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EXHIBIT A - PACE 4
<br />Al}MISSIONS: The admissions amount ,,vas dropped to $30,000 from t.he Fr. asibiliry Study of $35,000. The basic
<br /> a~eemcnu d~at c.x,ist for ticket sal~ is ~c .A. rc~ wouicJ gct a bag rate to cover c.x'pcnscs for thc hours of the game
<br /> and then a 50/50 % split on any ticket sales above this base rate. Thc base rate does change for thc di,ffcrent Ice
<br /> Arenas depending on seating capacity.
<br /> In 1995-96 the agreement with E~I~ R.i~er I-Iigh School Boys games which wer~ J'V/Varisty games wa~
<br /> $600 base rate a[~d a $0/$0% split thcreafie~ ~ total dollars for Non..cortferance ($600+$773; ^ttcndcnaca: 850
<br /> (Adults 490,Students 33g)), Confcrance ($4g00+$4071.50;At: $363(Adults 2527,SmdentO.6g 1)) and Sections
<br /> ($600+$615; At:636.A.277,5361) for 1995-96 Season for the boys was :1;11,460. Thc Girls .tV/Varsity games were.
<br /> as fo/low:: $300 ~ag rate for a single game or ~500 Base rate for a ,W/Varsity game together and a 50/.50 % sglit
<br /> thcrca~er. The Girls were not in a cordcrance this para 1995-96 seasoa so we worked only with thc 151k River
<br /> School Dir, rict for an agreement. Thc $500 base rate for two games will moa likely increase.to S600 for thc
<br /> 96 season. The revenue from the girls program was $4,100 base rate plus $94.50 split for a total of $4194.50
<br /> (Attendance: 1236(Adults 79'~, Students 421). Th.is totals $15,655 for
<br /> Thc $30,000 is based on thc following: Increase in attendance due to t,he increase ia seating capacity from
<br /> 700 to over I000, increase in adult ticket prices by $1 (1995-96:4097/2 split-S2043), thc addition of St. Michael
<br /> and Muntic~llo/V/Varsity Games being held in'thc Arenas ($g800 base for each School), and the coaitinued
<br /> enthusiasm for the Girls program TMs brings thc total to $27,300 with no increase i:~ attcndence and oniy a base
<br /> rate charge to Monti~llo and St. Michael An agreement has not bee~ worked on with these two Schools for there
<br /> games which causes a caution flag to go up here unless we can gaurentee that the Arena will be available for there
<br /> games very soon 0vfid Man:h) they will nerd to Schedule the games.somewhere else.
<br />
<br />DRY lrLOOR The Feasibility Study stated the postility'for additional usage was there for indoor soccer or other
<br />EVENTS: events but excluded them from the Study figure. We did not add indoor soccer in to this total for the
<br /> details of purchasing thc carpet and setting up a league has not been finalized. The Number is for other Dry Floor
<br /> Events which is above $5500 for the 1994-95 season as of 1/I/95. The events presently held are: Circus
<br /> Arts & Croft Show (May), Gun Show (ApHl),'Youth Dance (June) and part of thc ri-venue from the ERYI-IA Golf
<br /> Tournament has gone to thc building fund in the
<br /> The committee has concluded after talking with the Soccer Board that indoor soccer ~ould bring in
<br /> revenues of $12,000 to $111,000 by'charging $45-$65 per hour. Some Arenas acutally make more on indoor soc~
<br /> than hockey because of the lower cost of maintenance. Elk River has a growing soccer program. We believe that
<br /> the spring o£ 1996 there will be indoor soccer in the present arena. The money lo pay for the expenses will be
<br /> obtained from fundmlsers, E'RYI, LA Pulltabs, etc. by ER.Y'H.A, the Soccer program etc.. An estimate of $6,000 for
<br /> the Spring o£ 1996 and $10,000 for Spring of 1997 is lis'ted on the bottom of the page. This could be incrr, ased by
<br /> an agressiv¢ program with indoor soccer in the fall as well Anoka started ~ndoor soccer this past year (1994) and
<br /> rec-~ted revenues of abou! $12,000 the first year. Some of the expense items would be a carpet lo be purchased for
<br /> the floor with estimated cost of $30,000, and raising and protecting the lights.
<br />
<br />SIGN RENTAL: The committee felt with a strong campaign that sign rental could increase by $10,000 in the
<br /> new a.,~na. There is a committee within ERY'HA that is working on sign rental packages and has started to
<br /> contact local and surrounding community businesses for sig-a rental contracts. The signs will be high quality on g'
<br /> dasher boards around the fink. There is a estimated 42 and 36 po~ible dasher board signs in the Olympic rink
<br /> and the present rink.
<br />
<br />ADDITIONAL The additional revenues we noted on the bottom of the page includes the soccer program and a
<br />LINE REVEbVOES: '~tatemcnt from ERY'I,.IA for donations toward the New Ice Arena Project.
<br /> Other types of revenue are fund.~ising events that youth hockey does every year. Thc track record for thc
<br /> past eight years zhows an average profit per year of about $15,000. The ElZYt-IA Pulltabs, which is in operation at
<br /> Dicks Reverfront Bar, would be another source of revenue. For this to be used it would need to be approved at a
<br /> F_R.YHA Pulltab Gambling Board meeting and the State Gambling Board and a form would need to be filled out by
<br /> the City of Elk River. The Pledge Drive for the new Arena is just beginning and has accumulated over $15,000 on ·
<br /> 3 year pledged committments and $3065 in actual cash a~ of 2724/95. There is a Arena Dinner Functmi~r
<br /> scheduled for March III, 1995 that will raise some more revenue for the Arena. We estimate $i$,000 per
<br /> year should be available. We realize that this may not be able to be used as revenues in the cash flow estimate but
<br /> we ~vanted to make a note that these will be available for other e.xpen.~es or improvements. Other additional
<br /> income could be special fund-raise=, and pledges from individuals, groups and industry to po.~ibly raise and
<br /> additional ~50,000 to $75,000 per year. There are approximately 500 kids involved in hockey and skating within
<br /> F.R. YHA and an additional '70-80 boys & girls involved at the High School level.
<br /> Note: The bottom of the sheet shows ER.YH.A balances of their accounts as of the date stated.
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