SPECIAL COUNCIL COMMITTEE

A Special Council Committee Meeting was held on December 14, 1999, at 6:00 p.m., with Councilman Salters presiding in the absence of Council President Christiansen (arrived at 6:15 p.m.). Members of Council present were Mr. Lambert, Mr. Pitts, Mr. Leary, Mr. Truitt, Mr. Carey, Mrs. Malone, Mr. Salters, Mr. Weller and Mayor Hutchison.

AGENDA ADDITIONS/DELETIONS

Mr. Weller moved for approval of the agenda, seconded by Mr. Carey and unanimously carried.

SPECIAL PARKS AND RECREATION COMMITTEE

The Parks and Recreation Committee met with Chairwoman Malone presiding. Members present were Councilmen Pitts and Truitt, Mrs. Moerschel and Mr. Davis.

PRESENTATION - MARKET ANALYSIS AND FINANCIAL FEASIBILITY (DRFC)

During their Regular Meeting of September 27, 1999, Council accepted the Dover Recreation Facilities Committee’s (DRFC) Progress Report and approved the recommendations. As a result, members were provided with a Report of the DRFC regarding the following tasks:

Task I - Site Information: Assure the availability of utilities for Schutte Park. The report provides complete assurance by Mr. Koenig, Public Works Director, that services to the site are available.

Task II - Subsurface Exploration and Geotechnical Engineering Recommendations: The area needed a current topographical map, site survey, subsurface exploration, and geotechnical engineering examination. This work has been completed by John D. Hynes and Associates of Salisbury, Maryland. The report provided details regarding the exploration methods employed, exhibits and data obtained and presents evaluations and recommendations.

Task III - Needs Assessment and Cost Analysis Report: Provide a realistic financial projection for the construction and operation of the facility. A needs assessment and cost analysis has been prepared and is presented as Task III of the report and is the focus of the presentation

General Vetter, Co-Chairman of the DRFC, advised members that an IRS tax-free corporation [501C(3)] has been formed to provide a vehicle for accepting tax-free donations. With the assistance of City Solicitor Rodriguez, this task has been accomplished and the Corporate Board exists.

Ms. Lauren Livingston, President of The Sports Management Group, addressed members regarding Task III, the Needs Assessment and Cost Analysis Report. This report included an Executive Summary, which provided market analysis, market penetration, marketing, fee assumptions, revenue potential, probable expenditures, and cost recovery potential; General Limiting Conditions; Probable Operating Costs, which provided expense assumptions, expense summary, expense detail budget, job descriptions, part-time staff salaries and schedules, and expense back-up; Potential Revenues, which provided revenue assumptions, revenue summary, revenue detail budget, daily admissions and pass sales, and revenue back-up and room schedules; and Cost Recovery Potential. The report also included the same details regarding the inclusion of the Dover Branch Library within the facility.

Ms. Livingston stated that their study also suggested alterations to the design of the facility. It was suggested that one of the gymnasiums be changed into a children’s gym to accommodate a particular age group. This gym could be used to address the need for indoor youth soccer, children’s gymnastics, and birthday parties.  It was also suggested that a six-foot tall foam climbing wall be added, which has recently become very popular. Ms. Livingston stated that the study indicated that there is a need to provide additional fitness facilities in this area and recommended that additional space be provided for this purpose.

Ms. Livingston concluded that considering the population of the City of Dover, as well as the surrounding area, and the population of corporate clientele, there would be enough users to support such a facility. It was her feeling that the City is in a perfect position to make a success of a facility of this type.

Responding to Mr. Truitt, Ms. Livingston stated that the children’s gym would be smaller than that of a full-sized gym. In order to determine the size necessary for a children’s gym, she stated that staff and coaches were contacted regarding size requirements for soccer. It was felt that the space saved could be used to add more space to the cardiovascular fitness area and installation of the climbing wall.

Mr. Truitt noted that three (3) courts have been proposed, with the ability to convert them into an audience court for graduations. Ms. Livingston stated that with the suggested alterations, there could be a championship court setup that would allow a significant amount of spectator seating.

Mr. O’Connor referred to the community meetings held and advised members that a minister had indicated that in his community, there was an effort made for the community center to become a family project and that the monthly fee be made a financial priority.

Responding, Ms. Livingston stated that according to the data obtained, the number of family households suggests that the facility be considered a family center with programs and activities made available to all age groups to target family participation.

