Memorandum: Greater Victoria JUNO Awards Bid

MEMORANDUM

To: Capital Region Municipal Meeting Participants Fr: Ray Parks Date: 26 Mar 2012 Re: Greater Victoria JUNO Awards Bid

On behalf of my colleagues on the Capital Region Music Awards Society, thank you for taking time from your busy schedule to meet with us earlier this month.

We greatly appreciated the opportunity to update you on our plans to bring Canada's Juno Awards to Greater Victoria. We also welcome the positive suggestions and look forward to addressing a number of the issues that were identified together in the year ahead – particularly security planning.

It is our sincere hope that you will support our bid to the Canadian Academy of Recording Arts and Sciences (CARAS). Without pledges from our provincial and municipal governments our bid to bring the JUNOs to Greater Victoria will not succeed.

As we indicated during our presentation, we are very encouraged by our discussions with the provincial government regarding their support. Rest assured we will keep you updated on this progress in the coming days. In the meantime, I would like to take this opportunity to follow-up on three of the things we discussed:

• next steps
• funding
• economic impact

Next Steps

In addition to finalizing our discussions with the provincial government and reaching out to your colleagues who were not able to attend our presentation in Victoria earlier this month, we propose to establish a municipal working group to work through the issues we discussed. In addition to finalizing an interim municipal pledge in advance of April 30, 2012 bid book deadline that responds to provincial support, this working group would:

• capture our collaboration by including representatives of the Society, elected officials and relevant CRD/municipal officials
• review potential funding formulas and innovative funding/legacy options
• confirm availability of regional venues

We expect our Society will wind down our direct planning role in the project following the bid deadline in favour of an organizing committee similar to the inclusive model described in the CARAS bid documents. To this end - and in association with a municipal pledge - we are keen to initiate discussions to establish this management committee as soon as possible.

Municipal Funding Formula

We expect any provincial pledge will be subject to a similar commitment from local municipalities - which have also been lead JUNO sponsors across Canada over past decade.

As we indicated last week, the business plan we submitted to the province includes a municipal contribution of $450,000 and an opportunity to include innovative measures that can support local investments and/or cultural legacy. Based on the discussion at our meeting, we believe there is good will amongst all municipalities to work together over the coming year to achieve a fair consensus on the most appropriate funding formula. Rest assured we will respect whatever consensus you achieve.

In this light, it is important to emphasis that no funds are required until CARAS announces the result of the 2014 bid process (fall 2012/winter 2013). Even then, the CARAS payment schedule includes flexibility over the next two years. However, since our bid package must be submitted to CARAS by the end of April, it is important that we secure an interim municipal pledge of support as soon as possible.

Economic Impact

As indicated, we expect the economic impact of the JUNO Awards in Greater Victoria will be very similar to St. John's Newfoundland in 2010 (and 2002). The cities have a lot in common. For your immediate reference, I have attached a full economic analysis of the St. John's JUNOs. Among other things, the report confirms:

• the 2010 JUNO Awards had a positive effect on the economy of St. John's and the province
• the total economic benefit of the Juno Awards celebration and the potential legacy impact is estimated at $12.8 million and 262 FTEs
• direct expenditures from the event generated over $4 million in GDP (of which $2.6 million is wages and salaries), 118 FTEs and $370,000 to the provincial treasury
• the number of room nights attributable to the 2010 JUNOs was over 6,150
• St. John's 13 major hotels reported room nights sold were up 18% over 2009
• the national audience for the broadcast was 1.6 million viewers - up 31% compared to 2009
• the advertising equivalent value of the media coverage was $2.8 million
• broadcast was #1 program of the day with all adult demographics - more viewers than the Stanley Cup Playoffs, Celebrity Apprentice and the Annual Academy of Country Music Awards
• the TV audience in the 18-34 year old demographic was up 63% compared to last year
• estimate of 10,000 tourist visits to the province due to the 2010 JUNO Awards - these visitors would spend an estimated $8.2 million in Newfoundland
• 75% of businesses said JUNOs had a positive effect - 64% strongly positive - most significant impact on restaurants, coffee shops, bars, hotels, car rentals, musicians and artists
• musical performances associated with the week-long JUNO celebration showcased 260 Newfoundland artists from genres such as classical, rock, gospel, traditional and jazz
• school districts around the province benefited from a JUNO Awards Go to School legacy
• more than 50 Film and Video Production, Recording Arts, Music Industry, Journalism, Graphic Design and Hospitality Tourism Management program students took part in JUNO events

Thank you again for your interest in this once-in-a-lifetime economic and cultural opportunity for our region. We appreciate the cooperation we have received and look forward to working with you.