Circle Trail outlines plan for four-storey Little Current hotel

First Nation consortium will form corporate entity and pay tax to town

by Lindsay Kelly

LITTLE CURRENT-Public objection to the proposed hotel development on Highway 6 in Little Current reached its peak last Wednesday evening as members of the Great Spirit Circle Trail (GSCT) laid out their plans for a 65-room four-storey accommodation that would overlook Goat Island, include a conference centre and restaurant, and potentially incorporate a swimming pool that would be available for public use.

The anger was not directed at the development proponents, but rather members of council, who have conducted most meetings about the hotel development in camera. Private debate about land sale does come under the purview of the Municipal Act; however, some taxpayers have suggested that the public should have been consulted before discussions went forward.

Authors of a petition seeking support for this view circulated a second flyer, suggesting that other locations should be considered.

"We are not against economic development," the letter states. "We do not want development at the risk of losing waterfront and green space and at the expense of NEMI residents and business. [The taxpayers] have been the major source of revenue and strength for this community for many years and our voices should be heard."

But most taxpayers remained respectful and open to the comments of GSCT general manager Dawn Madahbee and manager Kevin Eshkawkogan, who, over the course of an hour, provided insight into their proposed project, which they have researched and developed for more than two years.

"One of the great things about being selected to present this project to you tonight is that we feel that it's a really great symbol that's been put forward by your council to work with other communities on Manitoulin and to support one of our primary industries, which is tourism, because that's what this project represents," she said. "We're bringing forward a project that involves community investors, and the fact that this council has reached out to work with this group, we're really pleased with that."

The Waubetek Business Development Corporation, which helped to establish the GSCT 12 years ago, has focussed on further developing the tourism industry in the region and making inroads with other tourism operators, she noted.

Unfortunately, in recent years, the GSCT has had to turn away business because there are not enough rooms in the area to accommodate visitors that seek to stay here. A new hotel will help alleviate that burden, Ms. Madahbee said.

Mr. Eshkawkogan noted that a separate corporate entity has been set up for ownership of the hotel, which will pay taxes if the project goes ahead.

"People are concerned about this hotel being owned by First Nations and not paying taxes," he said. "Well, it's not an issue."

Every corporate entity is required to pay any municipal, provincial, and federal taxes that apply, he noted. Status for First Nations people cannot be carried over to a corporate entity; in fact, it's rare for Revenue Canada to allow an exemption for any corporate entity, he added.

When looking at locations, six were considered, including three in Little Current-other sites they looked at were located in Sheguiandah, Whitefish River, and Aundeck Omni Kaning-but the waterfront site on Highway 6 was deemed to have the most appeal for guests looking for a destination site.

"Wouldn't you want your guests looking at the LaCloche Mountains, looking over the North Channel?" Mr. Eshkawkogan queried.

The preliminary site drawings call for a higher end hotel, reaching four stories above ground, with a fifth below ground; 65 rooms, including some suites; a conference centre, a gift shop, and potentially a restaurant, swimming pool, or spa.

The GSCT has decided against going with a franchise because the franchised hotels in urban centres tend to get more promotion than smaller hotels, and they won't be zeroing in on First Nations meeting markets, a key market that the GSCT will be targeting if the project goes ahead.

"People are meeting everywhere, all the time, and there's no reason why they shouldn't be coming back here," he said.

The GSCT plans to brand the hotel themselves as an independent accommodation, and will look at outsourcing services such as food, to avoid paying huge fees to franchisees for work they can do on their own.

"When we did our assessment of our markets, we found that our two primary markets that we wanted to focus in on were the conferences, meetings, and special events, as well as the First Nations business meetings and the motor coach businesses," Mr. Eshkawkogan said. "There are about 150 motor coaches that come across the Island and a good chunk of them don't stop and stay anywhere," he added. "They travel up the Highway 6 corridor and they're gone."

Ideally, the GSCT would like to capture some of that traffic and extend their stay, which they believe will be a big boon to the local economy.

