6.0. EDSR 02-14-1994 AGENDA ITEM NO. 6
DATE: February 14, 1994
• TO: Elk River Economic Development Authority
FROM: Jeff Gongoll, Chair
Elk River Ice Arena Task Force
SUBJECT: REQUEST TO AUTHORIZE FEASIBILITY STUDY
I. PURPOSE
This memo will provide an update of the activities surrounding
the planning and programming of a new municipal multi-purpose
recreational facility, and request authorization to perform a
feasibility study to advance realization of the facility by the
end of the year.
II. MEETINGS HELD
Over the past month, the following meetings have been held with
the pertinent entities:
• January 11, 1994: School Board
- Discussion of concept and proposed site next to current
arena. Issue referred to Land Committee for review and
• recommendation.
• January 17, 1994: City Council
- At the CIP workshop, the concept and proposal was
discussed. Consensus was to have the EDA become the
responsible municipal authority for the management and
operation of this type of facility.
• January 18, 1994: Elk River Youth Hockey Association
- Discussion of the progress of the proposed facility and
the need to provide support for its completion. The
association voted to initially support the facility by
ensuring liability for the feasibility study if it
results in a negative recommendation (motion attached) .
• January 31, 1994: Joint Meeting of the City Council &
School Board
- General consensus reached as to the need and desire to
establish this facility. School Board voted to deed
the land to the proper municipal entity (EDA or City)
pending results of the feasibility study.
• February 1, 1994: Elk River Utilities Commission
- Discussion and consensus of the proposed facility and
the need to provide assistance toward the operation of
• the facility over a 5 year period.
Also, a more detailed cost analysis of the proposed facility was
• performed by the Task Force. This has resulted in an estimated
preliminary budget of $2.5 million, or $46 p.s.f. , a figure that
is very favorable and helps make the facility a profit center
based upon the projected user fees that can be achieved from the
new facility.
III. NEXT STEPS
• February 14, 1994: Economic Development Authority_
Request to fund a feasibility study of the proposed
municipal facility.
• February 11, 1994: Blue Line Club Dance Fundraiser
Beginning of local groups' fundraising activities to
support the establishment of the facility.
- Plan revenue bond timetable.
• March 1994: Blue Line Club/ERYHA Dinner
- A "kick-off" dinner to advance support for the
completion of the facility and establish the
fundraising efforts to be performed. Such efforts
could include: materials/equipment donations, selling
portions of the new ice sheet, sales of food and/or
clothing, etc.
• April 1994:
• - Completion of feasibility study.
Advertisement of revenue bond issue.
- Begin preliminary plan & design of facility.
- Select Construction Management firm.
• June 1994:
- Bid the project & begin construction.
- Establish and organize Arena Commission.
• December 1994:
- Open facility.
IV. SUMMARY
Our efforts are directly related to the needs of the community
with a prevailing goal of providing superior self-supporting
facilities to place us in the position of effectively meeting our
future needs. With the additional interest from surrounding
communities to use this facility, and an overriding mandate from
the Twin Cities Suburban Conference to move all "home" games to
a larger facility, our efforts are proving to be timely and
achievable.
The past few weeks have provided the proper forum to discuss,
plan and agree on the actions necessary for the successful
• completion of this facility. We look forward to continuing this
cooperative and productive effort to achieve our goal.
•
ACTION REQUESTED
That the EDA support and authorize a feasibility study to be
performed for purposes of determining the practicality of
constructing the planned multi-purpose recreational facility, and
that such feasibility study be paid by the EDA in an amount up to
$15,000.
A:UceArena.3
•
ICE SHEET FINANCING ANALYSIS/2,500,000 BONDS PAGE a.
