2013-02-11 STMA Ice Arena Board PacketCity of
A,lbertville�. Michael
SnmU Town EirkiW ft rity UNh STMA
STMA ARENA BOARD AGENDA
MONDAY, FEBRUARY 11, 2013
ALBERTVILLE CITY HALL
6:00 PM
1. CALL TO ORDER — ROLL CALL
2. ADOPT AGENDA
3. APPROVAL OF THE NHNUTES OF JANUARY 14, 2013 (pgs 1-3)
4. FINANCE REPORTS
a) December Unaudited Financial Report (pgs 4-5)
b) Approve the January list of claims as presented in the amount of $3,386.85 and
January report (pgs 6-8)
5. MANAGER'S REPORT
a) February 2013 monthly report (pgs 9-10)
6. OLD BUSINESS
a) Ballard King update — (oral update)
b) 2013 Budget (discussion) (pg 11)
c) Communications update (oral update)
7. NEW BUSINESS
8. ADJOURN
M:\Public Data\Arena\2013\agendas\02-11-2013\021113 STMA Agenda2.doc
ST. MICHAEL-ALBERTVILLE ARENA BOARD MINUTES
January 14, 2013
6:00 p.m.
Present: Chairman Jeff Lindquist and Members Larry Sorensen, Dan Wagner, Gayle Weber, Chris
Schumm, and Kevin Kasel. Also present were: Arena Manager Grant Fitch; City of Albertville
Finance Director Tina Lannes and City of Albertville City Administrator/Engineer/Public Works
Director Adam Nafstad, Also present were several members from the Youth Hockey Association.
The meeting was called to order at 6:03 p.m. by Chairman Lindquist.
Election of Officers
Traditionally the board has rotated the chairperson role annually and has done so among the three
governmental entities that makes up the board. In 2011 Dan Wagner was chairperson (Albertville),
2012 Jeff Lindquist was chairperson (STMA ISD 9885) so in 2013 it would be St. Michael's turn, but
after some discussion off the record the board agreed that Jeff Lindquist should continue to be
Chairperson for 2013 and then St. Michael will take the role in 2014. Members Kasel/Weber moved
to appoint Jeff Lindquist for the STMA Arena Board Chairperson for 2013. All voted aye. Members
Kasel/Sorensen moved to appoint Chris Schumm as the STMA Arena Board Vice Chairperson. All
voted aye.
Set Agenda
Member Wagner added an item to the agenda under New Business called internet connection.
Members Wagner/Schumm moved to set the agenda as amended. All voted aye.
Approval of Minutes
Members Weber/Sorensen moved to approve the minutes of the November 13, 2012 Board Meeting.
All voted aye.
Finance Reports
Lannes mentioned the final unaudited financials will be presented in February and the audited
financials should be presented in May. Lannes wanted to point out that the largest number that is not
reflected in the actual to date amounts was depreciation. Lindquist had a question on professional
services being over budget. Lannes mentioned to the board that she would have to double check but
part of the overage has to do with the roof, ARY, but she would verify the detail and email the board
members on the amount along with noting it in the financial report for February. The other over
budget item that was questioned by Lindquist was refuse. The garbage container is filling more
quickly and additional pickups are needed during October — March. There is not space for a larger
container. Sorensen asked if there were recycling containers over at the Arena. Fitch mentioned they
do have containers and should maybe look into getting more containers from Allied Waste. Members
Schumm/Kasel moved to approve the November/December 2012 list of claims in the amount of
$33,993.75 and the December Financial Report as presented. All voted aye.
Arena Manager's Report
Fitch gave the board and end of year report mentioning that the biggest item was the roof
repair/replacement completed back in April and the Zamboni repairs. Fitch also updated the board on
replacing options and quotes for a new Zamboni discussing the difference between getting a battery
operated machine and a propane operated machine. Fitch mentioned looking forward to find a
replacement plan. Wagner asked what the lifespan is of the average Zamboni. Fitch explained that
with our machine being I 1 years old this is about the time you start to see major repairs and plan for
replacement. He is hoping we can get another 5 years out of the machine.
