REAL requesting almost $6 million for 2024 budget

The Regina Exhibition Association Limited (REAL) is asking for a major increase in its operating budget.

The organization wants more than $5.876 million for its 2024 budget. That is more than five times as much as it’s been given over each of the three previous years. Executive council is expected to discuss the request on Wednesday.

In addition to the Queen City Ex, the organization operates the REAL District, which includes Mosaic Stadium, the Brandt Centre and more.

Last week, city council approved a decision to transfer responsibility for Tourism Regina, the city’s tourism board, away from REAL and back to the city.

The transfer followed an independent investigation into REAL’s failed “Experience Regina” rebrand.

In May, the city hired MNP, an independent accounting firm, to review REAL’s finances and operational structure as part of a decision to approve a $3.4-million debt restructure for the exhibition association.

According to MNP’s report, the majority of REAL’s activities do not achieve the requisite contribution margin (43.8 per cent) needed to break even operationally. It also said that REAL’s current business model doesn’t appear to be self-sufficient in the short or medium terms.

The report went on to say that REAL’s current business model forecasts operational losses in future years — and that if changes are not made to REAL’s cost structures or revenues, the city would need to explore “significant additional subsidy amounts or additional debt.”

REAL’s CEO Tim Reid and board chair Wayne Morsky are expected to appear as delegates at Wednesday’s discussions.