The organization has already conducted its environmental assessment screening on the site, which was conducted in summer 2008, in addition to a geo-technical soil studies investigation. It's an expensive investment in the project, but one the organization recognizes is essential to ensure a development can go ahead on that site, Mr. Eshkawkogan said.

"Both studies came back and there's really nothing to worry about," he said. "It's more or less bedrock on that site. It's what we expected, but it's something we thought was necessary to complete."

He suggested that the construction would be monitored regularly by the Ministry of the Environment to ensure environmental safety at all times. He estimated that 60 construction jobs would be created during the building phase, local materials will be accessed, and people in the trades will be needed.

"We want to keep the money here locally," Mr. Eshkawkogan said. "We don't want a company coming in and taking the money and leaving."

Once the hotel is up and running, he estimated that 25 jobs would be needed at the hotel. None of the work, through construction or hotel work, would be limited to First Nations applicants. "We want to hire the best people for the jobs," he said. "We're looking at this as a business project, we're not looking at this as a make-work project."

Taxes coming into Northeast Town coffers from the project are estimated at $90,000 a year, although more solid numbers can't be predicted as the yearly taxes would be determined by the hotel's revenue. This is extra money in the community that can help to grow the community, Mr. Eshkawkogan added.

Should the hotel go ahead, marketing would commence in January 2010, with construction beginning in May. The hiring and training of staff would take place in November 2010, and the opening is slated for May 2011.

"We want to make sure that the project is done in a good way with everybody that's involved," Mr. Eshkawkogan emphasized. "At the end of the day, we've got to keep everybody as happy as possible to make sure the project is going to succeed, because we're all ambassadors to the area and the only way things can work in the tourism industry is by partnering."

In response to the presentation, residents expressed concerns on several items, including the amount of revenue that would be created, additional traffic, reducing waterfront space, getting appropriate value for the land, and the impact on other accommodations in the area.

It was suggested that Campbell Street East should be closed off to traffic and a buffer should be set up to provide relief from noise and diesel for nearby residents.

But one of the primary sticking points seemed to be feasibility, and whether, in the quiet winter months, a 65-room hotel would be able to maintain capacity.

"Motor traffic is great and meeting traffic is great, and I'm interested in possibly working with you on bringing conventions here and some meetings here," said resident Chris Stewart, who lives next door to the proposed site. "But with that said, your break-even occupancy is going to be a real hustle to make that thing work. You've got 365 days; the kinds of numbers you need to make it work is about 80-percent occupancy. I'd really like to hear more about what you're doing other than motor coach, other than hockey games, other than conventions."

While he's in support of the project as a "real economic anchor" to the community, Mr. Stewart said he's concerned that a failed project would be a white elephant standing in the way of the community's viability and growth.

The GSCT will take his concerns into consideration; however, it is ultimately up to the investors to determine whether the risk is worth the investment, Mr. Eshkawkogan said.

"If anybody has to be accountable it's going to be us to our partners, and ensuring that the project succeeds is going to be on our shoulders," he said. "Just dumping $5 million out the door isn't something any of us want to do, including our investors."

Mr. Eshkawkogan conceded that it would be a hustle to get the business; however, the GSCT remains confident that they can make it happen and expand demand in future years. Ms. Madahbee added that numbers used to predict vacancy rates were conservative, and "we have a pretty good idea what we're getting into" based on those figures.

Marnie Bond, who resides near the property in question and spearheaded a petition to garner support against the hotel, noted that, for more than two decades, people in the area have considered the land parkland and don't want to see it developed.

As waterfront land, it holds special value and should remain in the hands of taxpayers; if it is on the auction block, taxpayers want to know how much it's going for to ensure that they're getting fair market value.

"We've collected almost 700 names on our petition," she implored council. "Does that not mean anything to you?"

A few people expressed their support for the project, like Charles LaPierre, a resident who believes Manitoulin needs additional activity to keep it vibrant and that the waterfront is an ideal place for new accommodations.

"When I see [the hotel] I say, 'Yes, go for it,'" he said. "When they come to the Island that would really be showing people that this is our home and your home, enjoy yourself. It stands out, it's facing the bridge. I'm all for it."

