HomeMy WebLinkAboutPublic Hearings CITY COUNCIL AGENDA REPORT
March 17, 2003
7A
PREPARED BY: Frank Boyles, City Manager
AGENDA ITEM: PUBLIC HEARING TO DISCUSS FUTURE OPERATION OF THE DANCE
PROGRAM.
DISCUSSION: History: At the March 3, 2003 meeting, the City Council considered a report
regarding the operation of the Dance program (attached). The City Council asked
a number of questions about the report and directed that responses to the
questions be provided at the March 17 meeting. The COuncil also directed that a
Public Hearing be scheduled for March 17th to encourage that anyone interested
in the subject have the opportunity to provide input. Input was also requested
from the Park Advisory Committee and Dance Advisory Committee.
Current Circumstances: A notice of the public meeting was published in the Prior
Lake American on March 8th and March 15t'. Flyers were also prepared and made
available for parents to pick up at the Dance Studio. The Dance newsletter
distributed last Saturday to the homes of dancers provided information about the
public meeting. On Sunday, Sue Walsh, Chris Esser and I met with all of the
dance program instructors to share a copy of the report, invite them to submit
their input and give them information to provide dance parents if asked.
Conclusion: The City Council should solicit input from interested parties through
the public meeting, and direct staff accordingly on how to proceed.
ISSUES: The attached memo from Chris Esser addresses the questions posed by
Councilmembers at the last meeting. Also attached are minutes of the Park
Advisory Committee meeting offering its recommendation. We will provide notes
from the Dance Advisory Committee once that meeting takes place. In addition, I
have attached written comments we have received on this topic. Those
comments are attached. Other issues relating to the operation of the dance
program were contained in the original report.
ALTERNATIVES: (1) Conduct the public meeting and take no action.
(2) Conduct the public meeting and direct staff to provide additional information.
(3) Conduct the public meeting and direct the staff to prepare a Request for
Proposals (RFP) to privatize the operation of the dance program.
Alternative (1) would be for the City to continue to operate the dance program as
it has since 1982.
Alternative (3) would result in the preparation of an RFP to lease the studio space
to a private party for operation of a dance program.
RECOMMENDED
MOTION: As the Council deems appropriate.
16200 Eagle Creek Ave. S.E., Prior Lake, Minnesota 55372-1714 / Ph. (612) 447-4230 / Fax (612) 447-4245
R:~GENDA REPORTS~003 DRAFTS\DAN(~B
CITY COUNCIL AGENDA REPORT
MEETING DATE: ~MoaArCh 3, 2003
AGENDA #: er~.~
PREPARED BY: Frank Boyles, City Manag
AGENDA ITEM: CONSIDER APPROVAL OF-I~EPORT REGARDING OPERATION OF THE
DANCE PROGRAM AND STUDIO.
DISCUSSION: History: Since 1982, the City of Prior Lake has offered a dance program as part of
its recreation programming. The first program was offered to 17 students in the
basement of the old library building. In 1992, because of the growth of the
program, the dance studio was moved to the Priordale Mall. A short two years
later, the dance program boasted an annual budget of $47,500, employed four
teachers and 225 students. The first full-time Recreation Supervisorwas hired in
part to supervise the dance director and teaching staff. In February 1997, as part
of the $7.8 million Park and Library Referendum, fundingwas set aside to build a
new studio as part of the new library. In October 1999, the dance program moved
to its new 4634 square foot home located within the 17,867 square foot Library
Resource Center. The program had a budget of $68,000, staff of 10, and 302
participants. By 2002, the dance program has an operating budget of $206,745,
12 teachers and 434 participants.
Current Circumstances: The purpose of this report is to examine the Dance
program operation and determine what course of action to take to assure that the
program continues to grow and serve the needs of our community. There are
numerous reasons for examining the Dance program at this time.
1. The 2020 Vision and Strategic Plan, in its financial element directs the
staff to seek additional revenue sources and to exercise fiscal prudence in
budgeting and fiscal management.
