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Fed Hall Info Package
1. Federation Hall
Information Package for Council
May 2011
Friday, May 6, 2011
2. Timeline of Key Events
•
1984:
FEDS
takes
on
Fed
Hall
for
a
20
year
lease
at
a
cost
of
$1.5M
plus
interest
raised
through
a
student
fee
for
construcDon
•
January
2002:
Following
a
serious
fight
in
the
parking
lot
adjacent
to
Fed
Hall,
University
of
Waterloo
administraDon
closes
Fed
Hall
and
Bomber
despite
their
being
deemed
among
the
safest
bars
in
the
region
by
University
administraDon.
The
FederaDon
sues
the
University.
•
July
2003:
The
FederaDon
seRles
with
the
University
under
pressure
from
students
and
the
bars
are
reopened.
•
2004:
Original
lease
expires
aUer
20
years.
A
new,
6
year
lease
is
signed
with
unreasonable
withholding
of
the
lease
clause
removed.
•
2009:
AUer
several
losing
years,
Fed
Hall
becomes
an
in-‐the-‐black
revenue
generaDng
service
for
FEDS
•
Early
2010:
2004
lease
renewed
to
April
30,
2012
•
December
2010:
SpeculaDve
talk
of
the
university
seeking
interest
in
taking
over
the
operaDon
of
Fed
Hall
within
a
few
months
is
heard.
Issue
is
brought
to
the
aRenDon
of
FEDS’
Board
of
Directors
at
their
December
14,
2010
meeDng.
•
February/March
2011:
More
concrete
plans
begin
to
emerge
indicaDng
a
desire
for
the
operaDon
to
be
taken
aUer
the
latest
agreement
expires
on
April
30,
2012
•
March
25,
2011:
AUer
pressure
from
FEDS
VP
AF
Sarah
Cook,
a
formal
memorandum
is
issued
by
Bud
Walker
–
AP,
Students/
Director,
Business
OperaDons,
formally
indicaDng
the
university’s
desire
to
take
over
Fed
Hall
as
of
April
30,
2012
•
April
3,
2011:
President
Moggach
announces
the
intenDon
of
the
University
to
not
renew
the
lease
at
the
April
Students’
Council
meeDng.
Friday, May 6, 2011
3. Summary of key information related to Federation Hall - May 2011
Pub Operating Agreement - “Lease Agreement”
•
Expires
April
30,
2012.
The
agreement
will
conDnue
thereaUer
in
one
year
terms,
unless
either
party
(FedS
or
the
University)
gives
wriRen
noDce
at
least
90
days
before
the
end
of
the
agreement
that
it
does
not
wish
to
conDnue
the
agreement,
or
wishes
to
change
the
agreement.
o This
applies
to
both
end
the
agreement
or
to
make
changes
to
it
o If
both
parDes
agree
in
wriDng,
the
agreement
may
be
terminated
at
any
Dme
without
noDce
o The
university’s
Board
of
Governors
or
the
FedS
Board
of
Directors
may
terminate
the
agreement
within
60
days
wriRen
noDce
•
Campus
Bar
OperaDons
(oversight
of
both
Fed
Hall
and
Bomber,
both
of
which
are
included
in
the
agreement)
is
overseen
by
a
university
representaDve
–
currently
the
Head
of
Food
Services
and
the
VPAF
•
The
Fed
Hall
building
and
the
property
it
sits
on
is
the
property
of
the
University
of
Waterloo
•
The
university
may
not
be
involved
in
the
programming
at
Fed
Hall,
except
for
cases
where
the
law,
the
university’s
reputaDon
or
policies
&
procedures
are
brought
in
to
quesDon,
in
which
case
they
may
intervene
•
Agreement
may
be
amended
as
long
as
both
parDes
give
wriRen
consent
•
The
university
has
stated
that
they
will
amend
the
agreement,
to
remove
FederaDon
Hall
(to
terminate
the
agreement)
•
The
original
agreement
(1984)
stated
that
renewal
would
not
be
unreasonably
withheld
(meaning
as
long
as
the
FedS
was
not
in
breach
or
violaDon
of
any
part
of
the
agreement,
the
university
would
conDnue
to
renew
the
lease).
This
clause
was
removed
in
the
most
recent
contracts.
•
The
university
has
given
noDce
that
it
wishes
to
terminate
the
agreement.
This
would
also
terminate
the
agreement
related
to
Bomber,
but
the
University
has
expressed
an
interest
for
the
FederaDon
to
conDnue
control
of
Bomber.
