HomeMy WebLinkAboutCity Council Packet 04-08-2014 SpecialCITY OF PLYMOUTH
AGENDA
SPECIAL COUNCIL MEETING
APRIL 8, 2014, 5:30 p.m.
MEDICINE LAKE CONFERENCE ROOM
1. CALL TO ORDER
2. TOPICS
A. Discuss Plymouth Ice Center Training Facility Project and Consider
Advertisement for Bid (4002 1)
3. ADJOURN
Special Council Meeting 1 of 1 April 8, 2014
rp)City of
Plymouth
darting Quality to Life
SPECIAL
COUNCIL MEETING
April 8, 2014.
Agenda 2A
Number:
To: Dave Callister, City Manager
Prepared by: Diane Evans, Director of Parks and Recreation
Reviewed by:
Item: Discuss Plymouth Ice Center Training Facility Project
and Consider Advertisement for Bid (40021)
1. ACTION REQUESTED:
Discuss the Plymouth Ince Center Training Facility Project, PRK40021, and consider authorization
for the advertisement of bids.
2. BACKGROUND:
The proposed project would be a public-private partnership between Acceleration Minnesota NW
(Acceleration), Wayzata Youth Hockey Association (WYHA) and the City of Plymouth to construct
a 7,500 square foot addition onto the Plymouth Ice Center (PIC) for dry land training. The City will
enter into a binding financial contract and/or lease agreement with each of the partners to help
subsidize the project. Acceleration will advance $67,500 (on their first full year lease payment) prior
to construction and provide an additional nine years of lease payments for a total of $773,811.
WYHA will contribute $1.00,000 prior to construction and five yearly contributions, for a total
financial investment of $528,000. WYHA is committed to contributing 40% of the overall project
cost.
The City will lease the training facility to Acceleration, a Plymouth company for over 20 years.
Acceleration will operate the facility and provide athletic training and skill development for all
sports programs (soccer, baseball, basketball, football, hockey, etc). Components of their training
program include plyometrics (ground based speed work), strength training, and use of specialized
treadmill equipment. Currently, the City is in the process of negotiating the 10 -year lease agreement
with Acceleration for the management and operation of the training area. The agreement will include
the advance of their first year lease contribution and annual lease rates thereafter of $9.27 per square
foot with a 3% inflator. As part of the agreement, Acceleration will be responsible for real-estate
taxes, utilities and general cleaning and maintenance of the facility.
WYHA believes that training and development are the key ingredients for successful hockey players
as well as all athletes, which is why they are supporting the project and will continue to financially
support and utilize the PIC as its home ice facility and future dry land training area. The City is in
the process of negotiating an agreement that outlines their financial commitment.
The Memorandums of Understanding, which were utilized for the Hennepin County Youth Sport
Grant, are provided as attachments to this report. The official agreements for Acceleration and
WYHA will be completed and submitted to the City Council in coordination with the authorization
to accept bids and proceed with the project.
Page 1
The original project cost was estimated at $1 million for 7,220 square feet of space ($1.38.50 per sq.
ft.). With the completion of the initial construction documents, the engineer's cost estimate for the
project is $1,045,000 for 7,500 square feet ($139.33 per sq. ft.). In conjunction with the construction
documents, soil borings for the site were completed. Unfortunately, the soil conditions are very poor
and cannot sustain a building structure without modifications. As a result, the budget for the project
has increased approximately $272,000 to an overall project budget of $1,320,000. The revised
estimate includes utilizing helical piers, concrete grade beams and concrete pier caps to support the
building foundations along with a 12" precast floor plank to support the floor system.
RJM Construction, our project manager, has completed the plans and specification for the Training
Facility. The attached drawings show the layout of the space, the building elevations, and the site
plan.
The estimated project timeline:
■ Bid advertising April 10 -April 24
■ Bid due date April 24
■ City Council Bid Review/Award May 13
■ City Council Authorize Partner Agreements May 13
■ Construction June 3 — November 14
■ Final Completion
The training facility design includes:
Overall footprint 7,500 sq. ft.
