Station Avenue Fees and Charges Bylaw No. 2010, 2022 Amendment #2, Bylaw No. 2187, 2024 (Staff Report)

EXECUTIVE SUMMARY

Last updated in February 2023, Station Avenue Fees and Charges Bylaw has been reviewed by staff and as a result proposed amendments are explored within this report. Proposed amendments include a reduction in monthly booking fees for food truck vendors, the introduction of a new business incubator space and associated fee, and the introduction of a new fee model that incorporates the All Items Consumer Price Index (CPI) for Greater Victoria in the previous year.

BACKGROUND

In the spring of 2021, Council directed staff to establish a new arts and cultural district, The Langford Station, on lands leased from the Island Corridor Foundation (ICF). This arts and cultural district includes a public plaza with artist studios, business incubators, food truck stalls, art installations, formalized parking, an off-leash dog area, a public washroom building, and a covered area for entertainment purposes.

The Langford Station has been in operation for just over two years and having had the chance to reflect on the fees and charges associated with business incubators, artist studios and food truck space, staff believe the fees and charges should be adjusted.

COMMENTARY

Reduction in Food Truck Vendors Fees & Charges (including applicable GST)

Proposed amendments to the food truck pad fees consider the slower months at The Langford Station, the number of events held and the overall foot traffic throughout the year. The amount of foot traffic was found to be strongly influenced by weather conditions, and special events. Many of the events held at The Langford Station have been scheduled between the months of June and September.

Schedule A of Bylaw 2010 is proposed to be amended in the following ways:

• October and May removed from peak season
• October and May added to winter season
• Decrease monthly (June – September) fees from $775.00 to $650.00
• Decrease monthly (October – May) fees from $375.00 to $300.00

Community Workshop Space Fees & Charges

The community workshop (The Creation Station) has been operating on a day-by-day booking model available to vendors and members of the public since The Langford Station opened. The space was booked 35 days in 2023, and six days from January to April 2024.

As a result of the underutilization of the community workshop and demand for more retail space, staff contacted existing occupants of the artist studios and business incubators requesting expressions of interest for use of the 40’ space. Two submissions were received, and applications were vetted on the following criteria:

• Does the business have a comprehensive business plan for the next two to three years?
• Has the business maximized their current space and overall use of the venue?
• Would the additional space improve their business?
• Does the business contribute to the wider community?
• Is the business unique compared to local shops and other vendors?
• Does the business have a vacation and sick day coverage plan?

Staff wish to note that one of the expressions of interest was received after the deadline. While both provided sufficient answers to the questions outlined above, the initial applicant was awarded the space.

The community workshop has been transitioned to a business incubator and is currently being used by the successful applicant that has outgrown their existing space. As such, staff are proposing that the fees for the Community Workshop be removed from the bylaw as part of this amendment:

• Remove table associated with the “Community Workshop Space Fees & Charges”

Business Incubators Fees & Charges (including applicable GST)

As part of the transition from a community workshop to a business incubator, staff are proposing a new fee for the use of the 40’ space:

• Addition of monthly fee of $1000.00

The proposed monthly fee for the 40’ business incubator aligns with the current fees for businesses operating in both the 10’ and 20’ units.

CPI Related Changes

Through staff research, the use of a CPI annual fee increase model is common among bylaws of this nature. Staff believe amending this bylaw to utilize a CPI annual fee increase model would be an efficient use of staff time. This model ensures The Langford Station Cultural District fees continue to increase in alignment with inflation. The fees outlined in Schedule A will be adjusted annually by the annual percentage increase in the All Items Consumer Price Index for Greater Victoria in the previous year. Damage deposits are not subject to this annual increase. The CPI calculation will take place as soon as the data is available to be effective May 1st of each calendar year. Existing contracts that are scheduled to expire after May 1st, 2025, will be subject to increases upon renewal.

While use of the CPI model will increase fees over time, staff will continue to review these fees and charges and bring forward recommendations to Council as needed to ensure fair and competitive market value.

Bylaw 2010 is proposed to be amended by adding the following as a new item 3:

3. That the fees automatically be increased annually by the annual percentage increase in the All Items Consumer Price Index (CPI) for Greater Victoria for the then most recently ended calendar year as published by Statistics Canada or successor in function. Damage deposits are not subject to an annual CPI increase.

FINANCIAL IMPLICATIONS

Revenues generated as a result of this bylaw are collected by the City and are used to offset costs incurred including staff time, administration, and costs associated with the maintenance and operation of The Langford Station.

Reducing the fees for the food truck vendors will not have significant financial implications on the City and in turn, the City hopes to attract new food trucks to The Langford Station.

The introduction of the fee for the 40’ business incubator space remains competitive and aligns with the other fees charged for space at The Langford Station.

The All Items Consumer Price Index for Greater Victoria fee increase model will be used account for annual inflation.

LEGAL IMPLICATIONS

Section 194 of the Community Charter allows a Council, by bylaw, to impose a fee payable in respect of a service of the municipality and the use of municipal property.

STRATEGIC PLAN ALIGNMENT

• 3a: Develop An Economic Development Plan
• 3f: Create An Arts And Culture Strategic Plan

OPTIONS

Option 1
THAT Committee recommend that Council give first, second and third reading to Station Avenue Fees and Charges Bylaw No. 2010, 2022 Amendment #2 Bylaw No. 2187, 2024.

Option 2
THAT Committee recommend that Council give first, second and third reading to Station Avenue Fees and Charges Bylaw No. 2010, 2022 Amendment #2 Bylaw No. 2187, 2024 with the following amendments: 1. 2. 3.

OR Option 3
THAT Committee recommend that Council take no action regarding Station Avenue Fees and Charges Bylaw No. 2010, 2022 Amendment #2 Bylaw No. 2187, 2024 at this time.

SUBMITTED BY

Jack Briedé-Cooper, Arts, Culture & Economic Development Coordinator

Concurrence:
Donna Petrie, Senior Manager of Communications & Economic Development

Concurrence:
Yari Nielsen, Director of Parks, Recreation and Facilities

Concurrence:
Matthew Baldwin, RPP, MCIP, Director of Development Services

Concurrence:
Leah Stohmann, RPP, MCIP, Director of Community Planning and Climate Change

Concurrence:
Katelyn Balzer, P.Eng., Director of Engineering and Public Works

Concurrence:
Michael Dillabaugh, CPA, CA, Director of Finance

Concurrence:
Braden Hutchins, Deputy Chief Administrative Officer

Concurrence:
Darren Kiedyk, Chief Administrative Officer

Attachment 1: Redline copy of Schedule A of The Langford Station Fees and Charges Bylaw

Attachment 2: Bylaw 2187