USING REVENUE&EXPENSES TOP HALF PAGE 2(BUDG9404) 2/9/94
BONDPMT2
• HIGHER ICE RENTAL FEES ATTACHMENT B PAGE 2
FISCAL DEBT INT.@ TOTAL OVER OTHER OVER
YEAR BAL. PRINC 6% P&I *REV. `EXP. (UNDER) INCOME (UNDER)
6/1 - 5/31 NOTE 1
1994-95 2500000 25000 25000 311218 204000 82218 15000 97218
1995-96 2500000 90000 150000 240000 461424 212160 9264 15000 24264
1996-97 2410000 95000 144600 239600 464134 220646 3888 15000 18888
1997-98 2315000 100000 138900 238900 483896 229472 15524 15000 30524
1998-99 2215000 105000 132900 237900 486263 238651 9712 15000 24712
1999-00 2110000 110000 126600 236600 504414 248197 19617 15000 34617
2000-01 2000000 115000 120000 235000 508724 258125 15599 15000 30599
2001-02 1885000 120000 113100 233100 520327 268552 18675 15000 33675
2002-03 1765000 125000 105900 230900 525086 277974 16212 15000 31212
2003-04 1640000 130000 98400 228400 529845 287773 13672 15000 28672
2004-05 1510000 135000 90600 225600 529845 297964 6281 15000 21281
2005-06 1375000 140000 82500 222500 547320 308562 16258 15000 31258
2006-07 1235000 145000 74100 219100 547320 319585 8635 15000 23635
2007-08 1090000 150000 65400 215400 552079 331585 5094 15000 20094
2008-09 940000 155000 56400 211400 556837 342970 2467 15000 17467
2009-10 785000 155000 47100 202100 556837 342970 11767 15000 26767
2010-11 630000 155000 37800 192800 556837 342970 21067 15000 36067
2011-12 475000 155000 28500 183500 556837 342970 30367 15000 45367
1012-13 320000 160000 19200 179200 556837 342970 34667 15000 49667
2013-14 160000 160000 9600 169600 556837 342970 44267 15000 59267
2500000 1641600 4141600
NOTE 1: OTHER INCOME COULD BE FUNDRAISING, RESERVED SEATING, PLEDGES
FROM INDIVIDUALS OR BUSINESS. THIS IS NOT INCLUDED IN OVER/UNDER.
•
' ICE SHEET FINANCING ANALYSIS/2,500,000 BONDS
USING REVENUE&EXPENSES BOTTOM HALF PAGE 2(BUDG9404)
LOWER ICE RENTAL FEES ATTACHMENT C PAGE 2
FISCAL DEBT INT.@ TOTAL OVER OTHER OVER
YEAR BAL. PRINC 6% P&I *REV. *EXP. (UNDER) INCOME (UNDER)
6/1 -5/31 NOTE 1
1994-95 2500000 25000 25000 298942 204000 69942 15000 84942
1995-96 2500000 90000 150000 240000 440964 212160 -11196 15000 3804
1996-97 2410000 95000 144600 239600 454616 220646 -5630 15000 9370
1997-98 2315000 100000 138900 238900 463436 229472 -4936 15000 10064
1998-99 2215000 105000 132900 237900 465803 238651 -10748 15000 4252
1999-00 2110000 110000 126600 236600 473012 248197 -11785 15000 3215
2000-01 2000000 120000 120000 240000 488264 258125 -9861 15000 5139
2001-02 1880000 125000 112800 237800 488925 268552 -17427 15000 -2427
2002-03 1755000 125000 105300 230300 493684 277974 -14590 15000 410
2003-04 1630000 125000 97800 222800 493684 287773 -16889 15000 -1889
2004-05 1505000 130000 90300 220300 504626 297964 -13638 15000 1362
2005-06 1375000 135000 82500 217500 511159 308562 -14903 15000 97
2006-07 1240000 135000 74400 209400 511159 319585 -17826 15000 -2826
2007-08 1105000 140000 66300 206300 511159 331048 -26189 15000 -11189
2008-09 965000 145000 57900 202900 526860 342970 -19010 15000 -4010
2009-10 820000 150000 49200 199200 526860 342970 -15310 15000 -310
2010-11 670000 155000 40200 195200 526860 342970 -11310 15000 3690
2011-12 515000 160000 30900 190900 526860 342970 -7010 15000 7990
1012-13 355000 175000 21300 196300 526860 342970 -12410 15000 2590
2013-14 180000 180000 10800 190800 526860 342970 -6910 15000 8090
2500000 1652700 4152700
•
NOTE 1: OTHER INCOME COULD BE FUNDRAISING, RESERVED SEATING, PLEDGES
FROM INDIVIDUALS OR BUSINESS. THIS IS NOT INCLUDED IN OVER/UNDER.
