February 13th, 2014

To all hockey parents within Eastern Ontario

On November 21st, 2013 the presidents of all associations within Hockey Eastern Ontario (HEO) boundaries were summoned to a meeting. HEO, previously known as ODHA, is the governing body of amateur hockey in our region and the sanctioned governing body for this area by Hockey Canada. HEO employs 5 fulltime people and is governed by a board of directors of approximately 20. At this meeting associations were told that HEO, facing a large self-imposed deficit, intended to raise the fees they charge each association it governs from $3.60 to $17.00 per player, effective the 2014-15 season. The main reasons given for the increase were: the need to fund their deficit and the need to finance an upcoming move of HEOs offices to a new location (a move planned by HEO despite knowing they had been in a deficit financing position for the past three years). When questioned if at least the move portion of the increase would be then removed for following years (since the move would be over and paid for) HEOs answer was no, the fees wouldnt be reduced in future years. Request for past accounting of how the HEO deficit was allowed to develop, and for a five-year prospective budget showing how HEO intended to spend this significant increase in fees were rebuffed. HEO simply refuses to consider any arrangements to lessen the negative impacts of this 300% increase in their fee. When asked if they were going to provide any new or additional services to justify maintaining the move portion, again there was no justification, details or prospective budgeting information as to how they would be spending these extra revenues. Indeed all requests for any spending details have been essentially ignored. On January 20th 2014, the HEO Finance committee voted to approve a slightly reduced increase (to $14 per player) again without providing any explanation or employing any of the proposed mitigating actions and no justification as to why the one-time office move expenses would be continuously recovered in future years fees without any additional provision of service or identified costs or proposed budget for their use.

It is simply impossible to justify this increase, especially based on the services currently received from HEO, and the poor fiscal governance they have demonstrated. The associations feel that this increase is too high, unwarranted and HEOs governance and fiscal prudence is quite frankly absurd. We are providing the original HEO presentation regarding the increase for your review and believe you will agree that there are major inconsistencies with HEOs accounting and financial governance. Unfortunately we are currently powerless to vote down this increase at the upcoming HEO Annual General Meeting this spring due to the voting structure of HEO that, in effect, prevents those associations that represent the majority of minor hockey players under HEOs governance from having any effective influence over HEOs actions. HEO is well aware this fact and indeed is relying on it so that that they need not consider or respond to the objections of the majority. Under HEOs voting rules every association has just one vote per every 500 players they have registered. But every junior competitive team gets between one and five votes per team (20-25 players). Therefore the junior competitive teams have a falsely created voting majority in the HEO governance structure. Basically this allows 20% of the HEO player base to make and push through decisions despite any objections from the 80% majority. This structure has long been a source of frustration for the majority, it has been used to keep the majority opinion at bay in the past, and its being used to do so again on this important matter. The time has come for the skewed HEO governance structure, and resulting lack of accountability in its financial actions and customer interactions to change. How can this be done? Ultimately HEO is funded by you, the hockey parents and players in our region, but HEO is really only accountable to Hockey Canada. So the associations are asking you to let Hockey Canada and HEO know how you feel about this fee increase and ask for change by sending the attached letter to the identified Hockey Canada representative. As associations we need to fight this increase and demand that HEO become accountable and answerable to the majority. Hockey is already a costly sport and increasing these fees will add an incredible financial strain to associations that they will be forced to pass on to its members. Should you have any questions or concerns please feel free to contact me.

Sincerely,

Daniel Danis OEMHA President

Please forward your e-mails to: Ron Thompson, President president@hockeyeasternontario.ca Hockey Canada skelly@hockeycanada.ca

Open Letter to Hockey Canada Re: Operation and governance shortcomings at Hockey Eastern Ontario (HEO)

To whom it may concern, As a member of good standing with Hockey Canada I request that Hockey Canada do the following in order to ensure minor hockey is kept affordable without compromising safety and to ensure there are checks and balances in place: 1. 2. 3. 4. 5. 6. 7. Stop HEO from being allowed to increase the fees without further investigation Review and investigate accounting practices of HEO Provide detailed proof of past audits Require HEO to provide details of what benefits the associations will receive for the increase. Require HEO to justify why the entire hike in fees is to remain in place for future years. Require HEO to change its member voting structure to a one player one vote Declare a non-confidence motion with regard to the HEO Board and have a new board elected under a one player one vote equal voting structure. 8. Examine the hierarchy and eliminate the imposition of operating conditions and unnecessary fees on associations without consultations 9. Require improvements and more transparency within the HEO structure 10. Meet with association presidents that are governed by HEO to discuss the above and work with them towards an equitable solution. Thank you