Fitch updated the board that the rental hours are at 244 which is at our peak and that the ice will be
removed on April 1, 2013 until June 8, 2013 and that this should be planned for every other year.
STMA Arena Board Meeting 02/11/13 1
Fitch and Nafstad explained to the board that the exterior lights have been ordered due to the necessity
of public safety.
Fitch addressed the issue about the internet connection being down. Lannes explained that the antenna
control box is going down in the cold temperatures and we are adding a heat core to the control box to
try and keep the system up. Lannes further explained that the main issue with the connections is the
antennas purchased five years ago are no longer being made and parts are hard to come by on the
secondary market. The City is looking at a permanent solution for all city buildings. Wagner asked if
the permanent solution will be brought to the Albertville Council. Nafstad stated that staff would bring
it back to Albertville Council and that in the past we have received quotes to hardwire the buildings
together for communications. Nafstad continued to mention that we are nearing that point where we
will have to do something and that we have been struggling with communication not only with the
Arena, but also the fire hall so we will be looking at options soon.
Old Business
Lannes explained that the STMA Arena received the $10,000 requested by the City of St. Michael and
the City of Albertville for Capital Improvements/replacement funds to be dedicated for those items and
shall not be used for operations or a second sheet of ice. Both cities at year end had the funds available
for 2012 and contributed the $10,000 each. The 2013 contribution will depend on what is available at
year end for both cities again, but they plan on placing the contribution amount annually in their
budgets starting 2014. Kasel requested that this fund is currently not being shown on the financial
report and it should be listed starting next financial report and going forward. Lannes confirmed that
this will be done. Weber asked if the money from the school should be transferred. Lannes stated yes
it should be.
Nafstad told the board that Jeff King, from Ballard King will be in town this Thursday for meetings
with Grant, Youth Hockey, School Athletic Director and Staff representing the board (City
Administrators and the School) to interview so they can update the second sheet feasibility study.
Sorensen asked when we can expect completion. Lannes hopes to have a timeline for the study on
Thursday, January 17, 2013 and update the board next meeting.
Nafstad provided an oral update on the new arena roof leaking. There is a meeting set up to determine
what the issue is and how to correct the problem, since little is known right, now the board will be
updated at the next meeting on this item.
NPw RncinPcc
Youth Hockey presented to board with a proposal to take over the advertising in the Arena. They have
set up a committee and met with Grant and Franklin Advertising. The proposal states that youth
hockey would take over the advertising, work with the existing renewals at Franklin and then take over
fully after 2015 (Franklin would be paid for the contracts already in place that have renewals). The
Youth Hockey Association would be responsible for all billing/collection and work with management
at the arena for maintenance, addition and removal of advertising. Their proposal is in year one the
association pays the arena $11,000, in year two $13,000 and year three and beyond $15,000 (based on
STMA Arena Board Meeting 02/11/13 2
one sheet of ice). The board directed staff to work with youth hockey and Franklin advertising on the
switch pending the agreements and contracts.
Tupper asked about rental of the arena for when the ice is out for events. Fitch said it is not an issue
and it has been done in the past.
Lannes presented the first draft budget for 2013 looking for board direction. Lannes pointed out some
key changes first being the 4 months of an Assistant Manager position is in the draft 2013 budget
again, along with a $10 per hour rate increase effective September 1, 2013 along with removal of ice
for two months. Other items noted were the wages included a 2% COLA increase. Also, items that
may have slight changes such as refuse and electric. Xcel was granted by the commission to impose a
12% increase in rates for 2013. The remainder of the budget is staying consistent with a goal of
covering half of depreciation and no other capital investments in the budget. Kasel was concerned that
the actual ice rental revenues were only at $217,237.40 compared to the budgeted $285,183. Lannes
explained that there are receivables out for December in the amount of just under $30,000 and that the
budgeted number included a $10 per hour increase for September of 2012 that was not implemented.
