7.1. SR 04-29-1996City of
iver
Item 7.1.
TO:
FROM:
DATE:
SUBJECT:
MEMORANDUM
Mayor & City Council
Pat Klaers, City Adi~.~¢~/~, ator
April 29, 1996 t~f//
Ice Arena Bids
The bids for the ice arena project were opened on Tuesday, April 23, 1996,
and, on a preliminary review basis, the bids look good and are slightly under
the Mortenson estimate. If the city receives the Mighty Ducks Grant in the
amount of $250,000, then the project will be very close to being financially
feasible. The grants announcement is expected on April 30, 1996.
The arena project is estimated at somewhere between $2.65 and $2.75
million. This excludes all of the city and Utilities contributions and the other
contributions arranged by the Youth Hockey Association. In general, this is
the balance of the project and is in addition to some of the previous
expenditures that have taken place (i.e., Marquette Financial feasibility
study), but this $2.65 - 2.75 figure includes 100% of the architect,
construction management and ice consultant fees.
Based on the information submitted in the Mighty ~Ducks Grant application,
the city has $2.65 million available for the project. This includes the city's
$50,000 contribution, the $50,000 contribution from the Rogers Plastic
Foundation, and assumes $2.1 million being available through the bond issue
based on the amended Marquette study (available revenues over
expenditures on an annual basis). The revenues also include $200,000 from
Youth Hockey, some of which has already been spent and some of which is in
the form of pledges.
At this point, staff expects to make a recommendation on the project and bids
on May 6, 1996 after the grant announcements. If this project is to take
place, the city would then be responsible for another fund and this would be a
new endeavor for Elk River.
13065 Orono Parkway · P.O. Box 490 · Elk River, MN 55330 · (612) 441-7420 · Fax: (612) 441-7425
If the project moves forward, there are a number of additional work items
that need to be followed up on and completed. These work items include:
The obtaining of an easement to the north to connect the sewer and
water system to Lowell Street - at this time we are having difficulty
with one of the property owners in obtaining the easement.
The city has to have a public hearing in order to sell bonds for the
project - this is not a public hearing on the project, but only to sell
the bonds.
· The city will have to do some legal work with Youth Hockey in order
to formally take ownership and responsibility for the existing arena.
· The city will be hiring an additional employee, the current arena
manager Rich Czech.
· The city and Youth Hockey will have to reach an agreement on the
operation of the concessions.
· The city and Youth Hockey will have to reach an agreement on the
Arena Advisory Committee.
council:ice2
16:23 ~'612 785 5699
NAT'L ~PORT~ CTR --- CITY-ELK RIVER
NEWS RELEASE
· :' :' '" ' ~ For immediate release: April 29, 1996
Contact:, Paul ErlOkeon, Exeoutive Director
Minnesota Amateur 8porta Commission
1700 105th Ave N.E. (612) 765-5630
Blaine, MN 55449 Fax: (612) 786-5699
MASC Awards 32 Grants in Round Two of "Mighty Ducks" Ice Arena
Construction Grants
Blaine, Minn -- At its April 29 meeting, the Minnesota Amateur Sports Commission (MASC)
awarded 32 grants, totalling $4.286 million, to build new ice arenas or to renovate existing ice
facilities around the state. The grants, which all require a match of local private or public fund-
ing, were awarded via the 'Mighty Ducks" granting program of the State Capital Bonding Fund.
The grants awarded Monday are for projects with 1996 construction starts. The MASC will
award another round of grants in November for projects with a 1997 construction start.
The 17 communities receiving grants to build new arenas are Alexandria, Detroit Lakes, Dodge
County (Kasson), Duluth, Edina, Elk River, Inver Grove Heights, La Crescent, Maple Grove,
Moorhead, Moose Lake, New Hope, New Prague, Olmsted County (Rochester), Orono, Sleepy
Eye, and St. Louis Park. A total of $3.6 million will be awarded toward the construction of new
ice arenas, which will leverage at least an additional $20 million in local private and public con-
struction spending,
The 15 communities receiving grants to renovate existing arenas are Carlton, Coleraine, East
Grand Forks, Farmlngton, Hutchinson, Lindstrom, Luveme, Mora, Osseo, Ran).~ey County,
Silver Bay, Waseca, West St. Paul, White Bear Lake, and Windom. Approximately $686,000 will
be granted to communities renovating their existing ice facilities. The renovation grants will
leverage an additional $1.2 million in local spending.