He suggested that the hotel would be a boon to the winter tourism months, attracting people interested in skiing, snowshoeing, or dogsledding. Right now, he said, winter tourism is "pretty dead."

Mayor Stringer shut down personal attacks on individual councillors, suggesting that it was an inappropriate time to air any personal issues they may have with members of council. Residents actually booed at one point when told that councillors would not be speaking about their personal opinions on the project.

"Our goal tonight is to understand what your concerns are so that we can make a decision down the road," Mayor Stringer said. "We're certainly not going to debate the issue, we're not going to sit here and tell you what our position is or is not at this time, because we're still formulating what our final position will be, and that will be done at the council table, potentially in two weeks."

The hotel project has been on the books for years and developing the property is not a new idea council "made up just yesterday," he added.

The hotel proposal will be on the agenda for discussion at the next council meeting on November 17. Information compiled from last week's meeting will be taken into consideration and a decision may be made at that time.

Island H1N1 clinics buck trend with light traffic, prompt nurse attention

by Nancy McDermid

TEHKUMMAH-As major dailies depicted massive lineups and frustrated vaccine clients on their front pages last week, the Island's first pair of H1N1 clinics in Gore Bay and Tehkummah went off without a hitch, featuring surprisingly sparse traffic and no apparent queue crashing.

Following the first clinic in Gore Bay on a rainy Monday, Sudbury and District Health Unit (SDHU) staff set up at the Tehkummah Hall on Wednesday to provide shots for those who fell under the high-risk category. This includes pregnant women, healthy children aged six months-five years, parents of children from zero-six months, people under 65 with chronic conditions, health-care workers, and providers of people who are high risk and cannot be immunized.

The atmosphere at the clinic was calm and relaxed. The SDHU staff was on hand in full force with three extra nurses from Espanola also in attendance. This made a total of seven nurses altogether plus volunteers and other staff from SDHU who assisted with the screening process.

Attendance was low at the clinic with just 119 visitors. Registered Nurse Lynda Garniss felt that the clinic "went very well," but also noted that the staff was ready and prepared for more people than those that came.

The relaxed ambiance at the hall and the lack of a wait time was a direct contrast to the reports in the media concerning clinics elsewhere in the province.

Valerie Michaud attended with her 11-month-old daughter EsmeŽ Leduc. She was visiting Manitoulin Island and was in the high-priority group. She was pleased with the non-existent wait time as in her hometown of Sturgeon Falls she would have had to wait five or six hours.

Chantal Desbiens from Billings Township also came to get a vaccination. She commented on the lack of wait time and then was pleased with how easy it felt to get the shot.

Those who attended the clinic were screened by Carol Jamieson, the health unit's family support worker, and health inspector Dan Burns. At this time the province has only enough vaccine available for the high-risk group and so it is important that those that attend are eligible.

Once that process was completed a questionnaire was filled out, which is another type of screening tool. A fact sheet was provided with detailed information about the H1N1 vaccine. After receiving the vaccination, each person was asked to wait 15 minutes before leaving.

The nurses in attendance from Manitoulin Island were Lynda Garniss, Linda Belton, Serena Verboom and Stephanie Gray. They were friendly and approachable as were the other nurses and staff members at the clinic.

The H1N1 flu vaccination is also available by appointment at the SDHU for those in the high-risk category, although news late last week was that future clinics scheduled for the Island have been postponed due a shortage in vaccine supply.

Ms. Garniss stated that they have had up to 100 appointments a day at the office in Mindemoya. She also commented that "we have seen an increase in people using preventative measures during this flu season and that it is important to stay calm about the H1N1 virus."

"If you do become ill, try to stay at home and don't work sick or play sick," she added. She recommended that people can access a lot of information about H1N1 by calling the SDHU at 1-866 522-9200 or visiting the website at www.sdhu.com.

Suspicious fire investigated at Sheguiandah First Nation

by Lindsay Kelly

SHEGUIANDAH-A suspicious fire that damaged a Sheguiandah First Nation home last week is under investigation, and the UCCM Anishnaabe Police Service is seeking the public's help in providing information on the case.