Lindquist asked what the cost is for the assistant manager in this budget. Lannes explained it was
about $6,000. Kasel requested that we look at adjusting the refuse to reflect more of the budgeted
number becoming more accurate. The rate increase needs to be on the May or June agenda because a
final decision has to be determined before youth hockey sends out their sign up documents in July.
Wagner requested to also see other arena rates around the area. Fitch stated he would get those for the
next meeting. Sorensen was wondering when the rates had to be determined by because the past three
years it was too late to change rates because youth hockey had already sent out their mailings. The
board requested Lannes to find out the deadline for rate increases from youth hockey. Lindquist stated
the board shall plan on having their first discussion on the rates in May of 2013 and take action in June
of 2013. Kasel also requested for the next meeting that Lannes provide the total impact of a full year
of a $10 per hour increase and assistant manager position so they have an idea the budget impact for
2014 if the board does move forward with the rate increase and the hiring of a full time assistant arena
manager position. Lannes said she would provide this information at the next meeting with the
updated draft budget.
Sorensen mentioned again the professional services to make sure the information about the overage is
provided to the board in relation to the budget.
Adiourn
Members Sorensen/Wagner moved to adjourn at 7:16 p.m. All voted aye.
Attest:
Tina Lannes, Finance Director
STMA Arena Board Meeting 02/11/13 3
City of
AIbcrtvillc t. Michael
SnmU Town Ei rkMj. ft City UNh
STMA Budget to Actual December 2012
2012 Actual
2012 Budget 12/31/12 YTD % Annual
Income
Ice Rental
$285,183.00
$262,848.07
92.17%
Concessions
$28,000.00
$33,630.65
120.11 %
Other Revenues (Advertising/LMC/ins claims)
$12,000.00
$201,947.71
1682.90%
Vending
$1,200.00
$1,365.02
113.75%
Open Skate/Hockey, etc
$10,000.00
$9,001.96
90.02%
Interest
$1,000.00
$1,227.22
122.72%
Accounts Receivable
$0.00
$0.00
Misc Revenue
$0.00
$1,373.01
Total Income
$337,383.00
$511,393.64
151.58%
Expenses
Salaries, wages, taxes & Benefits
$115,318.53
$108,827.38
94.37%
Supplies (Office, misc)
$1,500.00
$1,057.36
70.49%
Supplies (Concession)
$14,500.00
$13,244.75
91.34%
Fuel, Misc
$2,300.00
$1,931.07
83.96%
Professional Services
$8,800.00
$5,742.28
65.25%
Sales Tax
$3,600.00
$3,162.14
87.84%
Telephone
$1,350.00
$1,047.56
77.60%
Electric
$82,000.00
$73,796.43
90.00%
Gas
$9,000.00
$4,682.60
52.03%
Water
$16,500.00
$13,796.51
83.62%
Refuse
$1,500.00
$2,066.36
137.76%
Insurance
$15,000.00
$10,301.84
68.68%
Administration
$11,124.00
$11,124.00
100.00%
Misc.
$3,000.00
$2,201.97
73.40%
Depreciation
$41,000.00
$42,951.98
104.76%
Repair Maintenance — Machinery
$10,000.00
$7,351.47
73.51 %
Repair Maintenance — Building
$25,000.00
$18,913.09
75.65%
Roof Repair
$188,894.42
Total Operating Expenses
$361,492.53
$511,093.21
141.38%
Net Income/Loss
($24,109.53)
$300.43
*** Unaudited - could be some changes pending on the annual audit ***
Cash Balance 1/1/12
$
89,288
Add Revenues
$
511,394
Less Expenses
$
511,093
Add in Depreciation
$
42,952
Less payables
$
1,135
Cash Balance 12/31/12
$
131,405
Restricted Cash (depreciation)
$78,457
Cash for operations
$52,948
Total Cash Balance 12/31/12
$131,405
STMA Arena Board Meeting 02/11/13 4
Arena Owner Dedicated Cap. Imp. Fund
Beginning Balance 1/1/12 $0
2012 contribution received by St. Michael $10,000
2012 contribution received by Albertville $10,000
2012 contribution received by STMA
Schools $0
Balance 12/31/12
STMA Arena Board Meeting 02/11/13 5
City of
Ibertvi £ MIA t. Michael
1ST
Small Tow Lining. ®ig City We.