Training area space 6,300 sq. ft.
Office/bathroom/locker rooms 1,200 sq. ft.
■ The interior space will have an industrial
or raw feel to it.
■ The space will include office areas, a
unisex restroom, two locker rooms,
mechanical room and dry land training
November 14
space.
■ The interior floor material will be sealed concrete, with a few exceptions (e.g. the office areas
and bathroom). Acceleration will provide the rubber and artificial floor material for the
training space.
■ PIC's rear vestibule will be the only common space of the facility, providing access to both
the ice arena and the dry land training space.
■ The exterior of the facility will closely match Rink C with 18' high precast concrete walls
and a few windows for natural light.
■ The parking lot layout will be slightly altered to accommodate the addition; however, the
parking space ratio will remain the same.
3. BUDGET IMPACT:
This project is scheduled in the 2014 Capital Improvement Program with an estimated cost of $1
million. With the completion of construction documents and the updated soil boring results, the
Page 2
engineer's cost estimate for the project is $1,320,000. In addition to the Acceleration lease advance
and WYHA contribution, the remaining project costs will be financed utilizing an internal loan from
the Field House Fund that has a current balance of approximately $1.4 million.
The City's financial contribution to the project via the internal loan is $724,500. Over the ten-year
lease agreement, the City will generate $773,811 in revenue. Over the long term, the off -ice revenue
will provide for future improvements and needed repairs at the PIC. This new source of revenue will
help ensure that the PIC fund continues to operate in the black for the long term.
4. ATTACHMENTS:
Site Concept Plans
MOU Agreements
Financial Information
Resolution
Page 3
ADDITION
PLYMOUTH ICE CENTER DRYLAND TRAINING ADDITION SITE PLAN
2 92 D e s'l cl In ( 1) 348514
........... PRECAST CONCRETE WALL
PANEL TO MATCH RINK C.
SOUTH ELEVATION
NORTH ELEVATION
PLYMOUTH ICE CENTER DRYLAND TRAINING ADDITION ELEVATIONS
2 9 2 D e s'l cl in ( i) 3PAgg.614
MEMORANDUM OF UNDERSTANDING BYAND BETWEEN THECITY OF PLYMOUTH, MINNESOTA AND ACCEBRATIONfvllNNESOTA_NW
REGARDING THE DEVELOPMENT, CONSTRUCTION AND OPERATION
OFTHE PLYMOUTH ICE CENTER DRY U\0DTRA/N|NG AREA
l. The P/ymouthIce Center Dry Land Training Area ("project )miUbeanouaddkiontotheeastsi6enf
the PlyrTIOUth Ice Center. The 7220 square foot project area will provide a public dry land warm-up area
(800-1000 sq. ft), arid a dry land area for athletic training and skill development for all sports.
Components of the training area will include plyometrics (ground based speed work), strength training'
high speed running treadmill and the hockey treadmill.
Z The project will be developed and financed through a public-private partnership between the City of
Plymouth ("City"), Acceleration Minnesota -NW ("Acce|eration") arid Wayzata Youth HockeyAssodatiun
(WYHA). The estimated cost of the project is $1,000,000. "Project costs" include architectural and
engineering fees, soil testing, site preparation, perrnits, construction costs, and utilities, iegal, insurance,
landscaping and all other costs associated with the project. The project shall be designed and
constructed as a Municipally owned public facility under the standards, rules and Iavvs of the Stateof
Minnesota.
3. The City, WYHA and Acceleration will share the initial project construction cost, The City wiU
contribute $519,020 and any project cost over the estinnated project cost of $1,000,000. WYHA will
contribute $I0000Oand Acceleration will contribute �55,SDO, All financial oontribudonsvvO!bepaid to
ihe[ityofP|ymoutheiLhin3UdaysafterLhe"Project"hzsbeenappnovedbytheCity[ounciL
4. Acceleration will lease the "Project" space from the City ofPlymouth. The City wi|l negotiate final
lease agreement with Acceleration once the City Council has authorized the "Project" to proceed.
