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Home My WebLink About4.a. Community Center Arena Discussionr CITY OF ROSEMOUN'P EXECUTIVE SUMMARY FOR ACTION CITY COUNCIL MEETING DATE: MAY 19, 1992 AGENDA ITEM: COMMUNITY CENTER ARENA DISCUSSION Mr. AGENDA SECTION: DEPARTMENT HEAD REPORT PREPARED BY: STEPHAN JILK, CITY ADMINISTRATOR AGENDA'1=M A ATTACM1ENTS : / %NANG/AL DATA APPROVED BY- Y- Mr. Ron Pederson and his committee continue to work on the development of financial and cost information on the proposed arena. Mr. Pederson will provided additional information on the project and feels it prudent to provide an update to the Council on the project at this time. Financial information and the arena proposal will be made available before the meeting by Mr. Pederson. RECOBDUMED ACTION: None. COUNCIL ACTION: 2W 1 Rosemount ice Arena Income and Cash Flow $ In Thousands 300 250-..._..__....__ ----..__....._...._. 200 150 100 50 93 94 95 96 97 98 99 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 12 Months Ending August Operating Income --1 Debt Service §� Cash Flow Ice Arens Cash Flow Period August 1993 - August 1994 August 1994 - August 1995 August 1995 - August 1996 August 1996 - August 1997 August 1997 - August 1998 August 1998 - August 1999 August 1999 - August 2000 August 2000 - August 2001 August 2001 - August 2002 August 2002 - August 2003 August 2003 - August 2004 August 2004 - August 2005 August 2005 - August 2006 August 2006 - August 2007 August 2007 - August 2008 August 2008 - August 2009 August 2009 - August 2010 August 2010 - August 2011 August 2011 - August 2012 August 2012 - August 2013 August 2013 - August 2014 August 2014 - August 2015 August 2015 - August 2016 August 2016 - August 2017 Income 246,994 255,639 264,586 273,847 283,432 293,352 303,619 314,246 325,245 336,629 348,411 360,605 373,226 386,289 399,809 413,802 428,285 443,275 458,790 474,848 491,468 508,669 526,472 544,899 Expenses 116,000 120,060 124,262 128,611 133,112 137,771 142,593 147,584 152,749 158,095 163,628 169,355 175,282 181,417 187,767 194,339 201,141 208,181 215,467 223,008 230,813 238,891 247,252 255,906 Opersti Inc" 130,9 135,5 140,3 145,2 150.,3 155,5 161,0 166,6 172,4 178,5 184,7 191,2 197,9 227, 235, 243, 251, 260, 269, 279, 288, Debt Service 121,906 126,906 126,590 131,276 130,646 135,016 139,070 142,810 146,236 154,346 156,826 163,990 170,526 176,430 181,706 191,350 195,050 203,120 210,246 216,426 226,660 235,636 243,350 249,806 Arcual Cash Fla+ After Debt Service 9,088 8,673 13,734 13,960 19,674 20,565 21,956 23,852 26,260 24,188 27,957 27,260 27,418 28,442 30,336 28,113 32,094 31,974 33,077 35,414 33,995 34,142 35,870 39,187 Cumutative Cash flaw After Debt Service 9,088 17,761 31,495 45,455 65,129 85,694 107,650 131,502 157,762 181,950 209,907 237,167 264,585 293,027 323,363 351,476 383,570 415,544 448,621 484,035 518,030 552,172 588,042 627,229 Ice Arena Operating Income (Escalation - 3.5$ Annually) Period August 1993 - August 1994 August 1994 - August 1995 August 1995 - August 1996 August 1996 - August 1997 August 1997 - August 1998 August 1998 - August 1999 August 1999 - August 2000 August 2000 - August 2001 August 2001 - August 2002 August 2002 - August 2003 August 2003 - August 2004 August 2004 - August 2005 August 