The grants w. ill assist in the construction of 18 new sheets of ice and help fund the renovation of
a total of 15 sheets of ice.
The 1996 Legislature awarded a total of $8 million for ice facilities. Following Monday's grant
awards, the balance, $3.714 million, is planned to be awarded by the MASC at its November 25
meeting, following an October 4 application deadline.
The grants continue the efforts, dating back over two years, by the Minnesota Legislature and
the Minnesota Amateur Sports Commission to address the crisis ice shortage in the state. This
is the second phase of "Mighty Ducks" grants. The MASC awarded $2.9 million, in 23 grants, Jn
December of 1995. That investment assisted in the construction of 13 new sheets of ice.
-- MORE --
04~29/96 16:24 '~612 785 5699 NAT'L SPORTS CTR -'' CITY/ELK RIVER
The legislature identified the following objecUves for the Mighty Ducks ice-arena grant program, which the
MASC Sought to meet in the awarding of its grants:
· Provide increased opportunities for female ice sport participation;
· Increase ice-time ac=ess for sports other than hockey;
· Generate Increased net economic activity for the state;
· Encourage partnerships among public and private organizations.
. e4/29/96 16:24 ~'612 785 5699 NAT'L SPORTS CTR --- CITY/ELK RIVER
COMPLETE TEXT OF MIGHTY DUCKS ICE ARENA GRANT RESOLUTION
WHEREAS, laws of Minnesota 1996 240 A .09 authorize the Minnesota Amateur Sports Commission to award
8 million ¢lollars for new Ice arena grants and renovation grants and,
WHEREAS, the Minnesota Amateur Sports Commission has published a Request for Proposals in the March
4, 1996 State Rei~iJtrar and,
WHEREAS, 47 Minnesota cities have made application and,
WHEREAS, the Minnesota Amateur Sports Commission recommends the following cities receive ice arena
grants,
NEW ARENA GRANTS
RENOVATION GRANTS
1st Congresaional' District
City of LaCrescent
Olmsted County
Dodge County
$250,000
$250,000
$250,000
City of Waseca
$50,000
2nd Congreulo~tal District
City of New Prague
City of Sleepy Eye
Srd Congressional District
City of Maple Grove
City of Edins
Orono Hoc, key &lSD #278
$250,000
$ 50,000
$250,000
$250,000
$100,000
City of Wtndom
City of Luverne
City of Hutchinson
lSD #279-Osseo Area
$50,000
$50,000
$50,000
$50,000
4th Congressional District
City of Inver Grove Heights
$150,000
City of West St. Paul
Ramsay County
$50,000
$50,000
5th Congressional District
City of 8L Louis Park $250,000
City of New Hope & lSD #2815250,000
6th Congresslenal District
7th Congreeeional Dietri~
Alexandria Area Hockey
City of Detroit Lakes
City of Moorhead
$150,000
$250,000
$250,000
City of White Bear Lake
City of Farmington
City of East Grand Forks
$t8,O00
$50,O00
$45,OO0
8th Con~greesional District
City of Elk .River
City of Moose Lake
City of Duluth
$250,000
$150,000
$250,000
City of Silver Bay
City of Lindstrom
City of Mom
Carlton Amateur Hockey
Greenway Joint Recreation
(Coleraine)
$50,000
$25,000
$50,000
$50,000
$50,000
04/29/96 16:25 9612 785 5699 NAT'L SPORTS CTR --- CITY/ELK RIVER ~004/0e4,
April 1996 Mighty Duck Grant Awards
DistribUtion
~ I~. Omod Fod~
Sil~T.r Be
mm Dem~i~ Lmk~
D~luth
· Elk River
· New A.te~a Orant
" · i~nov~io. Onnt
o,,~o O Imm,
m~ _~
~.~m~
· Sleepy l~yc
· Windom