Economic Development Committee
	TO:	Mayor and Members of Council
	FROM:	Ted Northcott, Sr. Business Development Officer
	PREPARED BY:	same as above
	DATE OF MEETING:	September 13, 2004
	SUBJECT:	SARS Recovery Program – Final Report

RECOMMENDATION:

That the report entitled “SARS Recovery Program – Final Report”, dated September 13, 2004, be received;

And that “Thank You” letters be sent on behalf of Markham Council to Brenda McGowan, York Region Tourism Coordinator; Chris Hales, Chair of the North East Toronto Hotel Association (and GM of the Radisson Hotel); and the Province of Ontario (for its $100,000 support);

And that Regional Councillor Bill O’Donnell (Task Force Chair), and members of the Markham SARS Economic Recovery Task Force (Deputy Mayor Scarpitti, Councillor Usman, Councillor Chiu, and former Regional Councillor Tony Wong) be acknowledged;

And further that upon receipt of York Region’s final report to the Province and Markham in late fall, 2004, that the report be circulated to Committee, Council, Finance and the Clerk’s office.

PURPOSE:

To provide a final report on the Town’s SARS recovery program, including an overview on the activities of 10 hotels in Markham that received Council approved funding for $30,000 to help with their economic recovery. This report follows the report of November 17, 2003 entitled “SARS Recovery Program Update”.

DISCUSSION:

The York Region Hotel Marketing Group (which includes the 10 hotels in Markham, plus hotels and tourist businesses outside of Markham) was granted $30,000 by the Town of Markham to assist with their SARS recovery marketing program. With the cash contribution from the Town ($30,000), and York Region ($40,000), plus money from the Markham hotels ($26,000), the Unionville BIA ($2,000) and from other York Region based hotels ($13,500), the hotels in partnership with the Region of York applied for a matching grant from the Province through its Ontario Destination Marketing Partnership Fund. The application was successful, and the Province awarded a $100,000 grant to York Region and the York Region Hotel Marketing Group for activities outlined in their application e.g. “Stay N Play” and “Meet N Play”. In respect of the Town’s cash contribution, the Town of Markham logo is being included on advertising materials where possible (e.g. in the CAA Leisureways magazine).

The Province is requesting that the marketing and promotion activities be completed by September 2004. To date the Region has received $75,000 from the Province, with the remaining $25,000 to be forwarded when the activities have been completed.

With this final disbursement of funds, the Town has expended the full amount of $90,500** for its SARS Recovery Program. It should be noted that even though the activities being implemented by the Region and York Region Hotel Marketing Group are helping to revitalize many aspects of the local economy, it will still take time for tourism levels to return to pre-SARS levels. Many hotels have increased their occupancy rates from around 30% in 2003 to around 50-60% in 2004.

**($15,000 for the Richmond Hill & Markham Chinese Business Association; $12,500 for the Federation of Chinese Canadians in Markham; $10,500 for the Markham Village BIA; $12,500 for the Unionville BIA , $30,000 for the Hotels and $10,000 for other activities (e.g. International Air Rally event etc.).

FINANCIAL CONSIDERATIONS:

As outlined above, the full amount of $90,500 has been fully allocated and dispensed.

BUSINESS UNITS CONSULTED AND AFFECTED:

The Finance Department has reviewed this report and is supportive of its contents.

ATTACHMENTS:

1) List of Hotel Partners (as prepared by York Region)

2) copy of Stay n Play In York Region coupon booklet

3) copy of reports for the month for Stay n Play and Meet n Play

4) copy of an ad in the Automobile Club of Michigan’s “Michigan Living” magazine

5) copy of an ad in Spring/Summer CAA “Leisureways”magazine

Stephen Chait Director of Economic Development

Jim Baird, Commissioner Development Services