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HomeMy WebLinkAboutItem 06.m Date: Item No. RESOLUTION OF SUPPORT FOR AMES ICE ARENA STATE BONDING PROGRAM Proposed Action Staff recommends adoption of the following motion: Move to approve a resolution supporting State of Minnesota Bonding Funds for Improvements to Ames Arena. Overview Since 1994, Ames Ice Arena has operated without any property tax subsidy. This has been accomplished through sound financial management and the generosity of the Lakeville Hockey Association (formerly the Lakeville Hockey Boosters). With the building nearing 25 years old, many of the original components, such as the roof, dehumidification equipment, and ice plant are nearing their end of life. Between 2018 and 2024, there are over $5 million in needs identified. Even though Lakeville Arenas (the Joint Powers entity consisting of city and ISD 194 representatives) are in the process of negotiating an extension of the partnership with Lakeville Hockey Association, it is unlikely that these needs will be funded without taxpayer or other outside assistance. The City of Lakeville has been approached by a member of our legislative delegation about submitting ideas to be included in the 2018 State of Minnesota Capital Investment (bonding) bill. While the timeframe to include this through the formal process has closed, it is possible that legislators can advocate for projects that benefit their district. Attached to this report is a resolution outlining the request into three “tiers”. This was done to identify needs of the arena by different dollar amounts, which may provide our legislators flexibility depending on what they believe could be successfully included in any bonding bill. If approved, this resolution will be sent to the entire Lakeville legislative delegation and staff will be able to provide more information as needed. Primary Issues to Consider • What is the probability of any Ames Arena request being included in the bonding bill? Financial Impact: $ Budgeted: Y☐ N☐ Source: Related Documents: (CIP, ERP, etc.): Envision Lakeville Community Values: Access to a Multitude of Natural Amenities and Recreational Opportunities Report Completed by: Justin Miller, City Administrator March 5, 2018 N/A CITY OF LAKEVILLE RESOLUTION NO. ____ RESOLUTION SUPPORTING STATE OF MINNESOTA BONDING REQUEST FOR IMPROVEMENTS TO AMES ARENA WHEREAS, Ames Arena was opened in Lakeville in 1994 under a public-private partnership with the City of Lakeville, ISD 194, Lakeville Community Corp. and Lakeville Hockey Boosters; and WHEREAS, the ice arena has been operated since its inception with no taxpayer subsidy due to the generosity and partnership of the Lakeville Hockey community; and WHEREAS, Ames Arena serves as a regional asset, hosting over 200 hockey games each year (with participating teams coming from across the state), several annual district youth tournaments, multiple dryland events (such as home and garden shows, youth athletic practices and games and dog shows), and many other activities; and WHEREAS, the original equipment used during the construction of the arena is due to be replaced in the coming years at a significant cost which cannot be covered by the non-property tax funding sources that have been utilized over the past 25 years; NOW, THEREFORE, BE IT RESOLVED that the Lakeville City Council formally requests that consideration of these capital needs at Ames Arena be considered as part of any 2018 State of Minnesota Capital Investment (bonding) Bill; and NOW, THEREFORE, BE IT FURTHER RESOLVED that the capital improvements identified as potential bonding requests be targeted in the following three areas: Tier 1 $5,300,000 Replacement of: ice plant, dasher boards, dehumidification equipment, roof, water heaters, artificial turf and rubber flooring Tier 2 $3,300,000 Replacement of: ice plant, dehumidification equipment, roof and ice floor system Tier 3 $700,000 Expanded parking lot to accommodate regional events ADOPTED by the Lakeville City Council this 5th day of March 2018 ______________________________ Douglas P. Anderson, Mayor _________________________________ Charlene Friedges, City Clerk