Tentatively, Acceleration will enter into a 10 --year financial lease agreement with the City to manage and
operate the dry land training area (6220-6420 sq. ft). Community and County individuals, groups and
organizations will schedule and pay for training, health and wellness services through Acceleration,
Tentatively, the financial lease agreernent will include a yearly lease rate of $9 per square foot with a 3%
inflator.
5. The "Project" will be designed by an architect selected and contracted to the City.
6, The "Pnject.architect will beadvised byadesign teamconsisting ofmembers ufAcceleration,
VVYHAand the City. Upon completion ofthe design drawings and plans and specifications, the project
plans will bepresented tothe City Council for approval.
7. TheOty'sexecubonofconStrucdoncontractsforthepuojectvi||becon6idonedonaUufLhe
following actions being, accompUshedtothe satisfaction ufthe City Mana�er:
a. The City has received the full cash cont,ribution of $1.00,000 from WYH,,\ and S55,980 for
Acce|eradnn; and.
D. The[iiyvvUlsocuneaUneoessar/8overnmenta|permits,Ucenoes,surveys,soi|tests,andcther
entitlements necessary for the construction and operation of the project,
9. The[i1yreservesaUnamin8hQhLs(ortheprojeciproudeditmayseUor|ersed`osehQhtsathsso\e
discretion, as lonU as the City uses 01(2 I'Linds for FnainLena rice arid Upkeep of the Plymouth Ice Arena,
including, but not limited to, the project.
1.0. The City will control all vending machine rights in the Plymouth Ice Arena including the project and
any other additions tuthe arena.
11, [he City will control all branding decisions in the Plymouth Ice Arena including the project and any
other additions iothe arena.
'12. The City will control all exterior arid interior signage for the project.
13.The City reserves the right tocancel the project for any reason prior 10the award ofconstruction
contracts, including, but not limited to, any ofthe following:
Project costs exceed the project budget.
One or more of the financial partners (WYHA and Acceleration) drops out of the project
The City ofPlymouth does riot receive the Hennepin Youth Sports Pru�oamGrant
APPROVED AND ADOPTED�
Acceleration Minnesota -NW
BY:
AND
it's
City of Plymouth
�
BY:
It's Park, & Recreation Director
AND
It's 1co Arena Manaaer
MEMORANDUM OF UNDERSTANDING BVAND BETWEEN THE CITY pFpLy&4OUTH,MINN ES8TA AND Wy\yZATAYOUTH HOCKEY ASSOCIATION
REGARDING THE DEVELOPMENT, CONSTRUCTION AND OPERATION
OFTHE PLYMOUTH ICE CENTER DRY LAND TRAINING AREA
1. The Plymouth |ce Center Dry Land 'Training Area ("project") will be a new addition to the east side of the,
Plymouth Ice Center. The 7220 square foot project area will provide a public dry land warm-up area (800'1000
sq. ft)' and a dry land area for athletic training and skill development for all sports. [omponentsofthe training
area will include plyonietrics (ground based speed work), strength training, high speed runnina treadmill and the
hockey treadmill.
Z. The project will be developed and financed through a public-private partnership between the City of
Plymouth ("City"), Acceleration Minnesota -NW ("Acce le ratio n") and Wayzata Youth Hockey Association (WYHA).
Theesdmatedcosto[theprojeciis$1,0000OU."Puojectcoyts"indudearchitecturo|andcngineehnBfees,soi|
testing, site preparation, permits, construction costs, utilities, legal, insurance, landscaping and all other costs
associated with the project. The project shall be designed and constructed as a municipally owned public facility
under the standards, rules and laws ofthe State ofMinnesota.
