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08-02-2010 ICE MINMEETING OF THE ELK RIVER ICE ARENA COMMISSION HELD AT CITY OF ELK RIVER MONDAY, AUGUST 2ND, 2010 Members Present: Chair Martin, Vice Chair Johnson, Commissioners Foss, Gumphrey, Malzahn, Members Absent: Commissioner Barth Staff Present: Arena Manager Rich Czech, Arena Assistant Laura Estby Call Meetine to Order 2. 3. Pursuant to due call and notice thereof, the meeting of the Elk River Ice Arena Commission was called to order at 5:35 p.m. by Chair Martin. Consider 8/2/10 Ice Arena Commission Aeenda MOTION BY VICE CHAIR JOHNSON AND SECONDED BY COMMISSIONER FOSS TO APPROVE 8/2/10 COMMISSION AGENDA. MOTION CARRIED 5-0. Consider 4/13/10 Ice Arena Commission Minutes MOVED BY COMMISSIONER MALZAHN AND SECONDED BY VICE CHAIR JOHNSON TO APPROVE THE APRIL 13TH, 2010 ICE ARENA COMMISSION MINUTES. MOTION CARRIED 5-0. 4. Onen Mike No disscussion 5. Ice Rates Chair Dale Martin notes that it is Arena Manager Rich Czech's suggestion to raise the rates $6 to $176/hour for prime time ice. According to Czech's calculations, it would still keep the arena at the low end of the rates of comparable arenas. In addition the increase is in part due to some CIP projects that will need to be completed. Arena Manager Rich Czech reviews the budget spreadsheet and adds that if Elk River Youth Hockey returns the 70 hours that they purchased, but did not use last year, and we increase the rates, we will essentially break even. We also will have additional costs with the condenser in the barn, as well as a new electrical edger which will need to be purchased so that we are in compliance with the Minnesota Department of Health's air quality standards, which are in the process of being revised. The condenser vessels will be approximately $15,000 and the edger is approximately $6500. Czech also clarifies that prime time is noted as anytime between Gam-1 Opm on Saturdays, anytime after school is out on Mondays-Fridays during the school year, and after loam on Sundays. Lyle Slawson, Elk River Youth Hockey President (13419 212th Ave NW, Elk River) notes that the 70 hours that were purchased, but unused last year will be given back if the rates increase, and for the record, they are not in favor of a rate increase. Brian Ballenger, Mites Director of Elk River Youth Hockey (19639 Zane Court, Elk River) presents to the commission his own findings of comparable arena rates. He argues that $176/hour is above average, and suggests there should be alternative ways of making money. He notes that over the years, the rates have increased, but also have their purchased hours. He refers to Arena Manager Czech's finance figures and notes that admissions are down considerably. He states that from arevenue/expenditures standpoint, the arena is profitable. Ballenger also comments that ERYHA is willing to work with the arena, and the city to figure out ways to increase income, including helping in concessions. Paul Paige, Vice President of Elk River Youth Hockey(21061 Fresno St NW, Elk River) notes that they conducted a survey asking their members if the cost of hockey may driver them away from it. In 2009 8% of the people polled said yes, in 2010 that jumped to 15%. He also notes that when we are comparing ice arenas, we have to make sure we are comparing apples to apples as some arenas are newer, fancier, etc. Arena Manager Czech responds that he believes he is comparing apples to apples, as some of the arenas that were in Brian Ballenger's arena rates list are subsidized by gaming or the major renters also pay user fees, which brings their rates down. He also notes that a fancier lobby or newer locker rooms do not make for a better, safer or cleaner arena. Czech notes that he has received comments from coaches, players and referees that the quality of our ice makes it one of the best sheets they have skated on. Commissioner Gumphrey inquires to Youth Hockey how they would help the arena save money. Mites Director Ballenger notes that they would help get players for Breakaway and other summer camps. He also commented that they will present ideas at the Arena Commission January meeting. Elk River Youth Hockey President Lyle Slawson notes that they are willing to increase their required volunteer hours to help staff the concessions stand. He also states that if the ice rates stay at the current rate, that youth hockey would purchase the 70 unused hours in the spring of 2010 and would maintain their usage. Vice Chair Johnson notes that ERYHA was in charge of concessions in the past and had to return the responsibility due to staffing issues. Arena Manager Czech also notes that there could be liability involved as well, but perhaps volunteers for cleaning could be considered. Commissioner Gumphrey notes that they city has absorbed about Yz million dollars to keep the arena going. Commissioner Malzahn asks Youth Hockey for a commitment to buy the 70 hours if the rates to not increase. MOTION BY COMMISSIONER GUMPHREY TO KEEP THE RATES THE SAME AT $170/HR FOR ANOTHER YEAR. SECONDED BY COMMISSIONER FOSS. MOTION PASSED 5-0. (Gumphrey leaves at 6:20pm) ERYHA President Lyle Slawson commits to buying the 70 hours that were unused last year. Chair Martin notes that he is hesitant to have ERYHA help in concessions and states that all of the issues that were brought to the table are not new. 6. Banners Arena Manager Czech votes to table this discussion until November Chair Martin notes that we need to establish clear boundries as to who qualifies For a banner. Adjournment MOTION BY COMMISSIONER MALZAHN TO ADJOURN. SECONDED BY VICE CHAIR JOHNSON. MOTION CARRIED 4-0. 635pm Minutes Prepared by L ur stby ~ r Tina Allard City Clerk ~~ ~. Da a Martin, Chair