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Home My WebLink AboutCity Council Committees - Public Facilities District Board - 09/25/2008 t 1 T KENI WASHINGTON Public Facilities District September 25, 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: Economic Development Director Ben Wolters, Finance Director Bob Nachlinger, Tim Higgins, General Manager of the Events Center, Brad Tong of Shiels Obletz Johnsen, Director of Sales and Marketing for the Events Center Beth Sylves, and Administrative Assistant Julie Pulliam. I. Call to Order a. Introductions. Miller called the meeting to order at 3:30 p.m. and introductions were made. b. Approval of Minutes. Sellers moved to approve the minutes of July 31, 2008. Haffner seconded and the motion carried. II. Project Overview and Update a. Overview of Project Budget. Tong noted that 73% of the project budget has been spent, that 76% of the construction budget has been spent, and that the mitigation and financing budget and the construction contingencies budgets have either been spent or are committed to be spent. He noted that project life to date expenditures are at 73%. b. Overview of Project Schedule. Wolters noted that things are going well, and though there are challenges ahead, he expects the Center to open as planned on January 2nd. He stated that he will be testifying before a state legislative task force which is looking at public facilities districts and funding for them next week. Tong pointed out that the general contractor has committed to a January 2nd completion date, and that although they are currently seven days behind the early completion commitment, everyone is working to maintain the schedule. C. Current Status of Construction. Tong noted that the ice slab was cast effectively, and that critical path activities include the Club Lounge, James Street Plaza, and interior millwork. He outlined other construction and contractor activities which are taking place. Tong and Wolters then answered questions relating to construction. d. Status of Design. Tong noted that design is essentially completed and that procurement is in progress. III. Operator Update Tim Higgins noted that Savor has been selected as the food and beverage provider, said that he is in the process of hiring, and commented that there has been a lot of interest in putting together sports teams. He added that contracts have gone out for housekeeping and security. He said that bookings for the first quarter are light due to the economy, but that the Harlem Globetrotters are scheduled for February. IV. Sales and Marketing Update a. Thunderbirds. Colin Campbell was not in attendance, so no update was given. b. SMG. Beth Sylves explained the work she has been doing with radio stations in the area promoting the events at the Center. She said they are working on branding of the Events Center and on development of a website, and that she expects to see the first draft in mid-October. She noted that she's also working on advertising for the grand opening. V. Finance Report a. Financial Update. Nachlinger distributed copies of the revenues and expenses report as of August 31, 2008, and explained the figures. b. Review of State Sales Tax Revenues. Nachlinger stated that downturns in the economy result in people seeking entertainment closer to home. He said he has noticed attendance at the AMC movie