2005- August 2006 August 2006 - August 2007 August 2007 - August 2008 August 2008 - August 2009 August 2009 - August 2010 August,2010 - August 2011 August 2011 - August 2012 August 2012 - August 2013 August 2013 - August 2014 August 2014 - August 2015 August 2015 - August 2016 August 2016 - August 2017 Income 246,994 255,639 264,586 273,847 283,432 293,352 303,619 314,246 325,245 336,629 348,411 360,605 373,226 386,289 399,809 413,802 428,285 443,275 458,790 474,848 491,468 508,669 526,472 544,899 or Expenses 116,000 120,060 124,262 128,611- 133,112 137,771 142,593 147,584 152,749 158,095 163,628 169,355 175,282 181,417 187,767 194,339 201,141 208,181 215,467 223,008 230,813 238,891 247,252 255,906 Operating Income 130,994 135,579 140,324 145,236 150,320 155,581 161,026 166,662 172,496 178,534 184,783 191,250 197,944 204,872 212,042 219,463 227,144 235,094 243,323 251,840 260,655 269,778 279,220 288,993 Original Principal Amount Amount Available for construction (Excludes 2% closing costs and 1st payments. Includes investment i Interest Rate Term of Bonds in Years Number of Payments per Year 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 Principal interest st @ 5.5%) Payment $1,935,000 ------------- $1,826,542 ------------- 6.30% ------------- 25.00 ------------- 2.00 ------------- 08/01/92 02/01/93 $0 $60,953 $60,953 08/01/93 $0 $60,953 $60,953 02/01/94 $0 $60,953 $60,953 08/01/94 $0 $60,953 $60,953 02/01/95 $0 $601953 $60,953 08/01/95 $5,000 $601953 $65,953 02/01/96 $0 $60,795 $60,795 08/01/96 $5,000 $60,795 $65,795 02/01/97 $0 $60,638 $60,638 08/01/97 $10,000 $600638 $70,638 02/01/98 $0 $60o323 $60,323 08/01/98 $10,000 $600323 $70,323 02/01/99 $0 $601008 $60,008 08/01/99 $15,000 $60,008 $75,008 02/01/00 $0 $59 535 $59,535 08/01/00 $20,000 $59535 $79,535 02/01/01 $0 $58 905 $58,905 08/01/01 $25,000 $58 905 $83,905 02/01/02 $0 $58 118 $58,118 08/01/02 $301,000 $580118 $88,118 02/01/03 $0 $57,173 $57,173 08/01/03 $40,000 $57,173 $97,173 02/01/04 $0 $55913 $55,913 08/01/04 $45,000 $55 913 $100,913 02/01/05 $0 $54 495 $54,495 08/01/05 $55,000 $54 495 $109,495 02/01/06 $0 $52 763 $52,763 08/01/06 $65,000 $52 763 $117,763 02/01/07 $0 $50 715 $50,715 08/01/07 $75,000 $50 715 $125,715 02/01/08 $0 $48 353 $48,353 08/01/08 $85,000 $48 353 $133,353 02/01/09 $0 $45 675 $45,675 08/01/09 $100,000 $45 675 $145,675 02/01/10 $0 $42 525 $42,525 08/01/10 $110,000 $42 525 $152,525 02/01/11 $0 $39 060 $39,060 08/01/11 $125,000 $39 060 $164,060 02/01/12 $0 $35 123 $35,123 08/01/12 $140,000 $35 123 $175,123 02/01/13 $0 $30 713 $30,713 08/01/13 $155,000 $30 713 $185,713 02/01/14 $0 $25 830 $25,830 08/01/14 $175,000 $25 830 $200,830 02/01/15 $0 $20 318 $20,318 08/01/15 $195,000 $20 318 $215,318 02/01/16 $0 $14 175 $14,175 08/01/16 $215,000 • $14 175 $229,175 02/01/17 $0 $7 403 $7,403 08/01/17 $235,000 $7 403 $242,403 Balance $1,935,000 $1,935,000 $1,935,000 $1,935,000 $1,935,000 $1,935,000 $1,930,000 $1,930,000 $1,925,000 $1,925,000 $1,915,000 $1,915,000 $1,905,000 $1,905,000 $1,890,000 $1,890,000 $1,870,000 $1,870,000 $1,845,000 $1,845,000 $1,815,000 $1,815,000 $1,775,000 $1,775,000 $1,730,000 $1,730,000 $1,675,000 $1,675,000 $1,610,000 $1,610,000 $1,535,000 $1,535,000 $1,450,000 $1,450,000 $1,350,000 $1,350,000 $1,240,000 $1,240,000 $1,115,000 $1,115,000 $975,000 $975,000 $820,000 $820,000 $645,000 $645,000 $450,000 $450,000 $235,000 $235,000 $0 Rosemount Ice Arena Operating Budget Income Youth Hockey"Associations/Showcase R 1,120 hrs @ prime rate - $105/hr 356 hrs @ non prime rate - $84/hr Figure Skating Club 140 hrs @ non prime rate - $84/hr High school Practice 410 hrs @ discount rate - $63/hr Park & Recreation 56 hrs @ prime rate - $105/hr 225 hrs @ non prime rate - $84/hr School Phy Ed 240 hrs @ discount rate - $63/hr, Total projected ice income Concessions/sales - net Skate sharpening - net Admissions and instruction fees (are assumed to be part of rental ar such do not coo directly to arena) Off season activities (are not committed at this time and Summer ice (one month) - net (amount is based on $25,000 income start-up, maintenance and operatinc Total Income Expenses Administrative Maintenance (personnel - 35 weeks) Utilities (35 weeks) Insurance Supplies/Services Concession & vending expenses are net income projections Total Expenses Net Operating Income as $147,504 11,760 25,830 24,780 15,120 224,994 14,000 3,000 0 0 included) 5,000 ass $20,000 expense) Luded in 246,994 12,000 43,000 43,000 8,000 10,000 116,000 $130,994 i. 2. 3. 4. 5. 6. 7. 8. s. Rosemount Other Possible Sources (Not Included in Minnesota Amateur Hockey Assoc summer). Summer Hockey. Hockey Schools (summer). Junior B Hockey - For hockey play pro. Trade Shows - Summer. Revenue from banquet facility - $2 One time or annual contributions f Rosemount Area Hockey Assoc U.S.P.C.i. - Fund (beginning Fall Arena Capital or income -Coaches clinics (Pre -season or between high school and college or 0 - $30,000 annually. the business community. (RAHA) contributions. We will continue to work on finning up the 4bove items to provide as much cushion as possible in supporting cash flo and servicing debt. Schedule of Ice Hours Pre-Season (9/15 - 10/31) Non. Tue. wed. Thur. Fri. --._ y....... - '" " " ' ....... _.._ .. ------- _-Sat. ---- Assoc./Showcase Assoc./showcase _ 6:OOAM - 7:OOAM (Mon-prime) 7:15AM - 8:15AM (Mon-prime) Figure Skating Figure Skating figure Skating Figure Skating Figure Skating Assoc./Showcase Assoc./Showcase 8:30AM - 9:30AM (Prime) Phy. Ed. Phy. Ed. Phy. Ed. Phy. Ed. Phy. Ed. Assoc./Showcase Assoc./Showcase 9:45AN - 10:45AN (Prime) Phy. Ed. Phy. Ed. Phy. Ed. Phy. Ed. Phy. Ed. Assoc./Showcase Assoc./Showcase 11:00AN - 12:00PM (Prime) Recreation (Open) Recreation (Open) Recreation (Open) Recreation (Open) Recreation (Open) Assoc./Showcase Assoc./Showcase Assoc./Showcase Assoc./Showcase 12:15PH - 1:15PM (Prime) Assoc./Showcase Open Sketirig 1:30PH - 2:30PH (Prime) 2:45PH - 3:45PH (Prime) High School High School High School High School High School Assoc./Shower Open Skating 4:00PM - 5:00PN (Prime) High School High School High School High School High School Assoc./Showcase Assoc./Showcase 5:15PM - 6:15PH (Prime) Assoc./Showcase Assoc./Showcase Assoc./Showcase Assoc./Showcase Assoc./Showcase Assoc./Showcase Assoc./Showcase 6:30PH - 7:30PH (Prime) Assoc./Showcase Assoc./Showcase Assoc./Showcase Assoc./Showcase Assoc./Showcase Assoc./Showcase Assoc./Showcase 7:45PN - 8:45P% (Prime) Assoc./Showcase Assoc./Showcase Assoc./Showcase Assoc./Showcase Assoc./Showcase Assoc./ShowcsN Assoc./Showcase 9:00PN - 10:00PM (Non-prime) Assoc./Showcase Assoc./Showcase Assoc./Showcase Assoc./Showcase Assoc.! a Assoc. roc. Assoc./Showcase 10:15PM - 11:15PM (Mon-prime) Spry --...