2. Governor Pawlenty and Finance Commissioner McEIroy have encouraged
cities to examine how to deliver services more cost effectively, including
joint efforts and privatization. This message was underscored when we
learned that Prior Lake would be losing $366,842 state assistance in 2003
and $366,842 in 2004. Modifications in the dance studio operation could
be a part of the answer to these shortfalls.
3. The Dance program is at a crossroads. The existing space is utilized
seven days a week. (See Attachment 1 which shows the classes offered,
dates, times, age groups, teachers and tuition.)A few years ago, the
dance program began participating in dance competitions. On one hand, it
is unique for a municipal dance program to participate in competitions. On
the other hand, I am told that resource constraints prevent participation in
larger, more prestigious competitions. It appears that if the program is to
16200 Eagle Creek Ave. S.E., Prior Lake, Minnesota 55372-1714 / Ph. (612) 447-4230 / Fax (612) 447-4245
R:~AGENDA REPORTS~003 DRAFTS~MARCH 3RD DANCED(3~ AN EQUAL OPPORTUNITY EHPLOYER
grow, it cannot do so as the program is currently administered and funded
by the City.
4. The costs for the program in the recent years are rising faster than the
revenues and number of dancers. The result is lower revenues and
increased expenses.
5. Dawn Schulberg, the lead instructor, has confirmed her desire to open her
own dance studio. The studio could be the Prior Lake program or
completely independent from the City. It is my personal belief that if Ms.
Schulberg leaves, a significant number of customers may follow her. The
nature of the dance program would change as a result.
Conclusion: The purpose of this agenda item is to look at the present dance
studio operation to determine if changes should be made to improve the program
for all stakeholders.
ISSUES: The Existing Dance Program Operation
The Dance program is a year-round operation with the primary activity period
from September to June, approximating the school year. In May and June,
registration activities begin. By June/July, tryouts take place so that dancersare
placed into classes based upon age, ability and experience. Classes are
scheduled from August to June the following year. A total of 434 students
participated this year.
The 4634 square foot dance studio is divided into two different areas so that two
classes can be offered simultaneously. Dance is offered for boys and girls of
various ages and abilities. For example, creative movement is offered for 3 and 4
year olds. One of the most popular programs is jazz/tap which is offered to 4 year
olds to 18 year olds. Classes in ballet, pointe, lyrical, dance line, Father/Daughter
and competitive classes are also offered. For a complete listing of classes and
age groups served, see Attachment 1 - Prior Lake Dance Class Schedule.
Classes are offered seven days a week. Monday through Friday and on Sundays,
with classes taking place in the afternoons and evenings. On Saturday, classes
are offered 9am to 1:30pm.
Shown below is a table showing the growth in Dance program participants. Also
shown are our projections, based upon the growth the program has experienced
between 1999 and 2002, and for the next five years. Program growth was 132
participants in the three years from 1999 to 2002, or44 participants per year. In
five years, at this rate of growth, total participation could be 654 in 2007.
Year 1982 1994 1999 2002 2007
# of Students 17 225 302 434 654
These numbers may be conservative as the growth in Prior Lake in the last year
(2002-2003) is dramatically higher than previous years. We also know that the
School District has been adding new students at a rate of 400 per year. Finally, it
has been generally recognized that additional students could be added to the
program if teachers, time and additional space were available.
R:~AGENDA REPORTS~2003 DRAFTS~MARCH 3RD DAN~I=
Existing Dance Studio Staff Resources
The present operation and administration of the Dance program involves
Recreation Supervisor Chris Esser, Recreation Specialist Heather Carlson, and
Recreation Secretary Nancy McGill. These individuals are responsible for:
(1) General administration of the 12 dance studio staff of independent
contractors. This includes annual job descriptions, hiring, processing of
personnel data, execution of contracts, personnel related complaints or
announcements, and similar personnel functions.
(2) Registration for programs. This involves registering and entering the
pertinent information about each dancer into our RecTrac software, setting
up accounts for billing and processing payments, and associated record-
keeping. The Finance Department is involved, as well, in payroll
processing, accounts payable for supplies and related expenses.