In response to Mayor Hutchison, Ms. Livingston stated that corporations are very interested in facilities of this type since they help reduce their health care costs and are beneficial in team-building. She stated that the price structure for corporations is fairly equivalent to that of a resident. Discounts could be offered for bulk purchases; however, the pricing structure is based on making the facility as affordable as possible for everyone.

Council President Christiansen questioned if the space dedicated to the climbing wall could be easily converted if the wall did not prove to be popular. Ms. Livingston explained that it would be built on the gymnasium wall; therefore, the space used would be vertical space instead of floor space, which could easily be converted to another use if necessary.

Responding to Mr. Salters, Ms. Livingston stated that less than four percent (4%) of expenses would be used for marketing. She felt that it would be imperative for an individual with professional experience in marketing to be obtained for the task. She also felt that it would be necessary to determine the objectives with regard to the number of people that are attempted to be reached and effectively measuring the marketing efforts to determine what works.

Mr. Salters questioned if the facility would have anything to offer those citizens that do not participate in recreational activities. Ms. Livingston stated that they could utilize the library, meeting rooms, classrooms, movies, and concerts.

Mrs. GiGi Windley, Chairperson of the DRFC, advised members that this could be one of the most important economic development incentives for Dover.

Mr. Paul Booton, Central Delaware Soccer Association, stated that last fall the league had 2,200 children playing at Schutte Park. They are very excited about the facility being built because indoor playing space is currently non-existent.

Mr. Jack Fisher, member of the DRFC, indicated that he recently participated in the search for a pastor for the First Presbyterian Church in Dover. He advised members that the pastor that was selected has a family of six (6) and that one of the first questions asked was what type of recreational facilities were available in Dover.

Mr. Chatty Reed, member of DRFC, stated that he is familiar with a similar facility in Pennsylvania which is called “Family First” and is geared toward sporting tournaments. He stated that the facility has created other economic developments in the area. As an example, he explained that since many of the tournaments would require overnight stays and there were no accommodations in the area, a a dormitory was built to house tournament participants.

Responding to Mr. Pitts, Ms. Livingston stated that most similar facilities have two (2) pools, a leisure pool and a lap or instructional pool. She stated that an outdoor seasonal pool could also be considered to be phased-in at a later date.

Mr. Salters stated that the report is very encouraging and provides support for the proposed facility and questioned if there were any negative concerns. Ms. Livingston stated that the entire project and data obtained were carefully reviewed in consideration of any type of adverse concerns. She assured members that there were no real concerns, stating that the location and site are excellent, the population is supportive, and the economics of the community are strong enough for an affordable fee to sustain the necessary revenues.

In response to Mr. Salters’ concerns of how residents that cannot afford to utilize the facility would be accommodated, Ms. Livingston stated that other facilities offer programs such as sponsored annual passes and free nights once a month.

Mr. Roddie Byers, member of DRFC, advised members that there is a 35,000 square foot facility at Dover Air Force Base that serves approximately 20,000 people per month. It was his feeling that there would be no difficulty in filling a 70,000 square foot facility with members.

General Vetter stated that there has been a clear, demonstrative need for the facility and that it is well within the economic capability of the area to support such a facility. The DRFC is convinced that raising the remaining $6 million of the $10 million needed to build and equip the Center must be the next step in this endeavor. It was General Vetter’s feeling that if attempts to acquire the necessary funding is not done in a highly responsive fashion, this effort will die. Based upon research and discussions, DRFC recommended that a professional fund-raising firm be retained within the next few weeks. If the majority of the funds necessary is not obtained through fund-raising, then it was recommended that a referendum be held.

Mrs. Moerschel moved to recommend acceptance of the DRFC Report, seconded by Mr. Truitt and unanimously carried.

Mr. Truitt moved to recommend that the City Manager and Finance Director/Treasurer, in cooperation with the 501C(3) Executive Committee of the DRFC, be authorized to move forward in contacting fund raising firms and to make arrangements for interviews for selection. The motion was seconded by Mr. Pitts and unanimously carried.

At the committee’s request, there was a consensus of members of Council to move forward with the committee’s recommendation, noting that official action by Council will occur during their Regular Meeting of January 10, 2000.

For clarification, Mr. O’Connor indicated that once the 501C(3) Executive Committee of the DRFC has formulated a recommendation for a fund raising firm, it must be presented to Council for final approval.

Mrs. Malone moved to adjourn, seconded by Mr. Truitt and unanimously carried.

Meeting Adjourned at 7:50 P.M.

                                                                                    Respectfully submitted,

                                                                                    Reuben Salters

RRC/jg

S:ClerksOfficeAgendas&MinutesCommittee-Minutes199912-14-99.min