As a lifelong Winnipeg Blue Bomber fan, the prospect of a new stadium, which began in earnest in 2008, brought with it both hope and excitement. It was meant to not only replace the old stadium which was built in 1953 and last known as Canad Inns Stadiums, but also help put the Winnipeg Blue Bombers on a solid financial footing going into the future.
In spring of 2010, after a great deal of uncertainty and controversy about the location of the stadium and the financing structure, construction began. As originally agreed upon, it was a private-public partnership. The project would be approximately $120 million with as much as $100 million coming from the private sector. The provincial taxpayer was in for about $20 million. Overall, it sounded very much like the commitments that saw the MTS Centre built in a private-public partnership.
But then things started to fall apart. Not long after construction began, the private investors left the project, which left at least a $75 million financial hole. Ultimately, that money was loaned by the province and the Blue Bombers are to make loan payments of several million dollars a year for decades to pay for it. In addition, as a result of some unforeseen costs, another $10 million loan was required to complete the stadium near the end of 2012. Since then there have been additional costs to enclose the press box, fix initial design deficiencies and pay the deductable on flood damage.
All told, the stadium which originally was to cost taxpayers $20 million is now a fully provincial taxpayer backed project of nearly $215 million.
All that is very troubling. What is even more troubling is that it’s not over yet. As a result of cracking cement, water damage and other design problems a lawsuit with the stadium’s construction firm is now underway. And the brand new stadium is going to see significant reconstruction throughout the year that is expected to be in the tens of millions of dollars. In fact both concourses are going to have to be ripped up and rebuilt later this year.
The builders of the stadium say in their legal documents that the province knew about the design deficiencies with the stadium but pressed ahead to complete the stadium before they were fixed. If that is found to be the case, taxpayers could be on the hook for the reconstruction of the stadium.
All along Premier Selinger has said there are no problems. He said the financial deal was strong and that the problems with construction were normal. Obviously neither was correct. Now taxpayers are on the hook for $215 million and there is no certainty when the stadium will actually be finished and what it will cost.
All this has led Manitoba Progressive Conservative’s to ask the province’s Auditor General to conduct a value-for-money audit so that we can learn what went wrong with the project and learn for future projects. Manitobans deserve a first class stadium and a financially stable football club, but they also deserve to know exactly how they got stuck with the whole bill for a stadium that was supposed to be a bargain for taxpayers.