(3) Communication. Dance studio communications include the Steppin'Times
newsletter and registration information in the Wavelength together with
periodic flyers of special events.
(4) Dance Advisory Committee. The committee meets monthly to discuss
dance-related issues and parent concerns. These individuals staff this
committee.
(5) Spring Recital. The annual recital involves the ordering of costumes by the
City, taking inventory of the shipments, and obtaining payments. The
written recital program and tickets are a significant effort requiring
additional staff beginning in March to organize and participate in a large
ticket sale event, distribution of tickets, designing and compiling program
information, assembly of programs, and providing on-site supervision for
rehearsals and at the recital event. Additional staff are also needed to work
in the ticket booth during the recital.
(6) Maintenance of Studio. The floor of the dance studio requires annual
refinishing. Staff members are needed to supervise day-to-day activities to
assure that participants do not damage the building or its contents. In
addition to having janitorial services, once a week the building is swept and
vacuumed by City employees and garbage removed.
We estimate that annually, the operation of the Dance program requires 50% of
the Recreation Supervisor's time, 80% of the Recreation Secretary's time, and
100% of the Recreation Specialist's time. This does not include time invested by
the Assistant City Manager, the Maintenance staff, the Finance department, or
other support staff as needed.
Dawn Schulberg is the head dance instructor. She is responsible for the day-to
day operations of the studio, recommending instructors for hire, assigning
classes, approving time cards, arranging dance routines and oversight of the
recital. She has 11 dance instructors who work with her (See Attachment 1).
Financing the Existing Dance Studio Operation
The Dance program expenses and revenues are part of our annual General Fund
Budget.
R:~AGENDA REPORTS~2003 DRAFTS~IARCH 3R1'3 Fr)AN~.F 13t3~.
t 2000 I 200'1 2002
Participants: 418 students 407 students 434 students
Program Expenditures:
Supplies, Fees, Rentals $ 69,540.00 $83,767.00 $92,999.00
Contractual Teaching Staff: $102,549.00 $110,405.00 $113,746.00
Total $172,089.00 $194,172.00 $206,745.00
Program Revenues:
Includes Tuition, Costumes, Shoes, Recital, Competitions.
Total $245,349.00I $274,563.00I $276,805.00
Total Net Revenue $73,260.00 $80,391.00 $70,060.00
Administrative Costs:
Recreation Supervisor $22,446.00 $23,361.00 $24,603.00
(50% of annual wage)
Recreation Secretary $14,404.00 $16,424.80 $17,382.00
(80% of annual wage)
Recreation Specialist ........ $6,256.00
(80% of annual wage)
Total $36,850.00 $39,785.80 $48,241.00
Total Net Revenue
Including Admin Costs $36,410.00 $40,605.20 $21,819.00
Recreation Supervisor Chris Esser assembled the above data for the years 2000,
2001 and 2002. The data shows that in program year 2002, the dance program
served 434 students. Costs for the purchase of supplies, fees and rentals
constitute $92,999 and contractual teaching costs are $113,746. Considering both
costs, the total 2002 expenditures for the dance program were $206,745. The
revenues associated with the program were $276,805. Revenues in excess of
expenditures were $70,060.
However, certain operation and capital costs are not charged against the dance
program. Wages for the Recreation Supervisor, Recreation Secretary and
Recreation Specialist associated with the dance program operation were $48,241
in 2002. In 2003, the cost will be more like $60,486 because the Recreation
Specialist fees reflected in 2002 are for a partial year. This does not include
employee benefit costs for the Recreation Supervisor, which is a full-time
position. Considering that benefits are 40% of the employee pay package, benefit
costs on $24,603 in full-time Recreation Supervisor wages would be $9841.
Building operating costs (heating, cooling, maintenance, cleaning, etc.) are not
included above either. The annual cost of operating the Library building is about
$55,000. Considering that the dance studio is about 26% of the building,
approximately $14,300 in annual operating costs can be attributed to the dance
studio.
