When the city signed a commitment to explore a partnership with Muskeg Lake Cree Nation on Monday, it was touted as a potential game-changer for the downtown arena development. The Downtown Event and Entertainment District (DEED) project met a roadblock in March, when council rejected a deal with OVG360 to operate the future facility. In these long-term partnerships, details matter. So, as the city develops a releationship with this new potential partner, what’s the framework? CTV News obtained a copy of the memorandum of understanding (MOU) from the mayor’s office to find out. An arranged marriage The MOU is five pages long and outlines the specific terms, definitions, principles, and responsibilities of the parties during negotiations. There is also an additional page containing a letter of support from the Saskatoon Tribal Council. The documents say the city plans to pursue a district which would include a 15,900 seat arena, a renovated and expanded convention centre, renovated theatre and public realm outdoor gathering space. It says the parties agree the talks will be guided by a number of principle’s including “advancement of shared economic opportunities, including the exploration of equitable participation in the development, ownership, and operation of the DEED including indigenous procurement and employment opportunities.” There is no specific mention of a casino or any other potential amenities. Nor is there any reference to an urban reserve, but that was cited in a recent city report as a potential option to consider for the project. Muskeg Lake and the city commit to coordinated public messaging that respects the interests and obligations of both entities including public reporting requirements. It also notes there is “recognition that the partnership will evolve, and a commitment to revisiting and refining approaches as mutual understanding and the DEED project develop over time.” The term for the MOU is one year. It began on July 1 and expires on June 20, 2027. It says both Muskeg Lake and the City of Saskatoon could renew the MOU for an additional year and either party could terminate the MOU by providing the other 60 days notice. There is also a section on exclusivity during the MOU term. “The Parties agree to work together on an exclusive basis during the term of this MOU in an effort to come to an agreement on the necessary terms and business structures to enable the execution of the DEED project” and adds that at the end of the term, “the Parties will have produced a business case proposal for the DEED project and other supporting information”. There are three paragraphs noting confidentiality guidelines. “The Parties agree to execute a Confidentiality Agreement and to keep confidential from third parties the information which has been, or will be, provided to them in connection with this MOU or which they may discover as a result hereof to the same extent as is provided in accordance with the Confidentiality Agreement.” Any documentation is still subject to the provisions of the Local Authority Freedom of Information and Protection of Privacy Act and the Personal Information Protection and Electronic Documents Act. It says the City will be required to publicly report to City Council and Muskeg Lake will be required to report to its members on the status of negotiations and that would not be considered a breach of confidentiality. “The Parties acknowledge and agree that the City will provide public update reports to City Council on the status of the negotiations which arise pursuant to this MOU and that such reports will occur every 2-3 months as agreed to by City Council and that Muskeg Lake may have similar reporting requirements.” Both sides will ensure no news releases or public communications will occur regarding the DEED project without advance notice to the other. The MOU also describes the expected outcome at the end of this phase: an operating agreement. It says subject to an agreement in principle to move forward with a partnership for the DEED project beyond the MOU and getting all necessary approvals “the Parties will negotiate and enter into a mutually satisfactory operating agreement for the DEED project”. “The operating agreement will include, but not be limited to, provisions respecting ownership and operation of the DEED project that contemplate each Party’s contributing capital or in-kind costs toward development of the DEED project, and each Party sharing proportionally in the associated revenues and operating costs of the DEED project.” A representative from the City and Muskeg Lake will meet at least once a month to discuss whatever matters may arise and that a “consensus decision-making process will be utilized.” Finally, the MOU outlines the rules regarding amendments. “If at any time, during the Term of this MOU the parties deem it necessary or expedient to make any alteration or addition to this MOU, they may do so by means of a written agreement between them which will be supplemental to and form part of this MOU.”
