The Town of Banff is sole sourcing a six-year contract to the tune of more than $34 million to Banff Lake Louise Tourism to promote Banff National Park.
On Tuesday (Oct. 11), council directed administration to sole source the contract for destination marketing services, as the current one with BLLT is due to expire at the end of December this year.
Officials say the sole source contract meets multiple criteria under the New West Partnership Trade Agreement, noting the municipality can show only one organization can meet the contract requirements and it’s a non-profit organization.
“After input from legal counsel, it was identified that the Town could sole source the contract as it met multiple criteria under the agreement,” said Kelly Gibson, the Town of Banff’s corporate services manager.
“The Town has also had a strong relationship with Banff Lake Louise Tourism, as well a survey in 2015 that identified from the business community that there was value and support of this organization.”
That survey of Banff’s business sector was co-funded by the Town of Banff and BLLT, and found that 72 per cent of respondents indicated BLLT as good or excellent value to the member businesses.
Gibson said the survey acted as a way to gauge member satisfaction and value for money.
“Moving forward, the survey can be used as a baseline for future performance under the contract,” he said.
Another potential option, other than sole sourcing, was to go out to tender.
“We could go to tender on it, and that was discussed, but it’s difficult because this is a member-based organization, and those members are our taxpayers and businesses in the community,” Gibson said.
“With the lack of another member-based organization existing, and with the strong sense of value and support for this organization from our business community, it’s difficult to justify why we would go out to tender and go through that process.”
In addition to previous reporting requirements of audited financial statements, annual report and business plan, including a budget, new terms were negotiated as part of the new contract.
That includes a requirement the Town of Banff receive on a monthly basis, in open meetings, the number of available hotel rooms, daily accommodation occupancy and average daily rates.
Councillors said they welcomed that addition to the contract with BLLT, noting the data will help in the assessment of Banff’s economic prosperity and also assessment of municipal services.
Councillor Chip Olver said although sole sourcing for a contract is unusual for the Town of Banff, she believed it was appropriate in this circumstance.
She also thanked BLLT for sharing data on room availability numbers, occupancy and average daily rates.
“It’s really important for council to understand how our tourism industry is doing, and sharing this information allows us to do this,” she said.
“For years and years and years, I’ve been so envious of Whistler council and the information they have available to them. That can really influence their decision-making because they have a better understanding of the industry.”
