City hall has Kempenfest’s back.
Barrie council decided Wednesday night to back the prime waterfront festival for as much as $72,000 this year.
This money is a combination of funding for the annual event, paying for a review to help make Kempenfest self-sustaining and the normal in-kind city services.
Coun. Craig Nixon, who represents this area, said he considers the money a good investment.
“The Kempenfest weekend is one of the busiest weekends of the year, which results in millions of dollars being added to the local economy,” he said. “Yes, a large percentage is being spent in the downtown core, but hotels, restaurants and retail stores throughout the city also experience a surge in business that weekend.”
The Kempenfest board will seek fundraising sponsorship to support its $15,000 request for shuttle bus service and $10,000 for the family side stage. Should the board be unsuccessful, however, as much as $25,000 would be allocated from the city’s tourism reserve to foot these bills.
An estimated 6,108 passengers boarded the shuttle bus during the 2023 Kempenfest weekend, consistent with ridership in 2022.
Kempenfest officials will come before city councillors to provide an update on their fundraising sponsorship before the end of June.
The tourism reserve will also be tapped for as much as $25,000 to retain a consultant to support city staff, Tourism Barrie and Kempenfest officials in assessing the overall economic impact of the festival, along with a financial and governance review to help improve Kempenfest’s operational and financial sustainability.
Kempenfest has a $600,000 operating budget this year.
The study is to include attendance numbers, overnight stays, visitor profiles, buying habits and visitor feedback.
City staff will report back on the findings of the economic impact analysis and overall event review, then provide recommendations on the future support of Kempenfest.
The goal is to create a self-sufficient Kempenfest in 2025, and beyond.
The city will also continue its in-kind support for Kempenfest this year, at the same level as previous years, including direct staff support, site services co-ordination, administrative support and parking passes, all valued at approximately $22,000.
“There are always factors beyond their control such as weather, which can quickly determine the financial outcome (of Kempenfest),” Nixon said. “Council’s assistance is in the form ‘if needed’ assistance in the event of a deficit.”
Earlier this year, councillors heard from Kempenfest officials that the festival was facing a $50,000 shortfall.
Bob Stones, Kempenfest chairman, told councillors that while the arts and crafts festival attracts roughly 150,000 people on the Civic Holiday weekend, its finances have been a challenge. And he said the provincial government grants that helped balance the books after COVID have dried up.
In 2022 Kempenfest received $440,000 in grants, but zero in 2023, according to city staff.
Stones asked councillors to consider granting Kempenfest $50,000 from the municipal accommodations tax (MAT) and hiring a researcher to do a comprehensive analysis of Kempenfest 2024, gathering data on its true size and impact on the local economy and to local tourism.
Stones said at the time that Kempenfest officials had other ways to find the $50,000 shortfall, if necessary.
This could involve eliminating the shuttle bus service, which is $15,000, as well as the second or family stage, which features local talent and is free to the public, but costs at least $10,000.
Other options were reducing the number of hospitality tents and seating in those tents, which are placed throughout Kempenfest to provide shelter to the public from weather, look at reducing the number of washrooms, and find ways to reduce the event’s waste disposal costs.
Kempenfest has taken place along Barrie’s waterfront annually for 52 years and features nearly 300 arts and crafts exhibitors, a midway, children’s village, antiques, face painters, buskers, food vendors and live music during three days on the August long weekend.
Kempenfest is an incorporated not-for-profit organization, comprising representatives of local not-for-profit organizations and service clubs.