Income
STMA Budget to Actual January 2013
2013 Proposed
Budget rate
increase no Jan 2013
asst. mgr Actual
Ice Rental
Concessions
Other Revenues (Advertising/LMC/ins
claims)
Vending
Open Skate/Hockey, etc
Interest
Accounts Receivable
Misc Revenue
Total Income
Expenses
Salaries, wages, taxes & Benefits
Supplies (Office, misc)
Supplies (Concession)
Fuel, Misc
Professional Services
Sales Tax
Telephone
Electric
Gas
Water
Refuse
Insurance
Administration
Misc.
Depreciation
Repair Maintenance - Machinery
Repair Maintenance - Building
Total Operating Expenses
Net Income/Loss
2013 Actual %
YTD 1/31/13 Annual
$262,000.00
$7,444.75
$7,444.75
2.84%
$32,000.00
$7,039.75
$7,039.75
22.00%
$12,000.00
$7,924.00
$7,924.00
66.03%
$1,300.00
$165.47
$165.47
12.73%
$10,000.00
$465.05
$465.05
4.65%
$1,200.00
$0.00
$0.00
0.00%
$0.00
$0.00
$1,200.00
$165.05
$165.05
$319,700.00
$30,648.82
$23,204.07
7.26%
$112,547.61
$15,225.58
$15,225.58
13.53%
$1,100.00
$0.00
$0.00
0.00%
$13,750.00
$1,571.07
$1,571.07
11.43%
$2,000.00
$0.00
$0.00
0.00%
$8,800.00
$29.87
$29.87
0.34%
$3,200.00
$0.00
$0.00
0.00%
$1,100.00
$76.01
$76.01
6.91 %
$75,000.00
$0.00
$0.00
0.00%
$8,000.00
$0.00
$0.00
0.00%
$15,000.00
$2,275.06
$2,275.06
15.17%
$2,200.00
$0.00
$0.00
0.00%
$15,000.00
$0.00
$0.00
0.00%
$11,350.00
$945.84
$945.84
8.33%
$3,000.00
$15.07
$15.07
0.50%
$43,000.00
$0.00
$0.00
0.00%
$10,000.00
$0.00
$0.00
0.00%
$25,000.00
$933.15
$933.15
3.73%
$350,047.61
$21,071.65
$21,071.65
6.02%
($30,347.61)
$9,577.17
$2,132.42
*** Unaudited - could be some changes pending on the annual audit ***
Cash Balance 1 /1 /12
$31,405
Add Revenues
$23,204
Less Expenses
$21,072
Add in Depreciation
$ -
Less payables
$ -
Cash Balance 12/31/12
$133,537
Restricted Cash (depreciation) $78,457
Cash for operations $55,080
Total Cash Balance 1/31/13 $133,537
STMA Arena Board Meeting 02/11/13 6
Arena Owner Dedicated Cap. Imp. Fund
Beginning Balance 1/1/13 $0
2013 contribution received by St. Michael $10,000
2013 contribution received by Albertville $10,000
2013 contribution received by STMA
Schools $0
Balance 1/31/13 $20,000
STMA Arena Board Meeting 02/11/13 7
STMA Vendor Check Detail Register
January 2013
Check Amt Invoice Comment
10100 Premier Bank
Paid Chk# 001669E
1/17/2013
WRIGHT-HENNEPIN COOP ELECTRIC
E 810-00000-381
Electric Utilities
$29.87 0100 01/13
STMA Arena Fire Panel Monitoring
Paid Chk# 001671 E
1/17/2013
WATSON COMPANY
E 810-00000-252
Food/Consessions
For Resale
$797.29 822047
STMA Arena Candy, Candy Bars, Chips, Foam Plates &
Paid Chk# 031678
1/7/2013
BCBS OF MINNESOTA
E 810-00000-130
Employer Paid Ins (GENERAL)
$776.75 CI261-10-0-
Emp Health Ins
Paid Chk# 031683
1/7/2013
SCR, INC - ST. CLOUD
E 810-00000-405
Repair/Maint
- Buildings
$583.33 258803
STMA Arena January Maintenance
Paid Chk# 031732
1/22/2013
ARAMARK REFRESHMENT SERVICES
E 810-00000-254
Soft Drinks/Mix
For Resale
$233.58 445077001
STMA Arena Douwe Classic Blend FP 168 count