3. The City, VVYHAand Acceleration will share the initial project construction cost. The City will contribute
$519,020 and any project cost over the estimated project cost of$1,0O0 000. WYHA will contribute $101000
and Acceleration will contribute $55,880. All financial contributions will be paid to the City ofPlymouth within
3Odays after the "Puoject"hasbeen approved bythe City Council.
4. Acceleration will lease the "Project" space from the City o(Plymouth. The City will negotiate a final lease
agreement with Acceleration once the City Council has authorized the "Project" to proceed.
5. Once the training facility is constructed, Wayzata Youth Hockey Association will donate another $30lO0Oto
the "Project", VVYHAmiUmakefour(4)$7S,OOOannuaUypaymentsonDecember1nofeachyearbeQinningon
December 1,3O1S,
6. The "Project" will be designed hyanarchitect selected and contracted tothe City.
7. The "Project" architect will be advised by a design team consisting of members of Acceleration, WYHA and
the City. Upon completion of the design drawings and plans and specifications, the project plans will be
presented to the City Council for approval.
Q. The[ity'sexeoutionnfconstrucboncontractshzrtheprojec1wiUbecnndidonedonaUofthefo|lowing
actions being accomplished tothe satisfaction ufthe City Manager:
a. The City has received the full cash contribution of $100,000 from WYHA and $55,980 for Acceleration;
and,
h. The City Council has approved o 10 -year lease aQ/eemcntwith Acceleration
9. The City Will Secure all necessary governmental perrnits, licenses, surveys, soil tests, arid other entiLlen,)ents
necessary for the construction and operation ofthe project.
10. The City reserves all nam}nQ rights for the project, provided it may sell o/lease those rights atits sole
discretion, as long as the City uses the funds for maintenance and upkeep of the PlYMOUth Ice Arena, including,,
but not. Umitedto, the project.
11. The City will control all vending machine rights in the Plymouth Ice Arena including the project and any
other additions tothe arena.
12. The[kyvviUconLro|aUbmndinoldecisionsioihePlymnuth|ceAoenainc|udin,-,thepnojectandanyother
additions to Lhe arena.
13. The City will control all exterior and interior signage for the project.
14.The City reserves the right tocancel the project for any reason prior tothe award ofconstruction contracts,
including, but riot limited to, any ofthe foUowing�
a. Project costs exceed the project budget.
b. One or more of the financial partners (WYHA and Acceleration) drops out of the project
c The City ofPlymouth does not receive the Hennepin Youth Sports Program Grant
APPROVED AND ADOPTED:
�
BY:
Its Park Recreation Director
ANDXz
It's Ice Arena Manager
I
PLYMOUTH ICE CENTER EXPANSION
DRY LAND TRAINING AREA
rib
City of
Plymouth
Revenue Assumptions
Loan Assumptions
Adding juotitytoLite
Leaseable s.f.
7,500
Rate
1.50%
Lease Rate
9.27
Term
10
Inflator
3%
Amount
1,152,500
Includes $167,500 upfront WYHA & Accel. contribution
Dated Date
1/1/15
Assumes no accrued/capitalized interest
First Payment
12/31/15
WYHA Contributions
$528,000
2014
100,000
2015
86,000
ESTIMATE CONSTRUCTION
COST =
$1,320,000
2016
85,500
2017
85,500
2018
85,500
2019
85,500
Total
528,000
Beginning
Interest
Principal
Ending
Year Revenue
Balance
Payment
Payment
Payment
Balance
2015
155,525.00
1,152,500
17,287.50
138,237.50
155,525.00
1,014,263
2016
157,110.75
1,014,263
15,213.94
141,896.81
157,110.75
872,366
2017
159,259.07
872,366
13,085.49
146,173.59
159,259.07
726,192
2018
161,471.84
726,192
10,892.88
150,578.96
161,471.84
575,613
2019
163,751.00
575,613
8,634.20
155,116.80
163,751.00
420,496
2020
80,598.53
420,496
6,307.45
74,291.09
80,598.53
346,205
2021
83,016.49
346,205
5,193.08
77,823.41
83,016.49
268,382
2022
85,506.98
268,382
4,025.73
81,481.25
85,506.98
186,901
2023
88,072.19
186,901
2,803.51
85,268.68
88,072.19
101,632
2024
90,714.36
101,632
1,524.48
89,189.88
90,714.36
12,442
2025
93,435.79
12,442
186.63
93,249.16
93,435.79
(80,807)
2026
96,238.86
(80,807)
(1,212.11)
97,450.97
96,238.86
(178,258)
1,414,700.86
1,414,700.86
Project cost estimate is $1,320,000.