__Total ockey Associations 33 hrs./wk X 7 wks a $105/hr. $24,255 12 hrs./wk X 7 wks a S84/hr. 7,055 ' igure Skating Club 2,940 5 hrs./wk X 7 wks a $84/hr. igh School Practice 4,410 10 hrs./wk X 7 wks a $63/hr. ark and Recreation (Open skating) 1 470 2 hrs./wk X 7 wks a $105/hr. 2,940 5 hrs./wk X 7 wks a $84/hr. i chool Phy. Ed. 10 hrs./wk X 7 wks a $63/hr. 4,410 ....... Total $47,481 aaaazaz i Schedule of Ice Hours Hain Season (11/1 - 2/28) 3 Non. Tue. wed. Thur. Fri. Sat. Sun. ------- ....... 6:00AN - 7:00M(Non-prime) ----•-- High School ....... Nigh School ....... High School ------- High School ....... Nigh School Hockey Assoc. Hockey Assoc. 7:15AN - 8:15AN (Non -prime) Figure Skating Figure Skating Figure Skating Figure Skating Figure Skating Hockey Assoc. Hockey Assoc. 8:30AN - 9:30AN (Prime) Phy. Ed. Phy. Ed. Phy. Ed. Phy. Ed. Phy. £d. Hockey Assoc. Hockey Assoc. 9:45AN - 10:45AN (Prime) Phy. Ed. Phy. Ed. Phy. Ed. Phy. Ed. Phy. Ed. Hockey Assoc. Hockey Assoc. 11:00AM - 12:00PM (Prime) Recreation (Open) Recreation (Open) Recreation (Open) Recreation (Open) Recreation (Open) Hockey Assoc. Hockey Assoc. 12:15M - 1:15PH (Prime) Hockey Assoc. Hockey Assoc. 1:30PH - 2:30PH (Prime) Nigh School High School High School High School Nigh School Hockey Assoc. Open Skating 2:45PH - 3:45PN (Prime) High School High School Nigh School Nigh School Nigh School Hockey Assoc. open Skating 4:00PN - 5:00PN (Prime) High School High School High School High School High School Hockey Assoc. Hockey Assoc. 50 5PN - 6:15PH (Prime) Hockey Assoc. Hockey Assoc. Hockey Assoc. Hockey Assoc. Hockey Assoc. Hockey Assoc. Hockey Assoc. ! 6:30PH-7:30PN (Prime) Hockey Assoc. Hockey Assoc. Hockey Assoc. Hockey Assoc. Hockey Assoc. Hockey Assoc. Hockey Assoc. 7:45PH - 6:45Pl1 (Prime) Hockey Assoc. Hockey Assoc. Hockey Assoc. Hockey Assoc. Hockey Assoc. Mackay Assoc. Nockey Assoc. 9:00P14 - 10:OOPM (Non -prime) Hockey Assoc. Hockey Assoc. Hockey Assoc. Hockey Assoc. Hockey Assoc. Hockey Assoc. Hockey Assoc. 10:15PH - 11:15PN (Non -prime) i Senior/eroombalt Senior/Broombell Senior/eroombett Senior/eroombetl Senior/eroaaball Hockey Assoc. ' Summary ................................ Total ------------------- ockey Assoctations 33 hre./wk X 17 wks 8 $105/hr. $58,905 12 hrs./wk X lT wks 2 $84/hr. 17,136 igure Skating Club 5 hrs./wk X 17 wks 21 $84/hr. 7,140 igh School Practice 20 hrs./wk X 17 wks A $63/fir. 21,420 dirk and Recreation (Open skating, Sr./Broombetl) 2 hrs./wk X 17 wks 9 $105/hr. 3,570 10 hrs./wk X 17 wks 2 $84/hr. 14,280 i :hoot Phy. Ed. 10 hrs./wk X 17 wks 21 S63/hr. 10,710 Total $133,161 x Schedute of let Hours Post-Season (3/1 - 3/31) s Hon. Tue. wed. Thur. Fri. Set. Sun. E....... ....... ------- ----....... ....... ------- L 6:00AM - 7:00AM (Mon-prime) Hockey Assoc. Hockey Assoc. Hockey Assoc. Hockey Assoc. Hockey Assoc. Hockey Assoc. Hockey Assoc. 7:15AM - 8:15M (Mon-prime) Figure Skating Figure Skating Figure Skating Figure Skating Figure Skating Hockey Assoc. Hockey Assoc. 8:30AM - 9:30AM (Prism) Hockey Assoc. Hockey Assoc. 9:45AM - 10:45AM (Prism) Hockey Assoc. Hockey Assoc. 