07-12-2012 ICE MIN MEETING OF THE ELK RIVER
ICE ARENA COMMISSION
HELD AT CITY HALL July 12th , 2012 6:30pm
Members Present: Chair Martin, Vice Chair Johnson, Commissioners, Cunningham,
Nziolek
Members Absent: Commissioner Gumphrey
Staff Present: Arena Manager Rich Czech, Arena Assistant Laura Estby, Parks
and Recreation Director Mike Hecker
1. Call Meeting to Order
Pursuant to due call and notice thereof, the meeting of the Elk River Ice
Arena Commission was called to order at 6:38 p.m. by Chair Martin.
2. Consider 7/12/12 Special Ice Arena Commission Agenda
MOTIONED BY VICE CHAIR JOHNSON AND SECONDED BY
COMMISSIONER CUNNINGHAM TO APPROVE THE JULY 12TH,
2012 ICE ARENA COMMISSION AGENDA. MOTION CARRIED 4-0.
3. Renovation for Arena
Arena Manager Rich Czech states that Tom Betti of the 292 group has
incorporated the 4 options for action with regards to the arena renovation.
Option one is to do nothing, Option 2 is to do a patch job, and Options 3 & 4
address more(if not all) of the major repairs in addition to covering more of
the long term needs that will are included in our CIP for the next 10 years.
The refrigeration, R—22, that both ice plants use at the Arena will be phased
out of production by the year 2020 by the Montreal Protocol. The Arena's
Mechanical experts and engineers have strongly recommended that the ice
plants should be scheduled to be replaced as soon as possible with an
alternative refrigeration that will not be be effected by the phase-out of any of
the HCFC's.
Czech notes that we need to keep the future of the arena in mind with
anything that we suggest to the Council, including dehumidification, the
building structure, the addition of meeting rooms, etc. The 10 year capital
outlay plan, which was put together for a previous meeting outlines $4.6
million in upgrades that will need to be done that will still not address the
space issues.
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City Councilmember Matt Westgaard states that in looking at the options, if
option 2 is put through, we will be revisiting several issues again in 3 years.
He notes that the arena should be a facility with a 40 year lifespan. If Option 1
or 2 are approved the City will be spending $4.6 in capital outlay over the next
10 years. He suggests adding the CIP projects to the spreadsheet put together
by the 292 group, so that the council can see,that whichever Option they
choose, will effect the capital outlay for the next 10 years as many of the
issues on the CIP would be covered by option 3 or 4 and not by 1 or 2. He also
suggests revisiting the idea of a corporate sponsor, which was suggested in
2007 when the renovation was first discussed.
Vice Chair Johnson notes that it was Jerry(Gumphrey-City Council Member)
who had the contact with the potentially interested corporation.
Arena Manager Czech believes that the potential sponsorship was for
$250,000.
Chair Dale Martin suggests having a breakfast for potential donors.
Vice Chair Johnson believes we should stand behind option 3 or 4.
Danny Lutz, Elk River Resident, says that he only heard about the possible
renovation from Elk River Figure Skating Club President DeAnn Givens.
Elk River Figure Skating Club President DeAnn Givens notes that Youth
Hockey had discussed doing an online poll months ago for it's members to see
what they thought of the project and/or a possible raise in rates to help fund it,
and it hasn't happened.
Danny Lutz comments that he believes most of the Youth Hockey families do
not know about the project.
Chair Dale Martin notes that he has presented the information to the Youth
Hockey board three times.
City Council Member Matt Westgaard suggests having the 292 group at Elk
River Youth Hockey's registration, and stresses the need to know that our
major user groups will not go else where if we make a major renovation.
Arena Manager Rich Czech notes that he has talked to Youth Hockey in the
past and they have been wishy-washy about committing- yet they ask about
extra ice, so he wonders if a third sheet should be discussed?
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Chair Dale Martin states we can broach the subject of a 3`d sheet. but we really
need Elk River Youth hockey to step up.
Councilmember Westgaard speculates if Youth Hockey would commit to
buying more ice.
Elk River Figure Skating Club President DeAnn Givens inquires about the
commitment package that was presented to Youth Hockey.
Chair Dale Martin states it was between $25,000-$45,000 per year, and the
cost was broken down by the number of skaters, and it translated to an
additional $50-$75 per skater. These changes would include meeting rooms
and possibly training facilities. He also notes that if we do not get funding
from our usergroups, the hourly rate may have to increase. Martin also notes
that when he has attended Youth Hockey's board meetings, their main focus is
to get more skaters into their program.
Councilmember Westgaard notes that a$25,000/year commitment would
translate to 166 hours at the current rate, which they could come up with by
having some training in September and an end of the season tournament.
Arena Manager Rich Czech states that over the past 8 years we have had and
continue to have a high level of ice sales. Between September-March 98% of
our ice is booked, and we have had a lukewarm response to adding a third
sheet. He agrees that a financial commitment would have to be in place. He
also discusses the possibility of putting in turf instead of having the spring
craft show for Lacrosse or other spring sports?
Councilmember Westgaard notes that during wet springs there is a lot of
competition for indoor space.
Commissioner Cunningham(School District Rep) notes that it would have to
go through the school board on a contingence, like they do with the golf
course. He also states that if option 3 or 4 passed, it would cover many of the
issues that are on our 10 year CIP plan.
Elk River Parks and Recreation Director Michael Hecker states that he
believes youth football, softball and baseball would be interested as well, and
notes that the Maple Grove dome receives between$500,000-$750,000 in
revenue.
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Commissioner Cunningham notes the football field could be"bubbled", and
that indoor turf rates are $200/hour, but it costs approximately $950,000-
$1.2M to build turf.