Document- Mar. 2014
Page 11
Revenue Assumptions
Training Area Leaseable S.F
Public Warm-up Area
Total Leaseable S.F.
Lease Rate
Inflator
Lease Agreement
9.00 S.F.
3%
10 years
7500
0
7500
10 -YEAR TOTAL $773,811.85
Project Cost
Contributions
WYHA
City
Hennepin County
Acceleration
Tota I
Monthly
Lease Total
$5,793.75
$5,967.56
$6,146.59
$6,330.99
$6,520.92
$6,716.54
$6,918.04
$7,125.58
$7,339.35
Document -Mar. 2024
$1,320,000
$528,000.00
$724,500.00
$0.00
$67,500.00
$1,320,000.00
Page 12
Annual
Year
S.F. Rate
Lease Total
2014
9
$67,500.00 * Paid upfront
2015
9.27
$69,525.00
2016
9.55
$71,610.75
2017
9.83
$73,759.07
2018
10.13
$75,971.84
2019
10.43
$78,251.00
2020
10.75
$80,598.53
2021
11.07
$83,016.49
2022
11.40
$85,506.98
2023
11.74
$88,072.19
10 -YEAR TOTAL $773,811.85
Project Cost
Contributions
WYHA
City
Hennepin County
Acceleration
Tota I
Monthly
Lease Total
$5,793.75
$5,967.56
$6,146.59
$6,330.99
$6,520.92
$6,716.54
$6,918.04
$7,125.58
$7,339.35
Document -Mar. 2024
$1,320,000
$528,000.00
$724,500.00
$0.00
$67,500.00
$1,320,000.00
Page 12
CITY OF PLYMOUTH
RESOLUTION No. 2014 -
AUTHORIZING THE ADVERTISEMENT FOR BIDS
FOR THE PLYMOUTH ICE CENTER TRAINING FACILITY
CITY PROJECT N0. PRK40021
WHEREAS, the proposed project will be a public-private partnership between Acceleration
Minnesota NW (Acceleration), Wayzata Youth Hockey Association (WYHA) and the City of Plymouth
for the construction of an addition onto the Plymouth Ice Center (PIC) for dry land training; and
WHEREAS, the 7,500 square foot addition will be constructed at the rear of the
Plymouth Ice Center abutting Rink B; and
WHEREAS, the City will enter into a binding financial contract and/or lease agreement
with each of the partners to help fund the project; and
WHEREAS, the City will lease the space to Acceleration to operate as a dry land training facility
for athletic and skill development for all sports programs (soccer, baseball, basketball, football, hockey,
etc); and
WHEREAS, Wayzata Youth Hockey Association will provide financial support for the project
because they believe that training and development are the key ingredients for successful hockey players
as well as all athletes; and
WHEREAS, RJM Construction and 292 Design Group consultants on the project have prepared
plans and specification and estimated costs for the new addition; and
WHEREAS, the estimated cost of the project is $1,320,000 and will be financed utilizing an
internal loan from the Field House Fund; and
WHEREAS, the bid process will be initiated in April and available for bid award at the
May 1.3, 2014.City Council meeting;
NOW, THEREFORE BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF THE CITY
OF PLYMOUTH, MINNESOTA, that the advertisement for bids for the Plymouth Ice Center Training
Facility Project, PRK40021 is hereby approved.
APPROVED this 8th day of April, 2014.
Page 13