Francophonie Games' governing body seeks 'more realistic' approach to bid budgets - Action News
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New Brunswick

Francophonie Games' governing body seeks 'more realistic' approach to bid budgets

The Francophonie Games' governing body says it is considering changes to a conventional budget in a hosting application guide that New Brunswick used for its $17.5-million bid three years ago.

Group remains confident in 'willingness and ability' of New Brunswick to organize successful event

A conventional 10 million euro budget included in an application guide to host the Francophonie Games was used by New Brunswick when bidding to hold the event in 2021. The Games' governing body says that amount underestimates the true cost of holding the event and is under review. (Hussein Malla/Associated Press)

The FrancophonieGames' governing body says it is considering changes to a conventional budget in a hostingapplication guide that New Brunswick used for its $17.5-million bid three years ago.

The conventional budget is set at 10 million euros, or almost $15.5 million Cdn,in an International Organization of theFrancophoniedocument that serves as a guide for countries applying to host the event.

The amount was set in an attempt to create a standard budget for the Games, held every four years alternating between countries in the north and south hemispheres, wrote Thomas Gil, interim director of partnerships, marketing and communications for the Paris-based group,in an email.

The basic budget was used by the committee of community volunteers and provincial civil servants that prepared New Brunswick's pitch to hold the Games in 2021.It was revealed this month the estimated cost of holding the Games in Dieppe andMonctonsoared 664 per cent to $130 million once abusiness plan was prepared.

Gil's statement followed questions about why the bid value was set so low and whether it was meant to undercut bids from other communities to host the event.

An independent reviewof the $130-million budget calledthe originalbid"significantly underestimated," suggesting it wasan attempt tosatisfy the international organization, which wants a fixed budget for every edition of theGames.

"That desire is likely linked to the current perception related to excessive costs and overruns for big sporting events like the Olympics," the report said.

'More realistic approach is required'

The 10-million figure is now under review ahead of applications for hosting the 2025 Games, Gil wrote. He said the figure is now viewed as underestimated and had assumed all infrastructure to host the Games was already in place.

"A more realistic approach is required, taking into account all the organizational aspects of the event," Gil wrote.

He said that since the conventional budget is outlined in the application guide and is therefore the same for all candidates, "it has not been a determining factor in the choice of the host government of the 2021 Games."

The International Organization of the Francophonie says the 10 million euro conventional budget is under review as it is no longer realistic. (AFP/Issouf Sanogo)

However, not all bids used the basic budget.

Sherbrooke, Que., bid for the 2021 Games with a business plan that pegged the cost of holding the event at $50 million.

New Brunswick Premier BlaineHiggshas said the province won't contribute more than $10 million to host the event, while the federal government is only willing to pay half the event cost, leaving a funding gap of more than $50 million based on the budget developed by the local organizing committee.

Politicians gather at the stadium at the University of Moncton to announce the province would bid for the 2021 Francophonie Games. The increased cost of holding the event has raised the possibility the province could pull out of hosting it. (University of Moncton/Twitter)

The independent review of the $130-million business planfound the cost could be cut to $115 million. It suggested minimum cost of the Games would be$72 million, but that would significantly affect the quality of the event.

"The OIF remains confident in the willingness and ability of Canada (and) New Brunswick to organize successful Games around the values of solidarity, diversity and excellence," Gil wrote.

TheGames are expected to bring more than 3,000 top athletes and artists from around the Francophone worldto the host cities of Dieppe and Moncton. Despite the name, the Games are open to all New Brunswickers regardless of thelanguage they speak.