HomeMy WebLinkAboutCity Council Committees - Public Facilities Distict Board - 05/29/2008 (3) •
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KENO Public Facilities District
May 29, 2008
3:30 p.m.
Board Members Present: Chair Mike Miller, Vice-Chair Greg Haffner,
Secretary Lew Sellers, Randall Smith, and Cass Prindle.
Others Present: City Councilmember Ron Harmon, Chief Administrative
Officer John Hodgson (who arrived at approximately 4:15 p.m.), Economic
Development Director Ben Wolters, Finance Director Bob Nachlinger, Colin
Campbell of the Seattle Thunderbirds, Tim Higgins, General Manager of the
Kent Events Center, Brad Tong of Shiels Obletz Johnsen, and Administrative
Assistant Julie Pulliam.
I. Call to Order
a. Introductions. Miller called the meeting to order 3:35 p.m.,
and introductions were made.
• b. Approval of Minutes. Sellers moved to approve the minutes of
the special meeting of February 20, 2008, with the following correction
to Item II b Overview of Project Schedule: Change "Wolters said the
project is on schedule and opening is expected during the first week of
April" to say "Wolters said the project is on schedule and opening is
expected during the first week of January." Haffner seconded and the
motion carried.
II. Project Overview and Update
a. Overview of Project Budget. Tong distributed copies of a
Monthly Budget Report as of May 28, 2008, and noted that
approximately 49% of the budget has been spent. He explained that
contingencies had to be used for subcontract bids which were over the
budget, for unanticipated conditions in the field, for fabrication, and to
maintain the aggressive schedule. He noted that certain elective items
will be up for consideration by the Council to enhance the facilities'
marketability, to enhance revenue stream projections, and to enhance
finishes beyond the basic high quality operational level that was in the
basic design. Wolters pointed out that the project was started with
design only 80% complete in order to take advantage of the summer
construction season.
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Public Facilities District May 29, 2008
Page Two
b. Overview of Project Schedule. Tong distributed copies of a
Summary Project Schedule and noted that construction is 54%
complete. He added that the project is still on schedule and that an
assessment will be done in early July to determine whether M. A.
Mortenson Company will be able to commit to an early completion
date.
C. Current Status of Construction. Tong noted that the roof is up,
the steel is done, the crane is off site, and all the pre-cast is
complete. He said plumbing, mechanical, electrical, wall framing,
windows, and clearing the arena area for the ice slab is upcoming.
d. Status of Design. Tong noted that there are only a few design
pieces left to go, including the interior suites and lounges and the
plaza along James Street. Wolters explained what the request for
additional funding will entail.
• III. Operator URdate
Tim Higgins stated that this facility is more intimate than similar
facilities in the area, the location is incredible, and that promoters are
very interested in it. He said he is working on scheduling events, and
hiring a Director of Marketing and Sales, a Director of Operations, and
a Director of Finance. Higgins described his background and
experience, and answered questions from Board members regarding
hiring staff for the Center, and what type of events cannot be held in
the facility.
Wolters answered questions about budget items including sidewalk
improvements, James Street costs, relocation of utilities, and sewer
line issues. Discussion was also held on the type and cost of
scoreboards, parking issues, the traffic plan, and property acquisition.
It was determined that a tour of the facility will be scheduled soon for
the Board members.
IV. Sales and Marketing Update
Colin Campbell noted that the new office is open and said they have
been attending street fairs, working with schools, and will hold a
training camp in August. He explained that their sales philosophy is
• "less is more" when it comes to advertising signs in the facility, and
• Public Facilities District May 29, 2008
Page Three
expressed confidence that advertising projections will be met. He
reported that 13 of the 20 suites have been committed to, that 32% of
the club seats have been sold, and that 92% of previous season ticket
holders have purchased season tickets again. He discussed his efforts
relating to naming rights and sponsorships, and explained that they
have adopted the NHL standards limiting signage on the ice. Upon
Harmon's inquiry, Campbell discussed what could occur if the facility
were to open early.
V. Finance Report
a. Financial Update. Bob Nachlinger distributed copies of a
financial report as of the end of April, and noted revenues in the
amount of $64,811,347, and expenditures in the amount of
$31,343, 451, for a balance of $33,467,896. He clarified that the
$133,268 in Sales & Use Tax is actually from January and February.
VI. Other Business
At Miller's request, Wolters and Higgins agreed to update the Rotary at
a meeting in June. Sellers noted that the Thunderbirds are looking for
homes for teenage players.
VII. Executive Session
No Executive Session was held.
VIII. Adjournment
Sellers moved to adjourn at 5:05 p.m. Haffner seconded and the
motion carried.
Brenda Jacober, C
City Clerk