Costs confusion threatens Hamilton worlds
The Hamilton Spectator reports that the 2003 World Road Championships is in jeopardy because city councillor are unhappy at the prospect of host city Hamilton Ontario having to foot a bill of up to Can$10 million for the event - far more than the Can$400,000 the city was expecting to pay.
While the costs, which include a Can$6 million liability fund to cover possible lawsuits, and up to Can$3.5 million for police, emergency services and road closures, are not definite, city councillor have refused to have the city exposed to the possibility of such a large bill. They have therefore given city manager Bob Robertson two weeks to negotiate with race organizers a contract limiting the city's costs to $400,000.
Without such a contract, Hamilton is likely to pull the plug on the championships. As councillor Murray Ferguson put it, "No money, no go."
These matters are still being discussed eight months out from the event because the city's contract with the World's local organizing committee has not been finalised, in turn because agreements between the international, Canadian and Hamilton organizing committees were only finalized at the end of December, according to Hamilton mayor Bob Wade.
"There have been a series of reports that clearly identify the potential for the city's contribution but those reports were based on the city's costs being picked up by the cycling corporation and that's not part of their present budget as we understand it. That's one of the issues were going to deal with," said Wade.
The final contract should clear up these issues, according to Neil Lumsden, chief operating officer of the Hamilton 2003 world's. "What I'm hearing is there are some specific costs that are running more than what they want to spend," he said. But the final contract will clarify the costs and who is responsible for them. "That's when the lines in the sand will be clear as far as what everyone's responsibilities are."
Most of the 2003 World's Can$12.5 million funding will come from provincial and federal government sources. Ontario has committed to providing Can$2.25 million and Can$1.25 million is expected from the Ontario Trillium Foundation and a further $10 million will come from the federal government's Heritage department.
www.cyclingnews.com
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