LeBreton and Senators future marches closer, but still uncertain

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Good morning,

If there’s one thing I love, it’s sending a perfectly written newsletter. The second thing I love? Knowing readers love the Lookout so much, they’re willing to let me know (mostly politely!) when I make a mistake. 

On Wednesday, I said the Redblacks had won their game, when in fact, they had lost. Sports is usually the last thing I write, and clearly, I misread it. 

But I’m being serious when I say we here at the Lookout love this type of feedback. It helps us improve our writing, identify things we can improve and write more stories readers want. So please, keep sending any feedback, story ideas, and yes, even grammatical errors.

In some lighter news, we’re giving away two free tickets to Harvest: A Feast for All on Sept. 18, with an all-star lineup of local chefs cooking some incredible small plates at the Ottawa Gallery. You can enter by getting friends to sign-up for the newsletter using your own personal referral link here: https://www.ottawalookout.com/subscribe?ref=PLACEHOLDER

Get your friends to sign-up before Wednesday when we select the winner.

Let’s dive into today’s newsletter.

— Geoff Sharpe, Lookout managing editor

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WEATHER REPORT

Friday: 25 🌡️ 14 | 🌧️ (Rainfall warning)

Saturday: 16 🌡️ 7 | 🌧

Sunday: 14 🌡️ 9 | ☁️

Monday: 21 🌡️ 10 | ⛅

SPORTS

LeBreton and Senators future marches closer, but still uncertain

The clock is ticking towards an agreement to build a new hockey arena at LeBreton Flats, and it appears that both sides may be moving closer to an agreement.

What happened: The Senators CEO and president Cyril Leeder indicated this week there had been progress in discussions with NCC about leasing the land to build a new arena. They are on a tight timeline though, with an agreement deadline date of Sept. 20 drawing closer, according to the Ottawa Citizen, with more talks planned.

• While there’s been much coverage of other potential locations, the Senators indicated to the Citizen they are not looking at any other locations at the moment. Regardless, the Canadian Tire Centre is not long for this world, given it’s one of the oldest arenas in the league. 

Yes, but: There are still hurdles to getting a deal done. In the press, the Senators have expressed support for how close the area is to town, and its access to transit. But they are also worried about the lack of potential parking, and the reliance on the LRT system, according to the Citizen. They also want an arena district with bars and other businesses in the vicinity. 

• Environmental concerns are also a big problem, as any construction would come with additional costs.

Yes, but, but: According to a story from the Citizen last night, both sides are making “tangible progress.”

Future problems: A new arena is estimated to cost around $1.2 billion and would require support from multiple levels of government. Would they actually be willing to fund the venture, given the financial situation almost all of them are facing?

• Alternative location: Mayor Mark Sutcliffe has been vocal about supporting a different venue for the team, specifically closer to the downtown core, saying in October of last year there are “lots of options,” according to CBC. 

What it means: Deadlines have a way of motivating people to get a deal done. The NCC seems to be quite motivated to do to the deal, it’s just a matter of details for the Senators.

In other news

The Canadian Tire Centre is working to improve the experience for fans this year, with a direct link from Lot 1 parking to Highway 417, and adding new food options with food like Korean chicken bowls and shawarma nachos, according to CTV. Single-game tickets are now on sale.

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OTTAWA BY THE NUMBERS

🔐 $660,000: The cost to install new security bollards at the Ottawa City Hall entrance, after the current ones were deemed to be too far apart. [CTV]

📉 4.25%: The new interest rate after the Bank of Canada announced a cut of 25 basis points, which is good news for homeowners. [CBC]

🧑‍💻 10: The ranking of Ottawa for cities with access to tech talent in all of North America. [OBJ]

🛑 $13.6 million: The amount OC Transpo is saving in the first six months of the year, mostly by delaying the launch of the Trillium Line. Of course, that pales in comparison to the budget deficit (more on that later). [CTV]

CITY HALL

A dire financial situation, and a blame game

Rough headline, I know. But that’s the situation facing Ottawa after the latest update from the city staff to city council yesterday. We’ll break down it all, and what it means for residents. 

Transit troubles

What happened: OC Transpo’s funding situation is pretty bleak, at least according to the latest numbers from the city. The city expects annual revenue shortfalls of $120 million by 2025 and $150 million by 2028. As we’ve covered previously, this is primarily to do with lower ridership projections, with a ridership of 64 million in 2023 compared to a required amount of 112 million for the LRT to work economically, according to the Ottawa Citizen. Work-from-home has been a major reason why fewer people are using transit. 

One key difference: The city noted that whereas rail projects in the Greater Toronto area are paid for mostly by the federal government and province, while maintenance is paid by the province as well, the city pays for all the O-Train costs. 

Long-term: You thought a $150 million deficit was bad? OC Transpo expects the budget deficit to be around $8.9 billion by 2048 if nothing is done. 

• What’s next: According to transit general manager Renée Amilcar, “everything is on the table” in terms of transit route cuts and frequency of service, according to CBC.

Compounding the challenges were the below-inflation increases in property taxes of 2.5% in the last two years, which was lower than what OC Transpo was expecting. 

Blame game

Who’s to blame: Mayor Mark Sutcliffe and the city are using all the potential levers possible to frame the issue of Ottawa’s funding problem as one primarily driven by the lack of financial support from other levels of government. 

• Council unanimously endorsed Mayor Sutcliffe’s “Fairness for Ottawa” campaign, and if council is unanimously endorsing something, you know it’s popular. 

