Item Coversheet

8.C.1.


Shakopee City Council
December 19, 2017


FROM:Jamie Polley, Director of Parks and Recreation
TO:Mayor and Council Members
Subject:
2018-2019 Ice Arena Ice Rental Rates
Policy/Action Requested:
Approve ordinance 976, amending ice rental fees and charges of the 2018 city fee schedule.
Recommendation:
Approve the action requested.
Discussion:

The current 2017-2018 ice rental rates are $210/hour, prime and $165/hour, non-prime. The annual increase to ice rental rates in the metro area is typically $5.00/hour however with the completion of the brand new arena in 2016 and the 2016 (and previous) rates being lower then average, a greater increase of $10/hour and $20/hour was adopted for the 2017-2018 season.

 

When reviewing the 2018 Fee Schedule the City Council requested additional review of the 2018-2019 ice rental rates. Upon further review, staff is recommending a $5.00 increase to the current prime and non-prime rates for the 2018-2019 season. The proposed rates are $215/hour, prime and $170/hour, non-prime. The increased rates will be recognized by all renters except the Shakopee Youth Hockey Association (SYHA) and the Shakopee School District who currently pay higher rates per their ice rental agreements.

 

The proposed rates parallel the rates paid by the SYHA per their agreement. The SYHA is currently paying $215/hour for the 2017-2018. Per the agreement they will pay $215/hour for the 2018-2019 season, $220/hour for the 2019-2020 and 2020-2021 seasons and $225/hour for the 2021-2022 season. The hourly rate for general renters will increase to $220/hour beginning with the 2019-2020 season.

Budget Impact:
Increased prime and non-prime rates are anticipated to provide increased revenue from general rentals.
ATTACHMENTS:
Description
Ordinance No 976
SYHA Executed Ice Rental Agreement