Paid Chk# 031733
1/22/2013
ARAMARK UNIFORM SERVICES
E 810-00000-405
Repair/Maint
- Buildings
$10.69 629-7645136
STMA Arena Mats, Mops, Mop Handles, Laundry Bag
E 810-00000-405
Repair/Maint
- Buildings
$10.69 629-7658873
STMA Arena Mats, Mops, Mop Handles, Laundry Bag
E 810-00000-405
Repair/Maint
- Buildings
$10.69 629-7663643
STMA Arena Mats, Mops, Mop Handle, Laundry Bag
Paid Chk# 031736
1/22/2013
CHARTER COMMUNICATIONS
E 810-00000-321
Telephone
$76.01 1702 01
STMA Arena Telephone
Paid Chk# 031737 1/22/2013 COCA COLA ENTERPRISES BOTTLING
E 810-00000-252 Food/Consessions For Resale $601.40 118194125 STMA Arena Coke, Mellow Yellow, Pibb, Sprite, Water,
Powerade
E 810-00000-252 Food/Consessions For Resale ($61.20) 118194126 STMA Arena Return Expired Grape, Fruit Punch,
Powerade
810 STMA ARENA $3,386.85
STMA Arena Board Meeting 02/11/13 8
A�1bertville S,'-:)TMA
Sind Toum Living. FJig UFO.
MANAGER' GENERAL UPDATE
Date: Monday February 11, 2013
To: STMA Arena Board
From: Grant Fitch, STMA Arena Manager
ARENA RENTAL HOURS — JANUARY
Name
Youth Hockey
Adult Hockey
High School Boys/Girls
Public Skating
Private rentals
Learn To Skate
Total hours
Prime -time
160.25 hours
10 hours
52.25 hours
9.25 hours/$0
9 hours/$145 hr
4 hours/$145 hr
244.75 hours
A
of
�. Michel
Off-peak
Ice Out: April 8s' to June 8th 2013. Staying in 1 week longer for Spring Breakaway League
Exterior Lighting Upgrade LED: Installed Thursday 02/07/13
Roof Issues: We are still gathering information and researching the likely cause of the leaking or
dripping that has occurred. Once we have a better understanding of the problem, we will report
back to the Board. On January 23rd, Adam and I met with Brian Totman and Kevin Roehl of
Ebert Construction, and Bob Rego of ARY Architects, as well as, Building Officials Paul Heins
and Jim Hildebrandt. In general, neither Ebert or ARY believe the issues (dripping) are related
to a faulty roof, but more likely related to humidity/air quality control. I will be keeping a log on
indoor/outdoor temps and humidity levels and plan on meeting with SCR, Gartner Refrigeration
and Athletica to make sure the dehumidification is working properly.
Zamboni: I will be working with staff to develop a draft zamboni replacement/maintenance
plan.
Facility Maintenance: I am reviewing options and costs for supplementary cleaning services
for future consideration by the Board.
Ice Rates for the 2013-14 Season: I am working on collecting proposed 2013/2014 rates from
surrounding communities and will present findings at next meeting.
STMA Arena Board Meeting 02/11/13 9
Past Ice Rates (Local Arenas 2011-12 Season):
Rogers
A=$180
B=$140
Monticello
A=$180
B=$125
Buffalo
A=$174
B=$132
Elk River
A=$180
B=$145
Waconia
A=$195
B=$130
Delano
A=$180
B=$155
Maple Grove
A=$180
B=$145
Plymouth
A=$180
B=$165
STMA
A=$185
B=$165
STMA Arena Board Meeting 02/11/13 10
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