5. - 11. ICE 08-06-2008MEMORANDUM
TO: Ice Arena Commission, Members
FROM: Rich Czech, Arena Manager
DATE: August 06, 2008
SUBJECT: Agenda Memo -July 31, 2008
5. 2007 Financial update
Attached for your review is the budget information for the years 2004 - 2009. Tim
Simon, the City's finance director, will be at the meeting to discuss the present budget as
well as last year's budget and the 2009 budget. A few points of interest I would like to
highlight are the revenues for ice rentals for 2009. The projected revenue is $432,000.00,
which includes the increase in the regular season rates that was approved at the April
Commission meeting. Under "Building Debt", you will notice a payment of $28,357.00.
This is an interest payment for the Arena's debt service. The second portion of the debt
service of $173,357.00 is due December 1St. Lastly, the transfer in for 2008 and 2009 of
$100,000.00 each year is for the new Zamboni, which is expected to arrive in October, in
2009 the barn's roof is scheduled for a new roof replacement. Both of these expenditures
will be paid for with the liquor store funds.
6. 2009 Summer Ice Rates
Attached are some north metro arena's 2009 summer ice rates. There are a few
arenas that have not yet determined their costs; however the ones that have summer
rates average $144.00 an hour. My recommendation for the Spring and Fall ice rates
for 2009 are $145.00 an hour for prime time hours and $115.00 for non -prime time
hours. I would like the ability to stay flexible with the rates when trying to obtain
new customers for weekend hours as well as adjust rates to existing customers that
are experiencing low registration numbers.
7. Liquor Store Event
At the April Commission meeting, it was suggested that youth hockey have a wine
tasting event at one of the liquor stores. Tim Simon, the cities Finance Director meet
with Dave Potvin, the cities Liquor Store Manager. Tim will have an update at the
meeting.
8. Replacement of Rink Light fixtures
Due to the Barn's roof needing to be replaced, the Lighting project for the Olympic
rink has been suspended until a future year. I was initially hoping that the roof could
be replaced for less than originally budgeted, ($105,000.00), so the remaining funds,
along with the Bleacher funds could be used to complete the lighting project.
However, after reviewing several roofing options, it was clear that it was in the best
interest of the city to install a roof that would save the city in energy costs as well as
last for years into the future. Hopefully the economy will rebound in 2009 and the
lighting project can be placed in the 1010 budget.
9. High School Coaches Wall of Fame
Kent Madsen and I have reviewed the information that we received from Dave
Halgren. Kent will be talking to Dave Halgren about confirming the names of the
coaches as well as the number of years coaching and their records. Attached for your
review are the names of the coaches along with their records and years coached. Kent
will be deciding on a design for the plaques and will have his recommendation to the
Arena Commission at the November meeting.
10. New Zamboni
The new Zamboni is still scheduled to be delivered in October. Before it is put into
service it will be displayed at Westbound liquor. If we have a sponsor, we will have
the graphics placed on the machine before displaying it. This may delay the time line
of when it will be displayed and placed into operations.
11. Staff Updates
A. Dry Floor Events
Spaces for the Craft and Home Business Show held in May were again sold out, with
the exception of a few out door spaces. However it is taking longer for the show to fill
and the quality of crafters is not what it used to be. We are spending more money on
soliciting venders for the show than we have had in the past due to the fact there are
not as many quality crafters and that the economy is down, which causes the crafters
to be more selective in the shows they go to. There will be a time when the craft
show will no longer be enough draw to get the attendance needed to have a successful
show. The show will have to be expanded into more of a festival, bringing in
entertainment and other activities.
I've been in contact with Jim Wright, the owner of Crocodile Productions. Crocodile
Productions produces trade shows such as Gun and Knife shows. I am hoping that we
can schedule a gun show with them for next spring or fall. There is a slight chance
that we may even be able to get one in this fall before the ice goes into the Barn.
Laura Estby, the Arena's Assistant and I have been working on putting to~ether a
classic car show next summer. The tentative date for the show is June 14t . Once we
are finished with putting together the preliminary outline of the show we will be
asking several organizations and businesses to participate in the show.
B. Clinics /Leagues /Annual Ice Show
The Skating Academy's Ice Show was a huge success. With over 97 skaters, this
year's show was the biggest we have ever had in the eleven years since they started.
We are already busy working on next year's show, which is slatted to be Snow White.
This may change depending on how much money Disney will want for the rights to
the show.
The Break Away Hockey League registration has begun with the league scheduled to
begin August 16th. Roger's and Monticello will again participate in the league.
The Women of Today sponsored the Jose Coles Circus this spring. Attendance for
the show was a little bit better than in past years. Hopefully this trend will continue
so that the Circus can continue to be one of our spring events.
As mentioned above, I am still looking for a sponsor for the Zamboni. I have been in
contact with great River Energy, Waste Management, Econ Air, and Connections.
