayor Diane Hamre
Patti Barrie, Clerk ~
Dennis Hefferon, Solicitor
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