WHL concerned with price of fuel

By GREGG DRINNAN
Daily News Sports Editor
WHL commissioner Ron Robison has watched the price of gasoline go up and up
and up. At the same time, he has watched the league’s 30 teams’ operating
costs follow suit.
And now he is wondering when the teams will have to start passing those
costs on to their fans.
“We have been really hesitant to increase prices because we are all about
family-affordable entertainment,” Robison said Thursday. “But, on the other
hand, you look at everything today . . . consumers are having to pay for
that. Unfortunately, (price increases) may be part of the reality.
“But we are going to do whatever we can to offset it in other ways.”
Working to come up with “other ways” will be part of the discussions at the
WHL’s annual meeting in Calgary on Tuesday and Wednesday.
The WHL is a gate-driven league — its teams played in front of 3,735,202
fans in 2007-08 — but, Robison said, expenses just keep rising.
“We track the annual financial positions of our clubs,” he said, “and in all
the analysis we did going into (2007-08), expenses were out-pacing revenues
by five per cent.”
The league, however, has all but maximized its revenues. Combine that with
escalating costs and something has to give.
“Our revenues have been relatively flat,” Robison said. “We get good
support across the league — we have a loyal fan base. We have a very
moderate price, and we haven’t increased our prices significantly over the
years.
“But the cost of doing business just continues to increase. That’s reflected
in fuel and bus costs, hotels, meals and so forth. In our league, it’s a big
consideration given the amount of travel overall and the amount of hotel
nights we have.”
All of which means that when teams get together to do up the 2008-09
schedule — Eastern Conference teams meet in Calgary on Monday; the Western
Conference is to gather in Kelowna on July 24 — reducing travel will be a
factor. However, Robison said, there isn’t a whole lot of meat on that bone.
“We made an adjustment which was quite controversial . . . more divisional
play, more in-conference play,” Robison said. “We feel we’ve gone as far as
we can there. We have to make sure we aren’t compromising ourselves as far
as the player experience is concerned.
“In an ideal world, we’d like to have a full-interlock; we’ve got a partial
interlock situation and I don’t think we can go any further than that.
“I do think we are going to be taking this very much into account through
the scheduling exercises this year to do what we can to reduce travel
wherever possible.”
Two other serious matters that will be on the meeting’s agenda involve the
Portland Winter Hawks, who are experiencing tumultuous times, and the Moose
Jaw Warriors, who have been told they need a new home.
“We are trying to get that franchise headed in the right direction,” Robison
said of the Winter Hawks, whose financial situation was put under a
microscope by the WHL office last month.
Robison said his office is working with Portland’s ownership group to get
the franchise back on track. And he doesn’t sound like an oft-rumoured sale
is in the works.
“That was one option,” he said, “but it’s not something they’re actively
pursuing right now. They want to continue to own and operate the team. The
hockey program is the main driver of our business, and that is where we have
to make sure they are competitive on the ice — there is no substitute for
that in our league.”
As for the recent KPMG audit, Robison said it was a worthwhile exercise.
“It really allowed us to get an inside look at the business practices of the
organization and get a sense of the challenges they are facing,” he
explained. “Everyone has a better appreciation of that now and as a result I
think this will not only help the Portland franchise but the rest of the
league as well.”
Moose Jaw, meanwhile, was told a few years ago that the 2,705-seat Civic
Centre doesn’t meet WHL standards. City council now is debating whether to
build a new facility.
“We’ve been very patient for five years now . . .,” Robison said, adding
that his first meeting on this subject was “over six years ago” with
then-mayor Al Schwinghamer. “We’ve been patient in terms of understanding
that what they’re involved in is a major capital adjustment, way beyond what
they originally anticipated.
“We’re prepared to work with them but at some point we need assurances in
the form of a contract or a construction start that they’re headed in the
direction that is going to guarantee us a facility.”
The WHL developed its arena standards in 2004 and the understanding then was
that teams playing in sub-standard facilities would work towards upgrades.
That is what happened in Prince Albert and Swift Current where the Raiders
and Broncos now play in newly renovated arenas.
“Prince Albert and Swift Current renovated and met the needs,” Robison said.
“In Moose Jaw, they determined early in the process that renovating wasn’t
feasible due to the nature of the structure.”
Robison has gone so far as to inform the people of Moose Jaw that if the WHL
doesn’t see a commitment, and see one soon, he will recommend to the board
of governors that the franchise be relocated for 2009-10.
“They have to understand that the league has standards,” Robison said. “We
have rules and regulations and standards. It’s not fair to see Swift Current
and Prince Albert (renovate) and even Seattle moving to Kent . . . our
league has changed.
“But I’m sure they’ll find a way to get it done.”

gdrinnan@kamloopsnews.ca