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From point A of community members discussing the possibility of building an ice arena near the local high school to point Z of a finished product for the community/school to use, what happens?

Where does money come from? Is it generally looked at as a profit mechanism or community area, like a city park?

I have a good idea of where the money came from to build the STA arena, community arena's usually do not get their funding that way.

HShockeywatcher wrote: Is it generally looked at as a profit mechanism or community area, like a city park?

Every city handles that differently. I recommend the Roseau model.

Google "New Fergus Falls Ice arena"...should get you started.
Over half was city bond paid for by a referndum approved sales tax(if the sales tax failed, it would be property taxes). Rest was pledges for donations or donations. I do not recomend using Fergus Falls' experience as a planning model.

auld_skool wrote:

HShockeywatcher wrote: Is it generally looked at as a profit mechanism or community area, like a city park?

Every city handles that differently. I recommend the Roseau model.

Who wouldn't recommend the Roseau model (aside from the basketball fans)?

The relationship between cities and local school districts varies significantly across the state. It helps a lot when the city is entirely within the high school collection area. And it doesn't hurt if that high school bears the city's name. I would recommend that you look at both the new high schools and the new rinks that have been built over the past few years, and find a situation that most closely matches your own. Then get on the phone and ask for advice.

It can be hit or miss...in 2007 the City of Lakeville opened a second city-owned and managed rink for Lakeville South's use two years after that high school opened. Meanwhile, 15 years after it opened, Eastview's hockey teams still play in a rink that is physically attached to Apple Valley High School.

What goes into the discussion/when would discussion start?
Say random representative of 3A/6A/1AA-type program thinks an arena on campus would help, what do they do?

HShockeywatcher wrote:What goes into the discussion/when would discussion start?
Say random representative of 3A/6A/1AA-type program thinks an arena on campus would help, what do they do?

a couple of off-the-cuff suggestions.

1. Where does this "random" program play their games now? Within the community?

2. If the community already is managing a rink (you just want one closer to the school) can you make an economic case for a new sheet of ice? Have to talk with local youth hockey associations, see if their teams are traveling outside area just to find ice time, etc., etc. Also should talk informally with the rink manager...nothing definitive, but "wouldn't it be nice if...."

3. Need to talk with not just local coaching staff, but school's AD, the principal, and local school board members. What kind of contribution could the school make to the project (can they offer up a piece of real estate?)

4. Does this random representative speak on behalf of the team's booster club/blue line club? That group is going to have to do a lot of work getting something off the ground.

Several different approaches have been used over the years. Significant funding by the community or the school district can be done. The experience that I was involved used this approach:

1. The youth hockey association owned the effort and the arena initially.
2. Property was school district owned and was "leased" from the school.
3. The city was not involved but eventually became a major funding source based on a business case that showed the number of people drawn to the community every year by an ice arena plus leasing of ice time to the city for community use for 20 years plus recognition that an ice arena is a "quality of life" asset for the community just like a library or other public facility. In this case the city provided substantial funding every year for 10 years that was monitized and brought forward as a lump sum that supported construction.
4. The school district provided no financial support but was needed in order to get bank funding. No one gives a large loan to a non-profit volunteer organization with complete rollover of membership every few years. If the youth hockey association folds the school would agree to run the arena. In return the school ran the arena with their employees who are paid from arena proceeds AND when the load is paid off the school gets the arena for $1.
5. You need a business plan that is based on a nearly guaranteed amount of ice time every year from an organization (organizations) that can be counted on. The size of the loan that can be serviced is entirely based on this. In season ice is easy to sell. The challenge is providing some business in the off season. Varsity summer programs, etc. For the arena I was involved with our goal was to keep the loan size down to <$1.3M with interest rates available at the time. The ice arenas that we found that had cash flow problems believed that they could service a larger debt. Typically two sheet arenas that under estimated the difficulty of keeping two sheets of ice busy in off season. Most arenas that cash flowed were single sheet arenas.
6. We had major fund raising activities: donations, raffles, recognition bricks/plaques at the arena. These are all valuable but you need a deep pocket donation. All fund raising activities that represented thousands of hours was exceeded by our top two donors.
7. We had a group of dedicated people who spent significant hours on the project. People with strong business connections, construction expertise, bank connections and city connections. These were all valuable in obtaining the needed resources.
8. We had substantial "sweat equity" in the building. People donated thousands of hours to lay the refrigeration floor, paint the building, design and build the bleachers, etc.
9. In the end funding was a very close thing. Naming rights to the arena got us to the end.
10. The original bank (Bremer) eventually told us to get a new loan that they would no longer fund us. This cost us well over $100,000 due to shutting down the construction, interest on construction loan, closing costs for a new loan, etc. Make sure you have a reliable loaning organization.

There are tons of ways to get a rink built. Consider that in Bemidji alone, you have these situations:

- BSU built the John Glas Fieldhouse
- Youth Hockey built Nymore and sold it to the School District
- The City of Bemidji built City Arena
- Youth Hockey built, and still owns the BCA
- The City of Bemidji, BSU and the State of MN built the Sanford Center

no97 wrote:There are tons of ways to get a rink built. Consider that in Bemidji alone, you have these situations:

- BSU built the John Glas Fieldhouse
- Youth Hockey built Nymore and sold it to the School District
- The City of Bemidji built City Arena ****
- Youth Hockey built, and still owns the BCA **** ****
- The City of Bemidji, BSU and the State of MN built the Sanford Center

****
Built largely by Youth Hockey and Figure Skating with most money coming from a local foundation (Nielsen).
Most of the labor was supplied by local construction companies for free or very little (led by contractor Reise).
Thus the name.

**** ****
Bemidji Community Arena (BCA)
Fund raising started in 1994 when one man visited the new Warroad arena. He raised $10,000 before leaving the Warroad arena.
Many, many volunteers got on board to raise money (approx $300,000 form govt money including $250,000 state Mighty Duck grant), from local individuals, business and 3 very generous local Philanthropic people/organizations.
Started raising money in 1994, started construction in 2000, able to use the facility for 'real games' in 2005 or 2006??