Page 1
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E.R.Y.H.A. Minutes
• Tuesday January 18, 1994
Meeting was called to order at 7:00 pm by Don Crook. Officers and or representatives attending meeting;
Kent Madsen, Dale Martin, Joe Whalen,Tony Sarsland, Dan Heasley, Dave Taus, Rich Czech, Mark Morris
and Mike Bodine. There were 8 non-board members present.
Minutes from the Tuesday December 21, 1993 board meeting were read and approved.
Dale Martin (Treasurer):
Current financial statement through 01/17/94 distributed and discussed. Items of discussion
included the cost of security at the ER vs Bloomington Jefferson High School game. ERYHA has
been charged for 8 security officers. Not all officers were in the arena. Some were used to patrol
the parking lot because of the hockey and basketball game going on at the same time. Tony
Sarsland indicated that ERYHA should split cost with ISD 728 for the parking lot security.
The current budget indicates that at the end of May 1994 there should be a cash balance of
approximately$18,000.00. With the impending summer months expenses, it is anticipated that we
will have a cash deficit of approximately$8,000.00. ERYHA savings account will be used to cover
the deficit.
Mark Moms (Registration):
Bill collections are up to date.
Tony Sarsland (Athletic Director):
• It should be noted that ER High School could have made more money on the Bloomington
Jefferson, Hill Murray and White Bear Lake games had the school opted to play at a larger facility.
It was a good gesture by ISD 728 to hold the games at ERYH arena.
Allegations concerning A-Bantam coaching staff; Persons who continue to pursue the allegations
and accusations should be asked to leave ERYHA.
Brief discussion from the floor included:
* Providing funds for legal defense of coaches.
* Establishing procedures for handling problem cases such as sexual
harassment and abuse of arena patrons.
* Suggestion to draft letter and send out explanation of what has been
transpiring over the past year to the ERYHA membership.
* Does MAHA provide legal services?
Dan Heasley will set up meeting with Mrs. Schofield to discuss grievance.
A and B level coaches should make it a point to use the expertise of the H.S. coaching staff. All -
teams can invite the high school players to their practices.
Dan Heasley (Travel Director):
Nothing to report.
• Kim Hauger (House Director):
Absent.
Fonda Whalen (Skating School): •
Absent.
•
Rich Czech (Arena Manager):
New gates -for security and cleanliness.
St. Michael hockey (H.S. and Youth) receptive to helping with new arena.
New locks for office and press box.
Dave Taus (Operations):
Nothing to report.
Ron Nathe (District 10 Rep.):
Nothing to report.
Randy Gunderson (Equipment):
Absent.
Don Crook (President):
Discussion about the current by-laws will be on the agenda for the February 15th meeting.
Old Business:
New Business: •
Problem with Anoka parents at A-Bantam game during A-Peewee game. 2 Anoka A-Bantams were
egging on Nick Micek in ER locker room.
Many Gaines - New arena proposal brought to the school board meeting last week.
The council workshop presented projections to city advisors.
Motion needed to ensure payment of $15,000.00 feasibility study.
ERYHA will assume the liability for the feasibility study if the study shows
that ERYHA can support the new arena and the city also approves of the
new arena proposal.
If the feasibility study shows that ERYHA can support a new arena and the
city disapproves the new arena proposal, then the city is liable for the
$15,000.00 feasibility study.
Motion made by Dave Taus to accept the above detailed liability for cost of the
feasibility study.. The motion was seconded by Dan Heasley and unanimously
passed 7:0.
Motion made to adjourn and seconded. Motion carried. Next monthly meeting will be Tuesday February
15, 1994 at 7pm at the ERYHA arena.
•
r
CLOQUET AREA ,��
RECREATIONAL 00.,
:i
III FACILITY �� -'
PROJECT
The Cloquet hockey program was begun during the 1946-1947 school year.The first years'practices were held
on an outdoor rink near 14th Street in Cloquet. The warming shack contained a potbelly wood stove but was still
oozy cold.