theater in Kent has recently increased, and that he feels confident about attendance at the Events Center. VI. Other Business a. Kiosk. Miller mentioned that downtown merchants have asked about a kiosk in the Events Center which would contain information on local restaurants and so forth. Wolters asked Miller to work with Tim to find good locations for a kiosk. Miller also mentioned that merchants would like a shuttle bus service. b. Next Meeting Date. Miller questioned whether this group should meet monthly from now on, and it was so agreed. It was also noted that as soon as possible, this group's meeting will be held at the Events Center. Wolters agreed to have Julie poll the Board as to whether they can meet on October 23rd, and if not on the 23rd, then on October 301". The meeting will be at the same time and same place. VII. Adjournment At 4:45 p.m., Haffner moved to adjourn. Sellers seconded and the motion carried. Mary Simmons Deputy City Clerk KENT EVENTS CENTER Facility Facts OPENING JANUARY 2009 Building Attributes Cost $84.5 million Funding City of Kent Public Facilities District Sustainability Built to Silver "LEED" Standard Management SMG, contracted by City of Kent Project Developers Mortenson Construction, LMN Architects in association with PBK Architects Intimate Seating — One Bowl Height from floor to highest row only 28' Scoreboard— Center hung Eight-sided, four 6'6"x14' video screens & four LED displays Seating Configurations Capacity(subject to slight changes) Hockey & Ice Shows 6,125 Concerts Up to 7,800 Basketball 5,852 Arena Football 6,012 Indoor Soccer 5,992 Rodeo & Motorsports 4,213 Boxing/MMA/Pro Wrestling 7,812 Guest Amenities FREE Parking 1 ,900 stalls Luxury Suites 20 Club Seats w/Club Lounge Approximately 500 Seat Style Cushioned, 19"-22" width, Restroom Fixtures — Women 51 Restroom Fixtures — Men 48 Restrooms — Family 2 Food & Beverage Service 28 permanent points of sale, plus portables & Club Lounge Private Management for Public Facilities KENT EVENTS CENTER PUBLIC FACILITIES DISTRICT Thursday, September 25, 2008, 3:30 p.m. Project Overview and Update— Brad Tong /SOJ Overview of Project Budget $78.6 M initial approved Project Budget, as of July 2007. • $84.5 M adjusted Project Budget, approved by City Council as of July 2008. • Of$84.5 M adjusted Project Budget, 73% ($57.4 M) is spent. • Of$66.8 M adjusted Construction Budget, approximately 76%($49.8 M) is spent. • Of$5.2 M adjusted Mitigation & Financing Budget, 100% is spent or committed to be spent. • Construction contingencies within the original budget is spent or anticipated to be spent— toward design &construction coordination, bid buyout results and unanticipated conditions in the field or fabrication, to maintain the aggressive schedule and make-up for construction schedule challenges. Overview of Project Schedule • Construction commenced onsite in August 2007. 