Besides Connections, I have not heard back from any of the other companies whether
they have decided to advertise on the machine or not.
Besides the advertising for the Zamboni, I have been working getting advertising for
the new illuminate signs. I am working with Connections to place a sign under the
scoreboard on the south side of the Olympic rink.
C. Projects and Summer Repairs
The center groove project in the Barn has been completed, besides the south wall
where the shooting area is, all the walls in the Barn have been covered with center
groove wood. The Barn now has a very appealing look, once the ceiling is repainted
or covered the Barn will be well on its way to being remodeled.
Some of the painting has been started in the Arena, we like to wait for the summer
camps to end before starting on the high traffic areas.
The yearly maintenance on the compressors is almost completed. The top ends to the
number one compressors in the Barn and in the Olympic will be completed before the
start of the fall season.
We have remodeled the video machine area so that we can have some seating during
busy events. We re-located the janitor room, which has made this area a great deal
bigger. The video machines are now located in the Olympic rink. Our hope is that by
creating an area where people can sit, they will stay at the Arena and purchase items
from the concession stand. I am looking into the possibility of getting a wide screen
TV donated from a local retail store, and tables and chairs from that are made from
recycled plastic from the cities land abatement fund.
We will be increasing the security in the building by installing cameras in high traffic
areas and in the concession stand and skate sharpening room. The Cities I.T.
department will be looking into purchasing the equipment we will need and installing
it late this summer.
For your information I have included a copy of a flyer for city apparel. If you would
like to order any of the items on the list, please notify carol or Donna at the phone
number indicated.
Elk River Ice Arena
Revenue and Expenditure Summary
For the Period Ending June 30, 2008
2009 2008 2008 2007 2006 2005 2004
Budget Budget YTD Actual Actual Actual Actual
REVENUES
Ice Rental 432,000 420,000 182,172 423,098 410,210 403,503 376,127
Recreation Programs 154,700 139,000 66,418 154,808 135,471 108,771 106
089
Admissions 33,000 32,500 15,417 30,407 42,556 41,018 ,
47
270
Sign Rental 18,500 18,50D 2,600 12,352 15,792 19,664 ,
17,572
Dry Floor Events 15,000 14,000 4,056 10,933 12,002 13,662 12
339
Concession Rent - - - - - 10,750 ,
21,500
Vending 22,000 30,000 8,671 19,151 25,407 29,935 29,370
Skate Sharpening 4,500 4,000 2,214 4,594 3,916 3,847 3
939
Building Rent 2,600 2,600 - 2,600 5,200 ,
Other Mdse Sales/Misc. 2,000 3,000 779 1 664 1 996 2 190 3 709
TOTAL 684,300 863,600 282,327 659 607 652 550 633 339 617 914
EXPENDITURES
Personal Service 277,900 279,150 121,173 244,201 233,878 221,771 200,721
Other Operating Expenditures 278,000 285,900 126,131 256,696 236,768 219,338 218,030
Vending Mdse for Resale 13,500 15,500 3,188 11,983 13,293 12,682 14,852
Other Mdse for Resale 1,200 1,200 288 637 139 808 1,101
Recreation Programs 64,600 59,550 32 010 60 330 51 169 39 370 40 667
TOTAL 635,200 621,300 282,790 573 847 535 247 493 970 475 371
CONCESSIONS
Sales 73,000 78,000 35,221 71,934 71,805 27,101
Less: Product & Supplies 27,700 30,750 13,587 28,904 28,395 23,749
Salaries 22,500 22,500 13,354 19 811 20 907 8 696
Net Profit 22,800 24,750 8 280 23 219 22 503 (5 344)
OPERATING INCOME (LOSS) 71,900 67,050 7 817 108 979 139 806 134 024 142 542
Capital Outlay 100,000 100,000 - - - 70,290 447,630
Building Debt 198,500 201,700 28,357 199,410 201,820 198,660 200,215
NET INCOME (LOSS) _ (226,600) (234,650). (20,540) (90,431) (62 014) (134 925) (505 303)
Other Income
Interest Income _ _ _ _ _
Sale of Fixed Assets
_
- _
Contributions/Rebates - - - 9,519 15,436 1,400 11,000
Admission Surcharge - - 4,277 - - 8,384 9,098
Transfers In
Capital Outlay 100,000 100,000 - 9,500 - 66,703
Eliminate Deficit (General Fund) 126,600 134,650 - 79,931 57,514 66,302 39,260
Building Project - - - - - 464,537
Change in Fund Balance - - (16 283) 8 519 10 936 7 863 18 592
7/30/2008
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High School Coaches Wall of Fame
NAME
Walts ?
Charlie Anderson
Roger Ershire
Dave Holgren
Dave Bleyl
Tony Sarsland
YEARS
1957-58
1958 - 64
1964 - 68
1968 - 70
1970 - 85 or 86?
1987? to present
W-L-T
0-8-0
49-41 -8
17-44-4
9-30-0
(need record)
(need record)