The home of Jeff Aguonie went up in flames early on Tuesday morning, causing extensive damage to the home's exterior. The Northeast Town Fire Department responded to the call; however, no-one was in the home at the time, said Northeast Town fire chief Darren Bailey.

"We got the call about 5:50 in the morning; we got there and the flames were through the roof," he said. "We had it under control probably within about an hour and a half, and altogether the whole call was about four hours long."

Most of the damage was done to the back exterior of the home and the roof, and although "the interior was not touched a lot by fire," it did sustain some smoke and water damage, the fire chief noted. Because the home is fairly new, it's possible it can be salvaged; however, it will need a new roof and extensive repairs to the interior to be habitable.

A vehicle, parked at the back of the residence at the time of the fire, was also set alight and was completely destroyed. Luckily, there were no injuries resulting from the blaze.

"When we first arrived on the scene we were told there might be somebody in there, so we had a team go in and do a thorough search of the structure while it was still in flames, and they came out and said it was all clear," Fire Chief Bailey explained. "Once we had the fire under control, we went in and did a secondary search just to be sure, and it was all clear."

The Ontario Fire Marshal has been called in to investigate, and is being assisted by the UCCM Anishnaabe Police Service.

"We're investigating it, and we're at that point that we haven't made a determination yet based on the evidence that we've collected," Sergeant Rodney Nahwegahbow said. "The Fire Marshal has attended, and we're going through witness statements right now. We're far from finished yet."

Sergeant Nahwegahbow said the UCCM Police is taking the matter very seriously; however, there is no indication at this point how long the investigation will take.

The police does welcome input from the public and is encouraging anyone with information about the fire to contact Constable Still or Detective Constable McDonald at the UCCM Anishnaabe Police Service at 377-7135 or, to leave an anonymous tip, contact Crimestoppers at 1-800-222-TIPS (8477).

In the meantime, the community of Sheguiandah has rallied around the Aguonie family, who now finds themselves temporarily homeless, and is planning a fundraising dance for the evening of Saturday, November 21 at the Little Current Legion.

Future clinic dates postponed due to hitch in vaccine supply

by Lindsay Kelly

MANITOULIN-Clinics to distribute the H1N1 flu shot on Manitoulin have been postponed until further notice, following a nationwide shortage of the vaccine last week.

The Sudbury and District Health Unit (SDHU), which was to host two clinics on Manitoulin next week for the high-priority group, has put clinics across the district on hold until more of the vaccine can be obtained.

"We would have had a clinic scheduled for Gore Bay, for Monday, November 16, and one for Tehkummah at the Triangle Club on Thursday, November 19, and for right now, they're postponed," SDHU communications officer Jamie Lamothe said on Friday.

There is no indication as to when those clinics may be rescheduled; however, Mr. Lamothe said that when they do resume, the clinics will continue to take place at those locations. "We're holding the locations and the times for now because we've already got them booked, and the return of the clinics is going to be based on the availability of the vaccine," he said.

The health unit is strongly encouraging people to check its website, www.sdhu.com, regularly to ensure that the scheduled clinics are still on track before venturing out to the clinics, since times and dates change regularly.

"A while back we had actually printed the entire clinic schedule for the first round in the different newspapers," Mr. Lamothe said, noting that people may still be referring to this actual schedule for clinic dates and times. "We want to make sure that people realize that those clinics are postponed, so that if they've got a schedule on the fridge or the corkboard at home, and they're thinking that that's where they've got to go, they should double-check before they go."

He suggested that people check back at the health unit's website regularly for the most up-to-date information on clinic schedules, as it will provide the most immediate, accurate information about confirmed clinics.

When the clinics do resume, they will likely still be catering to the at-risk priority groups targeted in the first round of H1N1 shots. Those people who qualify include people under 65 with chronic conditions, pregnant women, healthy children aged six months to under five years, people living in remote or isolated settings, health-care workers, and care providers who care for people at high risk who cannot be immunized.