In 1970 the Cloquet Hockey Arena(The"Barn")was built. Natural ice surface was used until 1975 when it
was upgraded to artificial ice.This greatly enhanced the playing surface and the hockey program grew.
The Community Area Recreation Committee(C.A.R.C.)has begun a campaign to build a new multi-faceted
recreation complex in the Pine Valley Recreational area adjacent to the current facility.
The new facility will include a regulation artificial ice surface for hockey games. Open ice time will be pro-
vided for family enjoyment. Additional seating(approximately 2,500 capacity)and handicap facilities will make
games more accessible to the entire family. Around the rink wall be a walking track. Meeting rooms will be in-
cluded
ncluded for community activities which will include kitchen facilities for banquets,fund raising events,etc. Usage as
a tennis and/or volleyball court may also be included. Maintenance of both facilities will be on a volunteer basis by
members of the Cloquet Amateur Hockey Association(C.A.H.A.).
ee..v aav t
is , 1 r—'I I ._,.. X"i
WV
Zitse no%'42 tennist.. —
reeeae
Ileekeibei
5044
III
7
, k-—200 lc 4
Floor Plan Building Section
i - i7
`li
'- •
Funds needed for the new �'
facility will come from !1va
these five areas: 1:.. .... :.:.................................................... ...lex............. ''''')11
ta•14a4 sem.
$200000
rasa ai:as
$200000
'VW 10y...
Huainan and
y
tsaToted funds needed:
niaual Industry
rheas+ 111.100.000
$700,000 ever 10 years $1,800,000
..v 3y.re
C.ARA. (No tax sioeation)
$100,000
.er10ywe
•
Please call(218)879-1290 for further informs- Sponsored by:
tion regarding how you can help make this Community Area Recreation Committee
1014 Cloquet Avenue
new complex a reality for the City of Cloquet Cloquet,Minnesota 5,6720 •
and surrounding communities. 218-879-1290 �,
AGENDA ITEM NO. 6
Meeting of the Elk River Cit}'Council
January 17, 1994 Page 3
4. Civic Center Committee Update
Jeff Gongoll, Chair of the Civic Center Committee, was present to update the
City Council on the status of the Committee's efforts to see a hockey arena and
civic center built in Elk River. Other Committee members present included
Councilmember Farber, Dave Taus, Marly Glines, and Dale Matson.
Jeff indicated that the Committee is concentrating on the ice arena aspect of
the civic center at this time, but that it has not lost sight of the need for a civic
center in Elk River. The current plan calls for the ice arena to be separated from
the civic center and in a different location rather than adjacent to City Hall. The
location for the proposed ice arena is next to the current ice facility where the
two outdoor ice rinks are located. Jeff emphasized that the ice arena would
have hockey as its primary use, but that the facility is still a multi-use building
where other activities could take place.
Jeff reviewed with the City Council the memo he included in the agenda packet.
It was indicated that this information was also given to the School Board at its
1/11/94 meeting. The proposed site for the facility is on school property and
school approval for the use of the land is required. The proposal calls for the
• facility to be owned and operated by the City or the Economic Development
Authority (EDA). Currently the ice facility has a full time employee for
management of the arena and scheduling of activities. The need for a full time
employee is expected to be continued with an additional facility being
constructed.
Jeff indicated that a financial feasibility study would have to be done in order to
determine if the new facility could be operated debt free. It is believed by the
Committee that this is the case, especially when taking into consideration that
the current ice facility will make its last bond obligations in 1995 and that revenue
from this original facility can help pay the debt of the new building. It is
estimated that an olympic size skating rink with 2500 seats would have a
construction cost of approximately$3 million.
Jeff indicated that he would be in attendance at the 1/31/94 joint City
Council/School Board meeting to facilitate any discussion on this topic. Also, Jeff
will request that the EDA put this issue on its 2/14/94 agenda in order to consider
the request to have the financial feasibility study completed.
The Mayor thanked Jeff for his presentation and indicated the City's support for
improving the hockey facilities in Elk River. The Mayor also indicated a concern
over the operating expenses and debt obligation of a new facility and stated
that continued strong support from the Hockey Association would be necessary
for this proposal to be successful.
