Cost Recovery at the WCEC

Within the first year after Council was elected, Administration was given direction to recover 50% of the cost of operating the WCEC. Granted this is a hard goal to achieve given the age of the facility, but it needs to be done for a variety of purposes including reduced costs, and increased use. Council's focus isn't on raising fees to cover the gap. To cover the gap with fees only would make the facility difficult for many user groups to use because they couldn't afford it. The gap, the difference between the 50% and the actual expenses, has ranged from about 10% a couple of years ago to about 18% this year.

Perhaps the best way to achieve the goal is to increase the use of the facility through more programming such as: concerts, events, indoor soccer, lacrosse, track and field, lawn bowling, and more.

The Town is working with groups to ensure that increased use results in less costs and user groups can still do the programming they would like to do. To achieve this requires a collaborative effort amongst users and the Town.

Here is a chart, from the McKinsey Group, I have found and tweaked to help better understand the goals and policies of Council and what Administration is trying to accomplish.

We very much appreciate everyone's willingness, and patience, to help recover more costs and increase the use of the WCEC.

Maximizing Facility Effectiveness & Efficiency

O&M Best Practices/Critical Success Factors

Goal	Action	Task #1	Task #2	Task #3
Increase Use	Maximize Use	Enhance peak capacity and effective use	Apply demand management	Optimize availability/reduce downtime
	Enhance User Experience	Adopt a customer centric operating model	Enhance the end-to-end user experience	Use smart technologies to refine user performance
Decrease Total Cost	Reduce O&M Costs	Implement lean and automated processes	Optimize procurement costs and outsourcing	Rightsize management and support functions
	Manage Risk	Arrange comprehensive sustainability plans	Embed sustainability into routine operations	Cooperate with relevant stakeholders
Increase Lifetime Value	Extend Life	Invest in preventative and predictive maintenance	Control excessive asset consumption and stress	Enhance disaster resilience
	Reinvest with a Life Cycle View	Prioritize project options with whole life cycle	Select contracting mode for best value for money	Prepare for efficient project delivery
Enable O&M Best Practice	Ensure Funding	Dedicate user taxes via maintenance funds	Apply inclusive user charges	Capture ancillary business opportunities
	Build Capabilities	Introduce asset management planning	Apply data, benchmarks and tools	Conduct training and develop talent
	Good Governance	Corporatize and professionalize public agencies	Foster cooperation between agencies	Consider private-sector participation and competition