Part of the city’s complaint about inadequate levels of government funding stems from declining payments in lieu of taxes (PILT).

PILT fuss: These properties are exempt from property taxes that would go to the city, such as the federal government, province and National Capital Commission, so payment is remitted instead. Over 10 years, the PILT budget has decreased by 4.6%, while property taxes have increased by 30%, with a shortfall the city estimates is at $99.2 million over five years. 

• This rises to between $252 million and $445 million over 10 years.

Looking ahead: Besides the budget picture, the selling off of federal government buildings is expected to radically alter the shape of downtown, with Sutcliffe calling it the “biggest change to our downtown in a century or longer,” according to the Citizen.

What it all means: Ottawa isn’t the only city facing budget challenges. So how did other places address it? Vancouver increased their property taxes by 10.7% in 2023 and 7.5% in 2024, along with other fees. Toronto increased there’s by 9.5% this year, whereas Ottawa’s property tax increase was 2.5%. A report by Zoocasa in June showed that Ottawa ranked 13th out of 24 Canadian cities for its property tax rate, and the second lowest in Ontario, according to CTV. 

• Understanding these numbers, Ottawa appears to be an aberration, in that most places are raising property taxes to deal with higher costs. In that context, local MP Jenna Sudds’ much-covered comment calling on the city to get its financial situation in order instead of asking for money, makes a little more sense. Whether it’s fair or not is up to readers to decide. 

THE AGENDA

🚍 We’ve covered the ongoing LRT issues a lot, so we’ll refrain from diving too deeply into them right now, and will save it for a later edition. But OC Transpo has five different scenarios that it could potentially use to address the million funding deficit it faces this year. [CTV]

🛑 It would appear photo radar is doing its job very, very well. A record number of tickets have already been issued this year, with more photo radar and red light cameras being installed. Staff say there will be more than one million tickets issued this year. Just another reason to slow down out there! [CTV]

🏢 Real estate brokers are warning that it will be a long time before the downtown core returns to pre-COVID levels of activity, though rents have remained relatively steady. [OBJ]

👮 Two people were arrested in Ottawa after a 10-month investigation into human trafficking, and have been charged with 17 human trafficking and 19 related charges. [CityNews]

🧑‍💼 The federal government’s new remote-work rules are starting next week on Sept. 9. They apply to more than 282,000 workers. You read all about the new rules here. [Ottawa Citizen]

👮 A 19-year-old man has been charged with assault and forcible confinement. This was after he was previously charged with similar offences twice, for a total fo 10 charges. Police believe there may be more victims. [CBC]

🚨 Shots were fired at around 1:30 am yesterday in the Vankleek Hill area, with one or multiple people fleeing afterwards. Police say there is no risk to anyone in the area as they continue to investigate. [Ottawa Citizen]

PHOTO OF THE DAY

One Reddit user managed to snag this photo of Chaudière Falls a few days ago. What a great shot!

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EVENTS

Festival Riverside | Canadian Museum of History | Sept. 6-8 | Huge music festival featuring artists like Deadmau5 and Sean Paul | Tickets

Perth Night Market | Downtown Perth | Saturday, Sept. 14, 5-10 p.m. | Next weekend! Experience a magical evening of entertainment, artisan vendors, delicious food, and late-night shopping in beautiful downtown Perth. | Learn more [Sponsored]

Almonte Fair | 195 Water Street, Almonte | Sept. 6-8, multiple times | Kids zone, agricultural education, rides, beer garden and more | Tickets $30

BeachFest | Beechwood Avenue | Sept. 7, 3 pm-6 pm | Food, music and performances all day | Free

Sizzling Hot Show | 50 Bennett St, Unit #1 Carleton Place | Now until Sept. 29 | Learn more

Savour the Field | Mulitple locations outside Ottawa | Sept. 7 | Explore teh farms and producers who make our food | Free

Latin Sparks | LeBreton Flats | Sept. 7 | Come celebrate Latin food, music and dance | Tickets $50

Bug Day Ottawa | 960 Carling Ave | Sept. 7 | Live big zoo, cockroach races, learn how to id bugs and more | Learn more

Afrofestival Ottawa | Sept. 7-8 | Festival showcasing the best of African culture, food and entertainment | Tickets $54

Aero Gatineau Ottawa | Now until Sept. 8 | Air show plus come see planes and helicopters | Tickets $59

Alchemy Fest Ottawa | LabO Theatre | Sept. 7, 7 pm | 15 unique different dance performances | Tickets $20

Romantic Comedy | Ottawa Little Theatre | Sept. 15-Oct. 12 | A play about writing over 15 years | Tickets $30

COMMUNITY HIGHLIGHTS

• Congrats to an Ottawa man who lives in Maniwaki who won a $3.8 million prize from CHGA 97.3 [CTV]

• The Aurorean is like having a scientist in your inbox. It’s a free newsletter that breaks down all the biggest science news happening now. Try it today. [Sponsored]

• Our food editor is raving about this bakery in Gatineau.

• Speaking of food, if you want to discover new restaurants in the Capital Region, click here to subscribe for free to our newsletter. 

• I’m not going to lie, this Minot Dream Home from the CHEO Dream of a Lifetime Lottery looks pretty darn nice. [CTV]

OTTAWA GAMES

Congrats to Robert, Susan, Bruce, Michael, Laura, Louise, Brenda and James, who all guessed the correct Ottawa Guesser location was Westboro Beach. 

Think you can solve this week’s Ottawa Wordle? It’s not actually a real world, but an acronym from the newsletter. Play it now.