•
Cite Council Minutes Page 5
• January 31, 1994
6. Update on Second Ice Hockey Arena Proposal Jeff Gongoll
Jeff Gongoll updated the School Board and City Council on the progress of the
proposed ice arena. He indicated that this issue will be before the EDA at its next
meeting to request funding of a financial feasibility study. He informed the Board
and Council members that the total project is estimated to cost 2.5 million dollars,
however, the land has to be turned over to the City to make the project viable.
School Board Member Jim Osterman gave an update from the land committee
discussions regarding this proposal and the issue of traffic. He indicated that it
was felt that traffic will not be a concern because most events will be held during
off hours of the school. He stated that the land committee supported the hockey
arena concept at this site.
SCHOOL BOARD MEMBER OSTERMAN MOVED TO DEED THE LAND TO THE
APPROPRIATE GOVERNMENT BODY (EDA OR CITY) CONTINGENT UPON SOIL
BORINGS AND OTHER NECESSARY TESTS TURNING OUT POSITIVE AND WITH THE
STIPULATION THAT IF PROBLEMS ARISE, THE LAND TRANSACTION WOULD NOT TAKE
PLACE. BOARD MEMBER BISCHOFF SECONDED THE MOTION. THE MOTION CARRIED
• 6-0-1. BOARD MEMBER POATE ABSTAINED.
Mayor Duitsman emphasized the fact that if the City is to own and manage the
facility, then the City does not intend to lose money at any time during this
project.
Councilmember Dietz questioned whether the School Board is prepared to pay
more for ice time with the new arena. Jim Osterman stated that he felt the cost
to the school would be less with the new arena.
Councilmember Scheel indicated that the ice arena was a good idea, however,
she hoped that the same support would be shown to all of the children in Elk
River, not just those involved in hockey.
2
GONGOLL: It is structured to in- ing to finance this project?
Message dude representation from the city, GONGOLL:The task force is pursu-
frUlll school district, hockey community and ing a Gross Revenue Recreational Fa-
general citizenry. Assisting me in this cility Bond issue through the city's EDA
Council effort are Marly Glines, Ty Bischoff, ata current estimated cost of$3 million.
tuber
tillDave Taus, Dale Martin, Jim Klein, Payment ofthe bonds will be made from
Don Crock, Larry Farber and Mike revenues received from the facilities'
Roger Holmgren Hanlon. user fees. Such fees would include ice
Ward 4 time rental, concession revenues, ad-
HOLMGREN;What is the purpose vertising,etc.Also,the present arena's
of this task force now? bond debt will be paid in full by October
GONGOLL:The purpose of this ef- 1995; at which time the revenues from
Civic Center Update fort is to produce a viable plan and this facility can be used to assist in the
establish a new municipal recreation debt payment of the new revenue bond.
(Editor's Note)On one of the coldest Satur- facility to meet the current and future
days of the winter season, Council Member increasing demands placed on the city HOLMGREN:How would the facil-
Holmgren sat down to breakfast with two mem-
bers ofthe Community Center Task Force:Chair- and school district.The primary use of ity be managed?
man Jeff Gongoll, and Project Designer Manly this facility is to provide an additional GLINES:The arenas would become
Glines to discuss the Civic Center Project. The ice sheet and concurrent support space municipal facilities managed and con-
following is part of that discussion: for the growing boys' and girls'hockey trolled by the city. An arena advisory
HOLMGREN,What is the status of programs within the community and board is recommended to provide ongo-
the civic center project? surrounding area. ing advisory responsibility for the use of
GONGOLL: In mid-1993, a citizen the two arenas.Disposal of the existing
force was established to develop HOLMGREN:Where are you plan- outdoor rinks and accompanying light-
task racommunityciviccenter,origi- ping to locate he facillity and what ing system would be offered to the city
might it include? for their recreational use.
nallyconceivedin 1990,to be integrated
with the city hall complex on city prop- CLINES: A. Site: Adjacent to the
The most recent plan included Senior High, next to the present arena HOLMGREN:When do you project
erty. on the site of the two outdoor rinks. B. this facility to be ready?
