8.5. SR 07-31-1995~ \~
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ITEM 8.5.
MEMORANDUM
V~~ TO: Mayor & City Council
FROM: Pat Klaers, City Ad rator
DATE: July 31, 1995
SUBJECT: Ice Arena Update
Since the last presentation to the City Council on the ice arena project on
May 22, 1995, not much activity has taken place on this project. On 5/22 it
was finally concluded that the project that was desired was about $2.8 to $2.9
million dollars and that only about $2.1 million was available. This $2.1
million dollars that is available comes from a $100,000 contribution from
youth hockey and $2 million dollars being available over the life of the bonds
from the revenue generated off of two sheets of ice as compared to the
operating expenses.
Since 5/22, the Task Force has met with the architects as a temporary wrap
• up to the project and the Task Force has also met with the president of youth
hockey. Additionally, Task Force Chair Jeff Gongoll and I have been
following the Mighty Ducks legislation and the activities of the Minnesota
Sports Commission as this group is charged with the responsibility of
awarding grants from the Mighty Ducks money for ice arena projects. At this
point, it is anticipated that a city grant application will need to be submitted
in September and grants will be awarded later in the fall or in early winter.
Even if the city is fortunate enough to receive $250,000 in Mighty Ducks
money, the project is still short of funds. If we are fortunate enough to get
the Mighty Ducks monies then we either have to tell the architects to build
the best project they can with the money that is available or obtain
additional financial commitments from youth hockey or other agencies (i.e.,
the school or the city).
Everyone in Elk River wants a second arena that they can be proud of and
does not want to construct another "tin" structure. Accordingly, if we have
$2.35 million available, the building will be a very bare minimum shell type
of structure. We do not want to end up compromising a design in 1996 which
we may regret in the year 2006, simply because we were $200,000 or so short
of funds.
• council:icearna
13065 Orono Parkway • P.O. Box 490 • Elk River, MN 55330 • (612) 441-7420 • Fax: (612) 441-7425