11:00AM - 12:OOPM (Prise) Recreation (Open) Recreation (Open) Recreation (Open) Recreation (Open) Recreation (Open) Hockey Assoc. Hockey Assoc. 12:15PM - 1:15PH (Prism) Hockey Assoc. Hockey Assoc. 1:30PH - 2:30PH (Prism) Hockey Assoc. Open Skating 2:45PH - 3A5PM (Prise) Hockey Assoc. Open Skating 4:00PM - 5:00PM (Prise) Hockey Assoc. Hockey Assoc. 5:15PM - 6:15PM (Prise) Hockey Assoc. Hockey Assoc. Hockey Assoc. Hockey Assoc. Hockey Assoc. Hockey Assoc. Hockey Assoc. 6:30PH - 7:30PH (Prise) Hockey Assoc. Hockey Assoc. Hockey Assoc. Hockey Assoc. Hockey Assoc. Hockey Assoc. Mackay Assoc. 7:45PM - 8:45PH (Prime) Hockey Assoc. N . 9:OOP" - 10:00PM (Mon-prise) Hockey Assoc. Hockey Assoc. Hockey Assoc. Hockey Assoc. Hockey Assoc. Hockey Assoc. Hockey Assoc. 10:15PM - 11:15PH (Mon-prise) Hockey Assoc. Sun mry Total - - ockey Associations i 33 hrs./wk X 4 wks 8 $105/hr. $13,860 _ 17 hrs./wk X 4 wks a $84/hr. 5,712 igure Skating Club _ 5 hrs./wk X 4 wks 8 $84/hr. 1,680 ark and Recreation (Open skating) - 2 hrs./wk X 4 wks a $105/hr. 840 > 5 hrs./wk X 4 wks a S84/hr. 1,680 Totat S23,772 i 7 Schedule of Ice Hours Spring Showcase (4/1 - 5/22) L D Non. Tue. Wed. Thur. Fri. Sat. Sun. E....... L 6:OOAM - 7:0001 (Non -prime) ------ ------- ------- ------- ....... ....... 7:15AN - 8:15AN (Non -prime) 8:30AN - 9:30AM (Prime) Showcase Hockey Showcase Hockey 9:45AM - 10:45AM (Prime) Showcase Hockey Showcase Hockey 11:00AN - 12:OOPM (Prime) Showcase Hockey Showcase Hockey 12:15PM - 1:15PH (Prime) Showcase Hockey Showcase Hockey 1:30PH - 2:30PM (Prime) Showcase Hockey Showcase Hockey 2:45PH - 3:45PM (Prime) Showcase Hockey Showcase Hockey 4:00PH - 5:00PN (Prime) Showcase Hockey Showcase Hockey 5:15PH - 6:15PH (Prime) Showcase Hockey Showcase Hockey i ' 6:30PH = 7:30PH (Prime) Showcase Hockey Showcase Hockey Showcase Hockey Showcase Hockey Showcase Hockey Showcase Hockey Showcase Hockey _ 7:45PM 8:45P14(Prime) Showcase Hockey Showcase Hockey Showcase Hockey Showcase Hockey Showcaaa Hockey 9:00PN - 10:00PH (Nan -prime) 10:15PM - 11:15PM (Mon -prime) Summary Total _ Showcase Hockey ------------------- 28 hrs./wk X 7 As 8 5105/hr. $20,580 =o.aa:a Rosemount Ice Arena Computation of Reduced Cost Arena Original Budget Total Cost Adjustments: Package Rink Costs Rink Floor Subsoil Insulation Refrigeration Heat Reclaimer Subtotal Package Costs Other Adjustments Site Work Elevator Skate Tile Dashers Bleachers Zamboni Edger Goals Radiant Heat Sound System Scoreboard Subtotal Other Adjustments Total Cost Adjustments Total Reduced Cost Budget Notes: original Budget ---------- 93,500 25,000 17,000 200,000 20,000 355,500 ---------- 217,100 80,000 26,000 100,000 30,000 0 0 0 30,000 20,000 6,000 509,100 Revised Cost --=------- Savings (Additional cost) ---------- 249,500 106,000 --- --- ------ 152,100 0 15,755 65,570 10,000 34,040 750 1,095 0 10,000 0 289,310 65,000 80,000 10,245 34,430 20,000 (34,040) (750) (1,095) 30,000 10,000 6,000 219,790 Reduced Cost Budget $2,150,000 325,790 $1,824,210 We were able to find a package deal on the rink flooring and refrigeration. Site work cost is reduced because the work will be done simultaneous with construction of the Armory and not at a later date. The elevator has been removed from the budget. Radiant