Item - 2018.EP11.17

The Board of Governors of Exhibition Place:

1. Subject to approval of City Council:

a.  Approved a five-year rental agreement with Royal Agricultural Winter Fair for the 2018-2022 Royal Fair under the terms and conditions of the standard licence agreement for the Enercare Centre and specific terms outlined in Appendix A to the report (May 16, 2018) from the Chief Executive Officer, Exhibition Place and such other terms and conditions as satisfactory to the Chief Executive Officer, Exhibition Place and the City Solicitor. 

b.  Approved an initial five-year lease agreement term with Royal Agricultural Winter Fair, commencing from January 1, 2018 and ending on December 31, 2022, with an option right to the Royal Fair of a renewal/extension of five (5) years for use of office space in the Coliseum Building provided that the Royal Fair has entered into a licence agreement with the Board to continue operating the Fair during the extended term on the terms and conditions outlined in Appendix D to the report (May 16, 2018) from the Chief Executive Officer, Exhibition Place, and such other terms and conditions as may be satisfactory to the relevant City of Toronto authorities as required and by the Chief Executive Officer, Exhibition Place and in a form acceptable to the City Solicitor.

2.  Requested City Council to direct that the City's support for the Royal Agricultural Winter Fair, currently $969,110.00, be paid to Exhibition Place, starting in 2019 and for future years, for specific application as a subsidy to the Board of Governors of Exhibition Place towards the market rent costs for the licenced space used for the annual Fair.  

As reported in 2017, commencing in 2016, the Board Chair and the Chair of the Royal Agricultural Winter Fair ("RAWF") Board of Directors had several meetings with Exhibition Place staff and the General Manager, Toronto Economic Development and Culture Division to discuss and to negotiate the development of a long-term plan for the Royal Agricultural Fair on the Exhibition Place grounds.

The RAWF is a 96-year old cultural event in Toronto and the objective of the multi-year agreement for both event and office space at Exhibition Place is to provide the RAWF with a known and sustainable occupancy cost for the next 5 years from 2018 to 2022, based on the RAWF's operating results, while reducing the existing level of subsidization now provided by Exhibition Place and the City through a grant from Toronto Economic Development and Culture Division.  This negotiated agreement achieves both these directions.