Hourly arena rental rates in Lloydminster will go up by three per cent effective Sept. 1.
The rate hike for year round group use of the city’s five arenas was approved by council Monday.
“The three per cent represents the operational increase – the increase it’s going to take to operate it at the same rate for this coming year,” said Coun. Larry Sauer.
Sauer said he thinks the hike is appropriate given the dollar value.
“If you take a look at a minor hockey team for example, made up of anywhere from 12 to 18 players, it’s about a $5 increase for that whole group,” he said. “So we believe that’s fair at this point.”
Prime time adult ice rentals will rise from $199 this season to $205 in September with similar small increases for all seasonal youth, school and adult rental groups.
The hikes come while the city contracted a consultant Monday to conduct an operational and cost recovery review of the Servus Sports Centre and the Leisure Centre to be completed in September.
Sauer said despite the review that will also look at fees, the arena rates needed to be changed now so teams can prepare.
“These groups have to make their budgets for next year,” he explained
Coun. Ken Baker reluctantly gave his nod of approval to the rate hikes knowing the cost of labour and power continues to rise.
“The increases are fairly minimum,” he said. “I wish they could go down like everybody else, but that’s the reality of life.”
Baker said it’s not much of increase, but it does offset some of the operating costs with the organizations.
He said if the city is recovering 50 per cent or 60 per cent of the cost to operate the arenas, he thinks that would be fairly normal in the industry and across cities in Western Canada.
The upcoming rate hikes won’t affect the Lloydminster Bobcat’s junior A hockey team however, as they have a five year contract with the city to 2019.