multi-use activities such as performing Size:The buildingis approximately 180' GLINES: It is our goal to complete
arts presentations, trade shows, com- x 260'
munity rooms and recreational activi- with 2,500 seat capacity and a our meetings with the city and school in
maximum size Olympic ice sheet of 100' February. We will then need to have a
ties.This plan included a 2,500 seat ice x 220'. The present arena is approxi- feasibility study performed in order to
a with an Olympic sized ice sheet.is
mately 110' x 220' with an ice sheet of concentrate on the development of a
a result of discussions with task 85'x 189',and a capacity of 800.C.Use: viable bond issue. Once completed, we
once members and residents, we have Primary use is for ice hockey,with addi- may be able to begin construction in the
now determined that the ice arena por- tional use available for other ice skating summer, with the first puck being
tion of the civic center could be removed, functions such as figure and public skat- dropped in January, 1995.
thus separating it from the original plan. in also indoor soccer, tennis, volley-
Although
the task force has now focused g'
its efforts on the location and develop- ball, walking, and in-line skating. D. HOLMGREN:How will this facility
ment of the ice arena, the civic center Traffic: Although the new facility is fit in with the needs of the city?
larger, its principal use will be during GONGOLL:Our efforts are directly
concept is still valid, and will be pun- the"offpeak"hours of the typical school related to the needs of the community
sued with city officials and task force day;nights and weekends.Parking vol- and school district.This facility will be
members over the next few weeks. umes should be smaller than varsity a positive asset, one that we will all be
football games. proud of in being able to meet our cur-
HOLMGREN:How have you set up rent demands through improved ser-
the present task force and who are its HOLMGREN:How are you propos- vice to our customers and users,as well
members?
as placing us in a position to effectively
City of Elk River and productively meet our future needs.
Through the productive efforts and co-
13065 Orono Parkway,Elk River,MN 55330
ELK RIVER CITY COUNCIL , operation of the school district and city
City Hall Police Department we will provide a successful and win-
P.O.Box 490 P.O.Box 723 Ph43iS X331.
Mayor— ning endeavor for everyone involved.
TELEPHONE NUMBERS Hank Duitsman 441-3717(h) . At-Larg•
City Hall 441-7420 441-4908(vm)*
Building&Zoning 441-4900 Council Members-
Street Department 441-4910 John Dietz, 441-5783(h) Ward 1 (�
Police Department 441-2324 441-7420 ext.4801(vm) r City Offices f ces will
Wastewater Treatment Plant 441-4918 Cecilia Scheel 441-7578(h) Ward 2 ga
Fire Department 441-4919 441-7420 ext.4802(vm) be closed on
Elk River Utilities 441-2020
oCEk River Public Library441-1641Larry F 441-8508(h) Ward 3 y. ex21
HOURS Roger Hoarberlmgren 441441-78287420(h)t.4803(vm)Ward 4 • February
City Hall— 441-7420 ext.4804(vm) in observance of
Monday thru Friday 8:00 a.m.to 4:30 p.m. (h)-Home phone,evening hours % 1
Police— :' (vm)-.Voice Mail(messages only)-Mer 4:30 p.m.
P Presidents Day
Monday thru Friday
8:00 a.m.to 5:00 p.m. Voice mail(me cage;only)- sytimel
, , !/// � ,.f l�cxvizor Wf!%i'.Cm`404�ffO F/f/ "--4'f /anywl//,.7'i7,',7 is4, if
fr.
AGENDA ITEM NO. 6
• ICE ARENA FEASIBILITY CONSULTANTS
MARQUETTE PARTNERS
730 2ND AVENUE SOUTH
MINNEAPOLIS MN
333-6515
BOONESTROO ROSEN ANDERLICK AND ASSOCIATES
2335 WEST HIGHWAY 36
ST. PAUL MN 55113
636-4600
MIDWEST HOSPITALITY ANALYSIS
100 WASHINGTON AVENUE SOUTH
• SUITE 1650
NIINNEAPOLIS MN 55401
333-9015
REAL ESTATE APPRAISERS ADVISORS
2202 5TH STREET
SUITE 21-A
WHITE BEAR LAKE MN 55110
476-6671
C o Py
• February 2, 1994
Members of the E.D.A's Business Park Task Force
c/o Bill Rubin, Economic Development Coordinator
City of Elk River
P.O. Box 490
Elk River, MN 55330
Re: "Menards" and "Country Ridge Partnership" lands along Hwy. 10
west.