"Right now, we're still talking first-round priority groups," Mr. Lamothe said. "If that changes, we'll definitely be communicating that to the community."

The cancellation of the community clinics excludes appointments that have already been made at the health unit's Mindemoya branch. If you already have an appointment to get your flu shot, they will be honoured; however, the health unit is advising people to call ahead to confirm. You can reach the Mindemoya office at 370-9200.

H1N1 vaccine shortages are being reported across the country, with demand outweighing supply, following a rush to clinics over the last few weeks. The government's response to the shortage has drawn the ire of Algoma-Manitoulin-Kapuskasing MP Carol Hughes, who voiced her concerns during a debate last week in the House of Commons.

"With the recent high profile deaths of young, seemingly healthy Canadians, the government should have known that there would be a surge in people trying to get vaccination shots," Ms. Hughes said during the debate. "It seems that one solution would be to make more money available to get more vaccination clinics up and running."

Ms. Hughes is a member of the Standing Committee on Health currently studying the H1N1 vaccine rollout; she suggested that additional medical staff would also help to alleviate the problem.

"There are people we could call on to help with the effort," she said. "Retired nurses are perfectly capable of giving a needle. We have to start thinking a little more creatively to find solutions that will get the public immunized quickly and reduce some of the anxiety we are seeing."

However, in a press conference last Wednesday, Prime Minister Stephen Harper made assurances that 1.8 million additional doses of the vaccine would be available this week, suggesting that Canada's rollout of the vaccine was amongst the fastest in the world.

This comes as a report by the World Health Organization (WHO) deems the vaccine safe, and no unusual side-effects have been seen so far, said Dr. Keiji Fukuda, the WHO's flu expert, during a virtual press conference from Geneva last Friday.

"We now have good evidence based on many people receiving the vaccines, that we have no picture of unusual side effects emerging and that the side effects which are expected, such as a painful injection site or swelling in the injection site, these are occurring at rates which are expected and usually seen with seasonal influenza virus," he said. "So the picture right now looks quite good in terms of the safety."

Dr. Fukuda praised the stage-by-stage rollout of the H1N1 shot, urging people to respect the process to avoid stress and panic at the clinics.

The health unit is also encouraging people to continue to use the online self-assessment tool, which is available at www.health.gov.on.ca, or to call Telehealth Ontario at 1-866-797-0000 (TTY: 1-866-797-0007) for more information.

EDITORIAL

Waterfront hotel project deserves community support

New hotels seem to have a difficult time getting built in Little Current.

Over a quarter-century ago and before the Welcome Centre information booth was built near the swing bridge, two local entrepreneurs announced plans to build and operate a destination hotel in the general area that is currently being debated, although the land at that time was still the property of the Canadian Pacific Railway's Marathon realty division.

About four years later, a luxury resort hotel (from the description of the project offered at that time) was proposed by Burlington realtor Peter G. Lush in conjunction with the original concept for the condominium project near the Spider Bay Marina. At a public meeting held over 20 years ago, Mr. Lush explained that, once the condominium project was well under way, this would produce cash flow that would be directed towards construction of the luxury resort hotel. There was much local enthusiasm about the potential of such a hotel and the town council of the time, which sold Mr. Lush's company the municipally owned parkland required for the condominium project, was also prepared to sell his company the northeast corner of Low Island Park for the hotel, should that have gone ahead.

The recession of the early 1990s, however, intervened and eventually the Lush company resold the condominium lands to a local entrepreneur who has proceeded with this aspect of the project.

Five years ago, another hotel project, to be situated on the western part of the condominium lands, directly below the Manitoulin Centennial Manor and adjacent to the swimming beach at Low Island Park, was proposed with Aundeck Omni_Kaning First Nation taking the lead position.

Because the property had been rezoned from parkland to multi-residential use to accommodate the condominium project (should that project have gone ahead to the extent that it was originally envisioned and proposed) an application had to be made by the property's owner to the municipality for a zoning change to commercial use so that it would legally accommodate a hotel.