13 months of construction completed of the 16-month construction schedule. Contractual completion date(Beneficial Use) is January 11, 2009. • Contractor committed to an EARLY COMPLETION date of Jan. 2, 2009, based on their progress and projections. A community Opening Event is planned for Jan. 2, 2009. A change order to reflect early completion will be drafted for execution. • As of today, Contractor is 7 days behind its Jan. 2, 2009 early completion commitment. • All team members(Owner, Proj. Mgr., Contractor, Design Team)continue to work nonstop to maintain schedule, deploying schedule recovery plans every week to meet this commitment. Current Status of Construction 100% of trade contractor buyout is complete. Ice slab was cast effectively and achieved design strength earlier that anticipated. Critical path activities include: Club Lounge and James St. Plaza, interior millwork • Other major construction activities include: exterior metal panels, bi-fold door, all interior finishes, HVAC testing and balancing, seating installation, landscaping, storefront and metal panel soffit. Owner's separate contractor activities include: scoreboard installation (late Oct), Owner's fixture, furnishings and equipment procurement(delivery late Nov), all food service equipment procurement in progress. PFD - Kent Events Center - September 25, 2008 Board Members Present: / I. /J Call to Order 2. Project Overview and Update .� ,!.-u2r1�i✓ ' �G{� c/`Gc,Ccf�'1itIIti.. � °�-YtZ/(C6 7!/'+. ��r� � / & o C ° 3. Operator Update - Tim Higgins Jn/1e — Su D/ z�Sirs cis,� " ,, 4. Sales and Marking Update 5. Finance Report - Bob Nachlinger e vas° 6. Other Business pC7"CQ- /��/+�^/�,.u'7)- CF2u%f"j/}�iZlt[�+�/ ✓� �:CUA t fjJLjy�l�° /fq .Pip•�.' G�tco..��,¢.e.o Lu-�-�.��-G'ON.-(''�° Adjourn��, T �� .tti P•i-_ 1� Y • III I�[1111��ID!I�;�� ! i�111 .I �� .•t� P'Illit�� In �t Kent Opening January 2009 Bellingham $84.5 million multi-use facility, a 6,150-seat arena with concert configurations ranging up to 7,800 ��:kJL and the new home of the Western Hockey League's Seattle Thunderbirds. Everett Seattle/Kent/Tacoma is the country's 14th largest tle metropolitan area (US Census 2007) with over 4.1 a lse ❑Beellevue million residents. KENT EVENTS _ .. .. . Kent Events Center is centrally located only 15 _ minutes from Seattle, Tacoma and Bellevue. Conveniently positioned near Interstate 5, just south _ of Interstate 405 and directly adjacent to State Route 167. Situated next to Kent Station, an urban village with new retail and restaurants, Kent Events Center will be the crown jewel in a well-designed gathering place for the residents of the Puget Sound region! w w w k e n t e v e n t S ' KENT SPECIAL EVENTS CENTER PUBLIC FACILITIES DISTRICT FUND (PFD) as of August 31, 2008 2008 YTD REVENUES Sales & Use Tax 43 ,129 1 Interest - Sales Tax , 9 Interest - Investments 459,735 Proprietary Gains 1,182,127 Proceeds-Sales Tax Bonds 53,150,000 Proceeds-Revenue Bonds 10,130,000 TOTAL REVENUES 65,361,470 EXPENDITURES Debt & Financial Services 78,250 Legal Services 100,000 Other Insurance 1,148,620 Intergovernmental Services-Transfer from PFD to City 48,343,412 Printshop Charges 3,316 Debt Issuance Costs 272,104 TOTAL EXPENDITURES 49,945,702 CHANGE IN FUND 15,415,768 EVENTS CENTER CAPITAL PROJECT as of August 31, 2008 2008 YTD REVENUES Intergovernmental Services-Transfer from PFD to City 48,343,412 Interest - Investments 131 Transfers In 50,000 TOTAL REVENUES 48,393,543 EXPENDITURES Supplies 4,117 Services 48,316,740 Capital Outlay 72,686 TOTAL EXPENDITURES 48,393,543 CHANGE IN FUND Kent Special Events Center Public Facilities District (PFD) Sales Tax Revenues As of August 31, 2008 Month Sales Tax Revenue March 68,928.08 April 64,340.03 May 77,107.07 June 72,061.77 July 73,138.12 August 82,904.41 438,479.48 City of Kent Monthly Budget Report