Arena Manager Czech states that he has discussed the possibility of a dome
with Bezek and if we decide to move towards a bubble and include it with the
arena renovation, it would involve a lot of working out between the arena
commission,the school district and the City Council.
Commissioner Cunningham states the earliest that turf would be able to go in
would be next summer, and that the school district has other schools to
consider when it comes to large projects.
Commissioner Nziolek notes that historically it has been very difficult to get
the groups together.
Parks and Rec Director Michael Hecker notes that he believes Zimmerman
and Rogers are looking to get auditoriums as well.
Commissioner Cunningham states the school district needs to get through the
levy first. If that happens in November, then he is willing to go to the board to
discuss the arena project.
Councilmember Westgaard notes that no entity would be able to run a large
venue on their own, and there are definite benefits if we all work together.
Figure Skating Club President DeAnn Givens states that she feels having a
presence at the Youth Hockey registration including a survey would be
helpful. If parents could see what they could get in an improved facility,just
for the cost of a hockey stick, we might be able to get them on board. It is
also a good way for us to solicit some feedback.
Chair Martin inquires if many families come to registration or if they only do
it online?
Givens states that many do register online,but that everyone has to come in
person as well.
Commissioner Cunningham notes that most people will want to know what
the property tax implications are.
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Arena Manager Czech states that Finance Director Tim Simon already figured
the costs out on a spreadsheet at an earlier meeting. He also notes that since
the arena is paid off, some of the CIP will be absorbed when the arena turns a
profit at the end of the year. He also inquires to the Commission what we
should present to the council.
Figure Skating Club President DeAnn Givens suggests looking at the tax
implications between project options 3 &4.
Councilmember Westgaard also notes that plan 4 included a proshop, which
would have an annual revenue, as well as revenue brought in from football
storage.
Arena Manager Czech notes that Hat Trick or Champlin Sports could be
possibilities for the Pro Shop.
Commissioner Cunningham notes that Hat Trick is also in the Anoka Arena,
and that they contributed to the construction costs.
Councilmember Westgaard inquires about adding more bleachers so that we
could host tournaments and/or playoff games? He also suggests doing
everything at once, and not in parts.
Arena Manager Czech discusses the possibility of having curling, and if that
would work,having alcohol for sale at the arena- which he notes would need a
blessing from the School District.
Councilmember Westgaard notes that the City Ordinances would have to be
consulted.
Danny Lutz, City of Elk River Resident inquires about where the funding
would come from for a renovation.
Councilmember Westgaard notes it depends on bond rates and budget
balancing, and also which options the user groups support. He also states the
City may be able to help usergroups with financial support.
Lutz discusses the idea of donations.
Arena Manager Czech agrees to add the CIP items to the 292 spreadsheet and
present it to the council at the meeting in August. He notes the council will
also want to know about the usergroups.
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Commissioner Cunningham notes that it is above him as to whether the school
district would be able to commit to any projects, but he believes that many
fear the rates would increase.
Councilmember Westgaard suggests a promise to the usergroups, if they
support the project up front,that we cap rates or promise to only increase by a
small amount?
Arena Manager Czech agrees by noting we cannot outprice ourselves, and
suggests no more than a 2%/year increase with up front commitment? He also
suggests tying it in with the consumer price index?
Chair Martin suggests adding the CIP projects to the spreadsheet as well as
upfront commitments that are already in hand to help show the council what
the costs will be.
Vice Chair Johnson suggests changing the wording in option 1, as he believes
stating the"useful life"of the barn as 9-11 years may lead the council to
believe that we can wait to make changes.
Arena Manager Czech agrees to meet with the Youth Hockey board to let
them know where the commission stands and to inform them of the
presentation by the 292 group at their registration.
Chair Martin suggests including donation options at the presentation as well.
Czech suggests volunteer commitments as opposed to financial ones? Or
possibly a"buy a brick"option for fundraising?
Martin suggests pursuing corporate sponsors, or possibly the rotary or
Chamber of Commerce?
Councilmember Westgaard states donors could give money to the non profits,
such as the figure skating or blue line club, (which would make it tax
deductible) and those groups in turn could donate the money to the project.
MOTION BY VICE CHAIR JOHNSON AND SECONDED BY
COMMISIONER CUNNNINGHAM TO PRESENT OPTION 4 TO THE
COUNCIL AS THE ARENA COMMISSIONS PREFERRED OPTION.
MOTION PASSES 4-0.
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4. Change in Membership of Arena Commission
Chair Martin notes that Mark Malzahn and Dave Foss are no longer the reps
for Youth Hockey. In the past, there has been a lot of discussion regarding the
removal of one youth,hockey representative and the addition of a rep from the
Elk River Figure Skating Club.
Vice Chair Johnson states the Figure Skating Club has consistently had a
strong representation at the Commission meetings, even though they do not
have a vote, and have always been eager to offer support with projects.
MOTION BY COMMISSIONER CUNNINGHAM AND SECONDED
BY COMMISSIONER NZIOLEK TO REMOVE ONE YOUTH
HOCKEY REPRESENTATIVE FROM THE COMMISSION AND
REPLACE IT WITH A REP FROM THE ELK RIVER FIGURE
SKATING CLUB. MOTION PASSES 4-0.
Councilmember Westgaard requests that the issue of season passes/player
passes be added to the August Arena Commission agenda.
Commissioner Cunningham notes that the girls hockey games did not bring in
enough revenue to cover the school districts commitment to the arena this past
season.
s. Adjournment
MOTION BY VICE CHAIR JOHNSON AND SECONDED BY
COMMISSIONER CUNNINGHAM TO ADJOURN THE MEETING.
MOTION PASSES 4-0 AT 8:07PM.
Minutes Prepared b . ra stby
c ✓-
Tina Allard, City Clerk
Dale Martin, Chair
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