The council of the time narrowly declined the zoning change request although an ensuing appeal to the Ontario Municipal Board by the property owner did overturn the town's decision and allow the property to be zoned as commercial, but exclusively for a hotel development.

This hotel project also fell by the wayside and the property has recently been sold to other principals who plan other uses for it.

The last council (the one previous to the current group) did, however, issue a request for proposals (RFP) on the approximately two-acre property beside the welcome centre in consideration for a hotel. That council, together with the current one, considered two proposals that came to them, eventually rejecting both.

The current council reissued the RFP and the proposal submitted by the Great Spirit Circle Trail for a 65-room hotel is the one council chose to consider and brought to last week's meeting for public input.

That is the recent history of new hotel proposals for Little Current. Entrepreneurs keep on trying and, hopefully, a project will eventually come to fruition.

The property currently under consideration, and for which two successive councils have issued RFPs specifically to elicit proposals for new hotel projects, was earmarked for this eventual use by the council that was in power at the time the land between Sims Street and the swing bridge was purchased by the old Town of Little Current. The main concern at that time (1985-'86) was to provide a site for the welcome centre, after the Manitoulin Tourism Association had been successful in accessing funds to build a new gateway information building to serve all of Manitoulin Island. Farquhar Dairies purchased a portion of the property to build 3 Cows and a Cone and the "surplus" real estate is what is currently under consideration.

In fact, retired Little Current businessman Ed Laidley, mayor of the town at that time, stood up to reiterate this point-about the planned use of the surplus two-acre property-at last week's public meeting.

In general, the consensus among Little Current citizens seems to be that a new hotel is a wonderful idea. It's the location that is the issue.

In balance, though, if such a venture (that people claim they want to see come about) is to be successful, it must position itself, first and foremost, where it can best attract transient traffic-the people who are looking for a place to stay for one or two nights while exploring Manitoulin Island.

It's hard to imagine a better location for such a project than one that is located almost beside Manitoulin's swing bridge, beside the welcome centre information facility on Highway 6 and also on the North Channel with a fine view of the LaCloche Mountains as well as passing yacht traffic.

If we are going to be in favour of such a project being built in Little Current, which it seems most citizens are, then it is only right that we also support it being as successful as it possibly can be.

That boils down, for a new hotel in a region where tourism has a very short peak season, to the traditional real estate adage: location, location, location.

Over the past quarter-century, of the several hotel proposals that have been considered but none of which have so far seen the light of day, only two (the very first one and the one now under consideration) have chosen the property adjacent to the swing bridge as their ideal locations.

This is the only place in Little Current or elsewhere on Manitoulin (except for South Baymouth and the ferry docks and for the same reason) where there is a natural funneling of the flow of traffic both entering and leaving Manitoulin Island.

This is why the location presently under consideration by the Town of Northeastern Manitoulin and the Islands would lend itself to making any new hotel built there as successful as it could be anywhere on Manitoulin Island.

After 25 years of discussing a series of hotel proposals, it's finally time to encourage such a development and also to encourage it to be as successful and viable as it can possibly be. The concept of a new hotel appears to be popular. This current proposal is very likely the best opportunity the community will have to seeing shovels in the ground and, eventually, a completed project.

Letters to the Editor

Blended sales tax will affect the bottom line

Islanders urged to research effects of legislation

To the Expositor:

I have been reading much about the blended sales tax, so I called the Liberal representative in Elliot Lake to ask what effect the tax would have on me. I was told that unless I made over $160,000 a year I should be better off. I asked for a list of items-that I am not paying tax on now-that I would pay tax on after the tax came into effect, and his reply was, "I don't know." He was quick to tell me that books, children's shoes and clothing, diapers, car seats and car booster seats, and feminine hygiene products would be exempt. If these are the only services that are exempt, then I am sure that the blended tax will have a negative effect on my bottom line. In other words, this tax will cost me money. I would ask that all who read this letter call 1-800-831-1899, ask the questions I asked, and also ask for the single sales tax information kit so you can make your own calculation as to how this tax would affect your bottom line.

Mel Frederick

Kagawong