8.2. ICESR 04-19-2016 - Laserfiche WebLink

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�j Elk -�-, Request for Action River To Item Number Arena Commission 8? Agenda Section Meeting Date Prepared by Action Items April 21,2015 _ Rich Czech,Arena Manager Item Description Reviewed by 2016-2017 Ice Rates Cal Portner, City Administrator Reviewed by Action Requested Adopt,by motion,ice rates for the 2016-2017 season. Background/Discussion The Regular Skating Season Rates are charged from September through February. Off Season Rates are charged from March through August. Rates are higher during the regular season due to higher demand and ice availability. Over the years, the Elk River's ice rates have been moderately priced as compared to neighboring arenas. Last Spring the Regular Season prime time hourly rate was set at$190.00 and the non-prime time ice at $145.00. This was a$5.00 increase from the rate for the prime time hourly rate,the non-prime time rate remained at$145.00. Increases have been typically every two years and have been less than 3%. Smaller ongoing consistent increases have a smaller impact on our customers and keep us competitive in the market than larger increases over a longer period of time. A number of factors are considered when we are establishing ice rates. Competitor rates and their existing agreements,operating expenditures,and scheduled capital replacements or improvements. The Elk River Arena currently does not have a debt payment (i.e. mortgage),however,we do have many expensive capital improvements that need to be made in the very near future. Any remaining balances from ice revenues not tied to operations are maintained for capital repair and replacement.As noted in the finance report,the Arena purchased a new Zamboni this year which was paid out of these funds. Financial Impact N/A Attachments • Neighboring Arena Hourly Ice Rates • Consumer Usage Stats I U E R E 1 ill NATURE