FINAL PIECE OF THE PUZZLE

~ OTTAWA COMES THROUGH ~

Ottawa's in. The federal government will contribute one-third of the $100-million cost to build the Niagara Convention and Civic Centre, Niagara Falls MP Rob Nicholson announced Wednesday."There is no doubt in my mind this will help strengthen the economy of this area," Nicholson said during a press conference Wednesday afternoon. "This is that other piece of the puzzle we want to have ... We need to have a facility that can handle large conventions."We are a perfect fit." A group of local businesses, the provincial and federal governments have now agreed to contribute $35 million each to build a convention centre near the southwest corner of Stanley Avenue and Dunn Street.Now that funding sources are finalized, the project can move ahead, said Dragan Matovic, a golf course owner who is also the co-ordinator of the convention centre project. Construction could begin within a year and the convention centre could open as early as 2010, he said.The strength of the business plan Matovic's group presented is one of the reasons the project got the federal government's approval, Nicholson said."It's no secret every member of Parliament in the country wants $35 million in investment in their constituency. Niagara Falls is the perfect place to put this," he said. Mayor Ted Salci called Nicholson's announcement "truly spectacular news" because a convention centre will increase year-round tourism and create more jobs. Salci said he will ask council to create a committee to look at ways to make sure construction overruns or annual operating deficits don't become a burden on the public. Because it's being built with cash, the building won't have a debt. That's important to taxpayers because the city will own the building after construction and lease it back to Matovic's group to manage. When the partners hire a builder, they will insist the centre be built for a price specified before construction. That would make the builder responsible for overruns, Matovic said. Also, the private-sector partners have created a $15-million fund they will draw on to offset any deficits in the first five years of operation, Matovic said. Ottawa's cash will come from the existing Canada Strategic Infrastructure Fund, a federal program used to fund large infrastructure projects the government believes will encourage economic growth and support environmental sustainability. Tourism operators look forward to something to encourage more people to visit. "Certainly, everybody I've spoken to says we need to diversify our mix of tourists," Matovic said. Conventions are typically held in the September-to-May period - the off-season for traditional tourism. There's a lot of convention business to be had, but Niagara Falls has not been able to tap the market because there isn't a place big enough to hold a convention of 2,000 or more people, Matovic said. "We're just touching the tip of the iceberg out there," he said. Nicholson's formal announcement came after months of speculation Ottawa would match the funding Ontario finance minister Greg Sorbara included in the provincial budget in March. A group of two dozen business people and politicians at the Sheraton Fallsview hotel stood and applauded after Nicholson confirmed the funding, a courtesy chamber of commerce members gave Liberal MPP Kim Craitor at a breakfast meeting the day after Sorbara's provincial budget. Craitor congratulated the federal government for joining in. "It puts the community at ease. The final piece of the puzzle has been finalized," he said. For years, civic and business leaders have referred to a convention centre as the "missing piece of the puzzle" to encourage off-season tourism. "There's always a period when things come together. The timing is right, now," said Coun. Wayne Thomson, who championed the convention centre concept when he was mayor before 2003. But the "puzzle" might never be completed. There are other pieces to come, Thomson said. "We only have one more thing to make it a first-class, world-class destination and that's the people mover," the long-awaited mass-transit system that would alleviate congestion in the crowded tourism areas. Files from the Niagara Falls Review