Ladies & Gentlemen:
I'm now quite sorry that I missed the meeting on Jan. 12th. I have
been told that Chairman Dwyer, at the Planning Commission meeting
of Jan. 25th, said that our committee "unanimously" recommended
that the above lands be a part of the business park. Which, in
part, apparently led to the defeat of the above requests. If I had
been at that meeting it would certainly not have been "unanimous"
for the reasons that I will soon explain.
First though, I have to tell you that our firm did do a boundary
and topographic survey for the parcel Menards is intending to
purchase. Said survey is now done and billed, and we have not been
• asked by Menards to do anything further to date.
This firm also does do work for Country Ridge Partnership and Mr.
Emmerich, and have been actively working on the Lakoduk property
designing same as directed by Mr. Emmerich. You may choose, if you
wish, to believe that that means that my personal judgement is "for
sale" to clients. It is not.
I would hope that my record of things that I 've done for the
betterment of this community (Associated Investors, Youth Hockey,
Downtown Development, etc. ) would speak for itself and prove that
I have the best interests of this community at heart. After all,
clients come and go, but I continue to live, and work, here. I do
not believe in "shooting myself in the foot" .
The experience of working on the Industrial Park for E.R.A.I. gives
me, and the others so involved in that effort, a (I believe)
special insight into the "bumpy road" of industrial (and by
extension: "business park" ) development. As an example, remember
when I suggested that we "stage" any future industrial park so as
to keep down the costs for utilities? This came from that
experience.
In the paper it said that Pat had a "vision" about a business park.
I applaud that. However, it also needs a dose of reality too.
• A business park, like an industrial park, is not a "Field Of
Dreams" - this is "if we build it, they will come" . The hard
reality is, is that fulfillment of that dream will likely take
many, many years because every city around us has their "Field Of
Dreams" too.
Page 2
• February 2, 1994
Members of the E.D.A. 's Business Park Task Force
The competition is so very, very fierce that it is most likely that
it will be years before we get even our first "tenant" in such a
park.
Because of that we have to plan wisely. For the area along and
south of Hwy. 10 that specifically means this: First, we need to
bring sewer and water to such a park. Second, we need to pay for
it "as we go" , or else the public has to "hold the bag" while
waiting for the dream to come true. Third, the Court House
desperately needs sewer and water, especially after they move the
rest of their offices out there.
I would strongly suggest that we do it this way: First, we find
something to fill in the area (and pay for the sewer) between the
existing sewer at City Hall, and west to the Court House. It seems
to me that we need some strong commercial to do that. I think that
commercial development (like a Menards and what they bring with)
would do just that. I also think that the small "Mom & Pop"
commercial along the highway, as proposed in the Business Park
zoning, would have a hard time of doing that financially.
• If some strong commercial pays for the sewer and water getting to
the Court House, and then the County pays for getting it past the
Court House, it will then be at the edge of the Wilson land west of
the Court House - where it can remain, paid for, until needed to
the west.
Thus I feel that the most logical place for a business park is on
the Wilson land. If it takes a long time to develop that park, it
will cost far less to add on to the utilities to get into the park
than it will to pay for unused utilities across an empty park.
I would propose a compromise. We allow strong commercial along the
highway to pay the bills. (We can still have business park to the
south of that on a smaller scale) That will give us something to
get started with while still not putting us so deep in the hole for
utilities that may not be used for quite sometime.
If we are then successful in attracting "tenants" to the smaller
version of our business park, we will have gotten business used to
the idea that they need not all be in the first and second ring
suburbs, and that: "Yes, we'd like to locate in Elk River" .
We will have less "at stake" that way. We will not extend
ourselves further than we should. Let's get our business park, but
let's do it "smart" . Thank you.
Jo Oliver