KEr1T KENT EVENTS CENTER Life to Date Costs as ofSepternber lQ 2008(1-eeonciled.w/COKacctg J.P.tbrttRevised Budget CommittedRemaining Budget tLife to Date 7/1 5,108 t =Archite7cture/Enrgineering(LMN) $ 4,072,229.00 $ 4,503,719.00 $ 4,456,401A0 $ 4,089,861.55 $ 366,539.45 WC TC $ $ 28,510.00 $ 27,470.00 $ 8 509.20 $ 18 960.80 Sub-TOTALI$ 4,072,229.00 $ 4 532 29.00 $ 4 483 871.00 $ 4 098 70.75 $ 385 500.25 2.Pro cl Management Services Je Project Management(SOJ) $ 975,975.00 $ 1,035,975.00 $ 1,035,975.00 $ 878,123.47 $ 157,851.53 Testing/Inspecdons(Shannon&Wilson) $ 214,025.00 $ 150,000.00 $ 141,005.90 $ 127,716.57 $ 13,289.33 Testing/lnspecdons(Mayes) $ - $ 172,025.00 $ 165,202.00 $ 156,180.73 $ 9,021.27 Testing/Inspections-Roofing Wetherholt $ - $ 36 000.00 $ 23 000.00 $ 18,063.13 $ 4,936.87 Sub-TOTALI 1 190 000.00 $ 1,394,000.00 $ 1,365,182.90 $ 1,180,083.90 $ 185 099.00 GC/CM Pre-Construction(met.WSST) $ 217,800.00 $ 272,250.00 $ 272,250.00 $ 272,250.00 $ GC/CM Construction incl.WSST $ 63 558 533.00 $ 66 577,827.00 $ 65 605 568.62 $ 49,527 284.21 $ 16,078 284.41 Sub-TOTAL $ 63 776 33.00 $ 66 850 077.00 $ 65 877 818.62 $ 49 799 534.21 $7 16,078,284.41 Operations Consultant $ 100,000.00 $ 100,184.00 $ 100,183.93 $ 100,183.93 $ Feasibility(B&D,Baldwin) $ 85,000.00 $ 85,000.00 $ 85,000.00 $ 84,805.04 $ 194.96 Outside Legal(Foster Pepper) $ 250,000.00 $ 250,000.00 $ 250,000.00 $ 246,262.67 $ 3,737.33 PR/Community Outreach $ 120,000.00 $ 120,000.00 $ 120,000.00 $ 110,197.96 $ 9,802.04 EIS&Transp(Blumen/Heffron) $ 160,000.00 $ 246,250.00 $ 246,250.62 $ 246,250.62 $ Lobbyist/External Fundraising $ 85,000.00 $ 85,000.00 $ 85,000.00 $ 45,000.00 $ 40,000.00 Survey(Baseline) $ 10,000.00 $ 10,000.00 $ 10,000.00 $ 1,718.82 $ 8,281.18 Geotechnical/Soils(S&W Piles) $ 75,000.00 $ 185,000.00 $ 185,000.00 $ 183,244.22 $ 1,755.78 Wetlands Delineation(Legal&Scientist) $ 30,000.00 $ 30,000.00 $ 30 000.00 $ 26,646.71 $ 3,353.29 TraveVMisc/Reimburseables $ 30,000.00 $ 85,000.00 $ 92,664.60 $ 92,664.60 $ - Builders Risk Insurance $ 125,000.00 $ 211,000.00 $ 210,980.60 $ 210,980.60 $ Owner's Permits/Entitlements $ 200,000.00 $ 395,000.00 $ 390,874.14 $ 390,874.14 $ - Site Utility Connections/Fees(met PSE/Potelco) $ 100,000.00 $ 100,000.00 $ ]OQ 000.00 $ 23,266.74 $ 76,733.26 Commissioning(EH) $ 100,000.00 $ 100,000.00 $ 96,424.00 $ 47,832.84 $ 48,591.16 FF&E(incl WSST) $ 3,000,000.00 $ 4,400,000.00 $ 4,400,000.00 $ 25,000.00 $ 4,375,000.00 Naming Rights $ $ 13,822.00 $ 13,821.48 $ 13,821.48 $ Owner's LEED Costs $ $ 153,000.00 $ 153,000.00 $ 96,936.91 $ 56,063.09 40,000.00 $ 40,000.00 $ 20,000.00 $ 20,000.00 Owner's Separate Cost Estimating $ $ Special Services(LMN) $ 261,372.00 $ 288,372.00 $ 266,896.78 $ 266,896.78 $ Reimbursables LMN $ 100 000.00 $ 125 000.00 $ 118 000.00 $ 115,339.68 $ 2 660.32 Sub-TOTALI$ 4 831 72.00 $ 7 022 628.00 $ 6,994,096.15 $ 2,347.923.74 $ 4,646,172.41 Mitigation Costs $ 2,112,000.00 $ 2,112,000.00 ',11_',!1!IO.DU $ $ 2,112,000.00 Financing Costs $ 2,600,000.00 $ 2,600,000.00 2 600000.00 ! !! I llll Additional Mitigation $ $ $ Sub-TOTAL $ 4 712 000.00 $ 4 712 000.00 $ 4,712,000.00 $ $ 4,712,000.00 Allocated for Anticipated Contracts $ $ " .'i $ $ 1,077,965.33 Contingency $ $ 8 $ Sub-TOTAL $ $ $ 1 077 965.33 $ $ 1,077,96 PROJECT TOTAL COSTS $ 78 581 934.00 $ 84 510 934.00 $ 84 510 934.00 $ 57 425 912.60 $ 27 O85 021.40 73%