heat has been delayed. Skate tile, dashers and bleachers cost adjustments reflect savings for assembly by us. The sound system adjustment reflects prchase of a less expensive unit. The scoreboard will be donated by Peps in exchange for concessions. MEMORANDUM DATE: April 20, 1992 TO: Ron Pederson, Rosemount Are FROM: Del Erickson SUBJECT: Preliminary Construction Coccnittee t Estimate The following estimates are based di a schematic plan (dated April 93 1992) which we prepared to propose a cone pt to add an arena to the armory and CO=Unity center design. This was -reviewed at a April 10, 1992 meeting with you, Steve Jilk, and Art -Dicker, Architects for the armory. We understand from that meeting tha an alternate to create an unfinished basement space'is planned to-acc to arena needs similar to our plan as shown. Further a connection and exterior entry should be planned at the lower level.. A stair and elevator would be desirable at this location:. The lobby'space, public toilets, anentry are planned for use of the theatre and banquet hail.. This cou d be available for.arena events if they do not conflict per scheduled event The ten or twelve times during year when high school games are held would not have a significant impact on lobby and presumably events could b co-ordinated. We have based the following cost.est costs and breakdown to identify vari of an arena lobby, toilets, and entn conflict; and additional shell space out use of basement area. Arena Cost Estimate per plan 4/9/92 1. General Conditions 2. Sitework Assumes all grading excavat of arena site plus 126 car. imates on the foregoing, with alternative ousoptions.. These include the addition* i y, f necessary to.omit any potential of 4,000 feet to accommodate needs with and.development 3.. Concrete Includes concrete rink floor and seating. 4. Masonry Includes brick exterior and concrete block interior to metal facia linqp. S . Steel Includes steel truss, roof system above masonry line. and facia $1051600..00 111,500.00 •210,900.00 138,400.00 339,300.00 +_* b 1 0 ' 3Dtd 71101 ** A1aI ANDUM pri ,"1992 Page 2 6. Carpentry 7.. Weatherization 8. Doors /Windows Includes alum entry, HK doors, etc. 9. Finishes Quality level of finishes. 10. Specialties Includes seating and locker roun.. 13. Rink Cons truc tion .Indirect system in floor with' so reclaim, dehumidification and she 14. Elevator 15. Mechanical 1, heat s . Plumbing, HVAC, fire sprinkler heat. 16. Electrical Subcontractor 0 & P Total Construction Cost Estimate Contingency 5% A/E Fees and Costs Total Project Budget Cost Elements included above High.School Locker Room 600 S.F. complete with locket shower. Figure Skating Club Roan 480 S.F. complete with locker Elevator and Lower Level Connec 800 S.F. with stair and eleva Site Work beyond building Paving and parking for 126 ca; ALTERNATES / ADDITIONAL COSTS Basement costs (armory alt.) Add 4,000 S.F. shell in lieu of Add 3,000 S.F. lobby, toilets & , toilet, $ 201000.00 10,700.00 54,600.00 66,600.00 392•,000.00 40,000.00 178,800.00 147,000.00 35,900.00 $:!'$915,100.00 $ 95,700.00- 139,200.00 5,700.00139,200.00 $22150,000.00 $ 573,000.00 control roan. 33,000;00 ing Link 803000.00 �r. . 65,000.00 . $80;000.00 -.$ 150,000.00 asement $ 100,000.00 ntry $ 180,000.00