Moncton subsidizing UFC fight at Avenir Centre
Contribution of $150,000 from city, Events Moncton to cover majority of bid fee
Moncton taxpayers will cover most of the bid fee for an Ultimate Fighting Championship match at the city's new arena.
Council voted 7-2 in favour of subsidizing 60 per cent of the $250,000 fee for the Oct. 27 event at the Avenir Centre.
Catherine Dallaire, the city's general manager of recreation, culture and events, said staff hope the mixed martial arts match will result in significant economic spinoffs.
A city staff report states "similar events have generated a minimum of $3 million in economic activity with larger centres seeing nearly $30 million in overall impact."
The report states the fight will be broadcast on The Fight Network, TSN in Canada, Fox Sports in the United States and other cable networks in 150 countries.
Deputy Mayor Greg Turner, who voted in favour of the subsidy, said the broadcast will be a showcase of the city and Avenir Centre.
"Money can't buy that kind of exposure," Turner said.
"We couldn't buy one TV ad probably for what it costs and we're going to get a couple hour TV show broadcast from our Avenir Centre."
The city will pay $100,000 from a reserve account while the Events Moncton committee, funded by the city and provincial governments, will cover an additional $50,000.
SMG Canada, the private venue management firm hired to run the 8,800-seat arena, will cover the remaining $100,000.
Coun. Paul Pellerin and Coun. Paulette Thériault voted against the subsidy, though for different reasons.
Thériault objected to the nature of the event.
'I have issues with this type of sport'
"I cannot support this," Thériault said.
"I know it is a great revenue generator for the city, but as a woman, as a grandmother, I have issues with this type of sport — and I don't even think it should be a sport."
Pellerin questioned why the full bid price wouldn't be covered by SMG and included in ticket prices.
Single seats were selling between $78 and $1,381, including fees, on Ticketmaster's website Monday evening.
The city will make some revenue from ticket sales through a $0.50 fee applied to each ticket. Pellerin estimated that if 9,000 tickets are sold, the city will make $4,500.
He also questioned why the city was involved given that SMG was expected to handle event bookings.
Staff say bid support is common
Shane Porter, Moncton's manager of venues, told reporters it is "very common" for cities to pay bid fees.
Asked if the subsidy will set a precedent, Porter said future event subsidies will be considered on a case-by-case basis.
It's not the first subsidy the city has agreed to for sporting events at the newly-opened centre.
Over the summer, city council voted to subsidize the Moncton Magic by up to $333,000 if the team doesn't make as much revenue as it expected to earn if it had remained at the Moncton Coliseum.
It's unclear if the city is considering any further subsidies for events at the facility.
"None that I can comment on right now, I don't think there are any right now," Porter told reporters when asked whether other payments are being considered.