Canadian Western Agribition Transit Service

g Number

CONCLUSION

Providing transportation for the 2018 CWA will provide attendees with an alternate mode of transportation to the event and help alleviate parking congestion. The Transit Department has provided charter services for CWA in the past and it has run well with a large amount of customers taking advantage of the service. Using the 2018 Transit Fare Bylaw rate, the proposed transit service for CWA is $69,700. The actual cost of providing the transit service is $45,700, therefore, the proposal is to fund $24,000 in-kind transit service.

BACKGROUND

The 2018 CWA occurs from November 19 to November 24. Administration met with CWA representatives in September 2018 to discuss the service for the fall event.

The CWA is the largest livestock show in Canada. It is a blend of agriculture, Indigenous culture, and entertainment. It is an international hub of agriculture excellence hosting over 1,200 international guests from over 75 countries. In 2017, over 126,500 people attended the six day event. There were 1,250 international visitors from over 86 different countries, and over 53,000 guests from outside Saskatchewan. The Gross Domestic Product (GDP) impact to Regina was $44 million. The event contributed $4.46 million to regional GDP, $1.1 million in trade show, and $1.1 million in livestock sales.

Due to a limited amount of parking on site, Transit has provided charter service to Agribition since 2014. The service operated as a park and ride system shuttling customers to and from the event. Initially in 2014, if a customer took the bus service to Agribition, they also received free entrance to Agribition. In 2015, a fee was charged at the bus to take the service but entrance into the CWA was still free. There was a large spike in attendance in 2015 and service could not keep up to demand. A fee was again charged for transit buses in 2016 and service was increased dramatically to keep up with demand. The fee paid by customers was collected and deposited into the transit farebox by the customers on the bus. This money was kept by Transit and the total amount collected from the fareboxes was subtracted off the final bill sent to CWA. The fee paid on the buses did not work well operationally as many customers brought paper bills which could not be processed by the fareboxes and led to awkward situations of operators having to take paper money. In 2016, the total bill for service was $66,150, however, the fare intake was $43,939, thus, the bill owing by CWA was $22,210.

In 2017, CWA charged attendees at the door regardless if they took the shuttle or not. This charge did not deter people from taking the service as over 18,000 customers used the shuttle. The bill for Agribition in 2017 was $69,700, however, Transit only charged CWA $45,700 as this was the cost for the actual cost of the service. This 2017 funding adjustment was approved by Council (CR17-92) on September 25, 2017.

The hours of service have increased each year to keep pace with demand. The table below is a summary of the charter services each year.

Table 1 – CWA Charter Service by Year

DISCUSSION

In 2018, the CWA is planning to have a similar shuttle service as in 2017. Transit estimates there will be 429 hours of service over the six days the event is held with a value of $69,700. The $69,700 value of services is calculated using the 2018 charter rates as set out in the Transit Fare Bylaw. The actual cost for Transit to perform the above service is $45,700. This cost must be covered at a minimum to ensure there is no financial loss to the City.

It should be noted that up to and including 2016, CWA received funding from the City of Regina grant program in order to assist them to run the event. In 2009 to 2013, CWA received $45,000 for their event. In 2014 to 2016, CWA received and increased amount of $60,000 to help with parking with the establishment of a transit shuttle service. In 2017, CWA did not receive any funding through the grant program but did receive in-kind transit service.

Administration is recommending that the City charge CWA $45,700, the actual cost of the service. The cost for the service using the 2018 charter rate is $69,700. The difference between the two rates is $24,000.

The CWA has a large impact on both the local economy and community in Regina. It is regarded as the best and most sought after marketplace in the world. In 2017, The GDP impact to Regina was $44 million. The event contributed $4.46 million to regional GDP, $1.1 million in trade show, and $1.1 million in livestock sales. Beyond the financial impact of the show, CWA has a great impact in the community with over 8,400 school kid’s register in the CWA education program. Providing a reduced rate for transit charter service for CWA will ensure an effective operation for parking for the event in the community.

The Transit Department has recently received approval from Council to update the Transit Fare Bylaw for 2019. This request for a funding break from CWA will not happen in 2019 as the charter rate will be established at $120/hour for events like this that exceed 300 hours of service as laid out in the updated Fare Bylaw for 2019.

RECOMMENDATION IMPLICATIONS

Financial Implications

The $45,700 represents the actual cost of service and would be considered revenue. The City will forgo $24,000 in revenue. This is revenue that would normally be made on a charter of this size using the 2018 Fare Bylaw rates. This is the same charge for the service that occurred in 2017 for CWA.

Environmental Implications

None with respect to this report.

Policy and/or Strategic Implications

Charging full cost recovery for this service will follow financial principal 1.2 specifically:

Consider, except where prohibited by The Cities Act or other regulations, and where appropriate, establishing user fees and other similar charges in excess of full cost recovery for the program or service to which the fees apply.

Other Implications

None with respect to this report.

Accessibility Implications

Transit buses are all fully accessible and will be able to meet the needs of customers attending the CWA.

COMMUNICATIONS

No communications are required at this point. If approved, Administration will work with CWA on communicating the bus service to residents and visitors.

DELEGATED AUTHORITY

The recommendations contained in this report require City Council approval.

Report prepared by:

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