TerminaDon
of
the
agreement
would
necessitate
a
new
agreement
specifically
related
to
the
Bombshelter
premises
Friday, May 6, 2011
4. Fed Hall Usage Statistics
Fed Hall Sales May 1, 2009 - April 30, 2010 8%
UW Student
Weddings High Schools RIM Other
17% UW Student Events
Events Weddings
# of Events 53 11 13 17 8 102
52% High Schools
RIM*
13% Other*
% of Total
Revenue
44.89% 16.43% 13.54% 10.53% 14.60% 100%
11%
% of Total
51.96% 10.78% 12.75% 16.67% 7.84% 100%
Events
Fed Hall Sales May 1, 2010 - April 30, 2011
UW Student
Weddings High Schools RIM Other 10%
Events
# of Events 57 18 12 21 12 120 18% UW Student Events
48% Weddings
% of Total
38.58% 25.56% 9.97% 9.49% 15.40% 100% High Schools
Revenue
10% RIM*
% of Total Other*
Events
47.50% 15.00% 10.0% 17.50% 10.0% 100%
15%
Fed Hall Sales Sept. 1, 2009 - Aug. 31, 2010
UW Student
Events
Weddings High Schools RIM Other 11%
# of Events 56 24 12 19 14 125 15% UW Student Events
45% Weddings
% of Total High Schools
Revenue
32.60% 31.01% 10.16% 8.36% 17.88% 100%
10% RIM*
Other*
% of Total
Events
44.80% 19.20% 9.60% 15.20% 11.20% 100%
19%
Friday, May 6, 2011
5. Fed Hall Usage Statistics Continued
Student Calendar Years 2006-2011
Year UW Student Events Total Events %’ge of Student Events
Sept ’06- March ’07 27 48 56.25%
Sept ’07- March ’08 31 54 54.41%
Sept ’08- March ’09 39 52 75.00%
Sept ’09- March ’10 48 82 58.54%
Sept ’10- March ’11 55 97 56.70%
100
75 Student
Total
50
25
0
‘06-’07 ‘07-’08 ‘08-’09 ‘09-’10 ‘10-’11
Friday, May 6, 2011
6. Potential Implications for Accessibility of Fed Hall to Students
Fed
Hall
Fund
–
With
the
university
taking
over
Fed
Hall,
the
existence
of
the
Fed
Hall
fund
will
be
quesDonable.
The
fund
as
it
stands
keeps
students
money
within
our
organizaDon.
Profits,
made
from
outside
clients
also
contribute
back
to
the
fund.
This
keeps
the
rental
of
Fed
Hall
affordable
to
all
of
our
clubs,
services
and
socieDes
to
hold
an
event
of
any
size.
Keeping
money
within
our
organizaDon
allows
our
dollar
to
go
a
lot
further
versus
the
FedS
subsidizing
outside
venues.
Capacity
–If
the
University
were
to
reallocate
the
use
of
the
balcony
for
other
operaDons
such
as
Office
space,
it
would
significantly
reduce
se
the
standing
capacity
of
Fed
Hall,
making
it
more
difficult
for
student
groups
to
have
large
on
campus
events.
The
eliminaDon
of
the
balcony
level
will
also
create
a
problem
for
all-‐ages
events.
With
an
easily
controllable
all
ages
secDon
such
as
the
balcony
level,
we
can
offer
split
license
events.
Without
this,
a
student
group
will
only
be
allowed
to
book
either;
a)
All
age’s
events
with
NO
alcohol
at
all
OR
b)
19+
Events
with
Alcohol.
The
opDon
of
having
an
all
age’s
event
with
a
19+
secDon
serving
alcohol
would
be
out
of
quesDon
with
no
space
for
a
19+
secDon
in
Fed
Hall.
Staff-‐
Current
FederaDon
Hall
staff
both
full
Dme
and
part
Dme
students
are
at
significant
risk
of
losing
their
employment.
AddiDonally,
a
third
party
security
company
would
have
to
be
hired
for
student
events.
Currently
Fed
Hall
uses
the
Bombshelter
security
and
door
staff
as
security
personnel
for
their
events.
The
sharing
of
security
personnel
is
more
pracDcal
and
efficient
in
many
ways.
As
the
university
has
no
staff
on
their
hands
for
larger
scale
events,
the
cost
of
security
(whether
needing
to
hire
police
officers
or
mall
cops)
will
see
increased
cost
to
students
for
building
use.
Liquor
Policy-‐
As
it
stands;
the
FederaDon
of
Students
does
not
have
a
minimum
bar
sales
policy
for
any
of
our
venues
that
serve
liquor.
Based
on
UW
Catering’s
bar
policy,
when
booking
an
event,
the
group
booking
the
event
is
responsible
to
meet
a
set
quota
in
liquor
sales
as
outlined
in
the
booking
contract.
If
the
quota
is
not
met,
the
group
is
required
to
pay
the
FULL
amount
of
the
minimum
bar
sales.
This
can
hurt
student
groups
that,
for
example,
end
up
with
low
aRendance
events.
This
may
encourage
student
groups
to
buy
out
the
bar
to
meet
the
minimum
sales,
encouraging
unsafe
and
uncontrolled
drinking.
This
may
also
moDvate
student
organizers
to
promote
drinking
to
their
aRendees
so
they
can
meet
the
minimum
liquor
sales,
which
is
something
that
the
FederaDon
of
Students
does
not
support.
Costs-‐
In
addiDon
to
the
costs
outlined
above,
it
should
be
noted
that
FedS
has
consistently
been
keeping
costs
low
by
having
significantly
lower
margins
on
food,
liquor,
and
equipment.
Student
groups
looking
to
access
the
building
are
likely
to
incur
significantly
more
cost
as
a
result
of
higher
costs
of
actually
running
events
outside
of
the
rental
fee.
Safety
-‐
If
Fed
Hall
were
to
become
less
accessible
to
students
there
is
a
concern
with
students
having
to
travel
off
campus
to
host
events.
There
is
an
inherent
risk
to
the
safety
of
students
by
hosDng
large
events
off-‐campus.
Friday, May 6, 2011