Mayor Nolan Crouse believes the St. Albert Steel will remain in the city for another season after the Alberta Junior Hockey League team expressed its desire to renew its lease agreement.
The team was required to provide notice of its intentions by Wednesday. The existing five-year agreement between the city and the Steel expires on Aug. 31.
“We’ve got every indication that they’re going to continue to be here,” Crouse said. “There was a lot of uncertainty for months in terms of rumours and what they’ve come back and said in a formal letter is we’re ready to renegotiate and we want to stay.”
However, Greg Parks of the Steel wasn’t ready to confirm if the fledgling AJHL franchise will be in St. Albert when training camp opens in August.
“That all lies in the city’s hands,” said the head coach, general manager and part owner of the Steel. “We started these negotiations 18 months ago. It’s clear we have the worst lease agreement in the league. We presented many things to them and they refuse to budge on anything. We just want to have an agreement that’s good for the Steel and good for the city of St. Albert to keep junior hockey in the community.”
The Steel has lost money since the Fort Saskatchewan Traders relocated to St. Albert in 2007. Season ticket sales dropped from 454 in the team’s inaugural season to about 75 this past season.
The Steel averaged 247 fans at Performance Arena while posting five wins on home ice and missed the playoffs for the first time in team history with a league worst 9-48-3 record in the 16-team circuit.
Leduc, Whitecourt and Dawson Creek are the rumoured relocation sites for the Steel.
Parks expects the AJHL will come out with its own deadline for the Steel to stay or go.
“I don’t know what that date is but things can’t drag on here forever,” Parks said. “If [the city’s] stance is not going to change at all, then it’s pretty clear what direction we’re going to go.”
Crouse expects a new lease agreement will eventually be hammered out. He gave Servus Credit Union Place facility director Diane Enger the green light to provide the city with more than 40 possible Steel home dates by the end of March for the AJHL to schedule 30 home games for next season.
“Over the coming weeks, council will continue discussions with the Steel and we are confident that we will be able to reach a mutually beneficial agreement,” Crouse said. “We don’t want to be sitting here on Aug. 31 trying to figure out things. The exhibition games will have started by then so this thing needs to be done now.”
Parks isn’t so sure if the city will give the Steel what it needs to stay in St. Albert.
“We’ve been open to negotiate right from the beginning and there has been nothing on the city side to help us out at all. Even right down to the last day [before Wednesday’s deadline] I asked them for a 30-day extension just so we can try and work things out and that was declined, which was disappointing. After being here for five years, you would think they would take an extra 30 days to try and work things out,” Parks said. “When that happened we paid up everything we owed so we’re in good standing there.”
Crouse confirmed the Steel’s finances are up to date.
“There was some questions and even rumours about them owing money, but they owe the city zero money. All bills and the dressing room lease is 100 per cent paid up. There are no issues there,” Crouse said.
Parks said there are three major stumbling blocks in negotiating a new deal and advertising revenue is at the top of the list.
“Advertising clearly doesn’t work. Servus [Place] has told council it doesn’t work. Servus came to us with a solution and council shot that down,” Parks said. “Ice rates are another one and so is the locker room repayment. We’re very open to be flexible on lots of things but we can’t continue to operate the way it is. Hopefully I hear back from the mayor soon and we can figure out what direction we’re going to go.”
Crouse has a slightly different view on what the main issues are.
“The contract allows for a five-year extension so I don’t think that will be a stumbling issue. I don’t think there are issues with ice times or even ice rates. I don’t think that will be an issue. Even things like the dressing room or office space and things like that within the agreement are non issues,” Crouse said. “The biggest nut to crack is the advertising revenue. It’s the cash that feeds the Steel operations but it’s also the cash that feeds Servus Place operations so who goes and gets that cash, who controls that cash and who sells the advertising is the big issue.”
The Steel is still planning to go ahead with its March 23-25 spring prospects camp at Servus Place.
