January, 2009 Harmony Residents Group 1

Position on Project Niagara

The Harmony Residents Group believes:
1. There must be a better location for a summer music festival
2. There must be a better use for the Lakeshore Road site

We are:
1. Concerned about impacts to the environment
2. Nervous about impacts to residents
3. Sceptical about the benefits
4. Worried about the costs

The Proposed Location

We do not object to the concept of a summer music festival, and recognize that tourism and
culture are important to the Town and Region. But we see risks to the environment, to residents,
and to ratepayers as outlined in the sections below.

The very reasons why the site is so attractive to the proponents of Project Niagara are why we
should be concerned. It is a unique site of great beauty. It is quiet and separate from the
commercial centre of town. No matter how thoughtful and well-intentioned, the construction of an
amphitheatre, support buildings, concessions, toilets for 4,500 people and “orchard” parking for
2,010 cars nevertheless constitutes development.

An Alternative Vision
Instead of a music festival, an eco-park should be considered. In place of buildings and large
parking lots, we should have small education and research facilities. Instead of an enterprise that
exploits the natural beauty, we should be educating future generations on the natural and
heritage significance of the site. Instead of artificially enhancing the site, we should be
researching how to restore and rehabilitate the natural features.

Instead of chasing a “crowded marketplace” with another summer music festival, we should shift
our attention to the growing eco-tourism market.

The Environment
Niagara-on-the-Lake is one of the most heavily deforested parts of the province; it has only 2%
forest cover. The Lake Ontario plain forests are a rare type of ecosystem, and the Carolinian
forest on this site is home to endangered plant species. The entire site is also an established
habitat for a variety of wildlife, including numerous bird and animal species. The proposed music
festival has the potential to threaten these precious natural resources. It would also eliminate the
possibility of ecological restoration.

Environmental Impact Assessments are planned, but until we understand the scope and see the
results we should be concerned about the impacts to wildlife and habitats on the site.

Residents
Project Niagara projects 260,000 visitors over a 17 week period, the summer period which
already sees 50% of the visitors who come to Niagara-on-the-Lake. That represents a 20%
increase over current, and a 17% increase over pre-2004, visitor levels. It also represents 99,000
cars, plus enough buses to shuttle 52,000 people. This brings the potential for:
1. Increased congestion
2. Parking problems
3. Further degradation of our roads
4. Further traffic infiltration in residential areas
5. Safety concerns resulting from the above
6. Additional strain on the Region’s waste management infrastructure and programs

Noise emanating from the concert site is also a concern for Chautauqua and Garrison Village
residents.

Harmony Residents Group

Harmony with the Environment Harmony for Niagara-on-the-Lake Residents
January, 2009 Harmony Residents Group 2
Position on Project Niagara

A Traffic Study and a Public Consultation process are planned to address these issues. Until
these studies are complete, and both solutions and costs are understood, we should be
concerned about the impacts to our quality of life.

Benefits
The Project Niagara Feasibility Study forecasts tremendous economic benefits to the Region and
Province. We believe these benefits are overstated for the following reasons:
1. The study was completed before the economic downtown, from which some experts
predict it will take ten years to recover. A recent Ipsos-Reuters survey found that 72% of
households have cut back on spending, with entertainment and vacations as the top
targets.
2. The TREIM model presents an inflated view of the economic impact of Project Niagara.
79% of visitors are projected to come from Canada. While this may bode well for
Niagara, the money spent by Canadians is essentially being diverted from expenditures
elsewhere. We are recycling our own money. Only expenditures from the 54,300 U.S.
and International visitors drive net new benefit to the economy.
3. The study estimates that 80% of Project Niagara visitors will already be in the Region,
which implies that expenditures will be diverted from something else.

Note: specific benefits for Niagara-on-the-Lake are not quantified.

Proponents and supporters present Project Niagara as an opportunity to address the town’s
sewage lagoons, which are nearing capacity. This is a bogus claim. If they need fixing, the
Region can allocate the money and fix them. And it can do so cheaper by upgrading them in
place, rather than moving them to accommodate the proposed festival.

Costs
Niagara Region has developed preliminary estimates of $5.6 million to upgrade roads, plus $6.3 -
$10.7 million to relocate the sewage lagoons. These are direct capital costs. Indirect costs, such
as the acceleration of road improvements from the Transportation Master Plan, could be much
higher. Operational costs have not been estimated.

No costs have been estimated by the Town.

Project Niagara has committed to helping the Town and Region “find the resources” for any
infrastructure required to enable the proposed festival. Presumably this means infrastructure
grants from the federal or provincial governments,

In addition, Project Niagara is requesting $25.5 million each from both the federal and provincial
governments to develop the site, plus $6 million each in start-up costs. Note: In 2017, a second
phase of development is planned, costing $24.5 million. Funding plans for this are not provided.

The Feasibility Study does not articulate what (Payments in Lieu of) taxes Project Niagara will
pay, nor does it provide details in its operating budget on traffic direction or waste management.

Further study by the Town and Region is required to understand the cost impacts on local
infrastructure and operations. Until these are complete, and funding sources are confirmed, we
should be concerned about impacts to us as ratepayers.

For further information, please visit http://harmonyresidentsgroup.blogspot.com/

Harmony Residents Group

Harmony with the Environment Harmony for Niagara-on-the-Lake Residents