The capital costs of the building are not included as well. The Library project was
$2.5 million. Assuming a 50 year useful life and the fact that the dance studio is
about 26% of the building, the annual capital cost is $13,000 ($2.5 million..-50 x
.26).
R.'~AGENDA REPORTS~2003 DRAFTS'~IARCH 3RD DANCE.DOC
When taken together, the annual benefit costs, building operating and capital
costs total $37,141. Subtracting this amount from the Net Revenue Including
Administrative Costs of $21,819 yields an annual program loss of $15,322.
An Alternate Approach
The City could chose to radically reduce its involvement, and therefore
investment, in the dance program while still generating revenues. Such an option
would involve preparing a Request for Proposals (RFP) which would allow all
interested parties to submit competitive proposals to lease the dance studio. The
bid process would be publicized in the official newspaper to encourage the
submission of proposals. The RFP would specify that the dance studio is
available for lease to those who wish to run a dance program. The RFP would set
forth the parameters for all bidders to follow. Hours of operation, insurance
requirements, and expectations regarding the dance studio operation can be
included in the RFP and enforced through a contract and security.
Each bidder would submit a proposal which would quote a lease rate per square
foot for each of the three years of the lease. ^ provision could be included so that
at the end of the third year of the agreement, lease rates for the fourth, fifth and
sixth years of the agreement would be negotiated. The RFP would also indicate
that the Lessee would pay an annual allowance for operating costs (since
separate meters do not exist for the dance studio). In this way, the City could
recover some of the operating costs of the building.
The RFP and contract would also specify that the bidder is responsible for
cleaning the space at their own cost or by paying a pro-rata share of the City's
building maintenance costs. The City owns a piano and stereo equipment in the
studio so they would have to be addressed as well. The floor requires annual
stripping, sanding and refinishing. This cost would be borne by the lessee or
negotiated into the annual cost.
While I have not done extensive surveying, I am aware of a local concern who
has 5000 square feet of space available at $9.60 per square foot per year. This is
rough space and does not include a dance floor, mirrors or separators. Since the
dance studio is finished and ready to use, I would estimate a reasonable annual
lease rate to be say $11 per square foot or $50,974 per year. If the lease is
properly structured, the $50,974 can be income to the City. Of course, the
ultimate lease rate will be based upon the proposals received. If the rate received
is too Iow, the Council can always reject the proposal and continue to operate the
studio as we presently do.
Benefits to Alternate Approach
There are a number of benefits associated with the alternate approach, including:
1. The dance program could be operated with positive revenue rather than at
a loss. The savings could be as much as $88,115 to the City annually.
2. Operating costs for the building would be recouped at least in part.
3. The City's insurance rates may be modestly reduced since we will no
longer be operating a dance studio.
4. The significant amounts of staff time presently invested to operate the
studio could be re-directed. For example, the Receptionists could take on
additional Administration Department typing tasks because the Recreation
R:~AGENDA REPORTS~2003 DRAFTS~MARCH 3RD DANCE,DOC
Secretary can re-assume those responsibilities since her time is no longer
demanded by the dance program.
5. The Recreation Supervisor will be able to spend more time in areas of
recreation such as scheduling fields or new recreation programming. We
have added additional parks and fields which require additional attention.
6. The Recreation Specialist could devote more time to senior programming.
While we have initiated the monthly senior social, there are other
programs where our senior programs could be expanded to meet the
needs of our growing senior population.
7. A new revenue source to defray the costs of the Wavelength could be
initiated. The City could offer to publish registration program information or
advertisements for the dance studio and gymnastics studio with some sort
of disclaimer.
8. The City could be viewed positively by taxpayers and private businesses
for seeking to become more cost-effective and discontinue competition
with the private sector.
9. If the existing instructor does leave the program, it is likely that our
program will be significantly diminished and necessitate changes.
Possible Concerns with Alternate Approach
1. The City will have to rely upon the private contractor to provide a program
as good or better than the one the City has offered. If the same instructors
are involved in the program, this may minimize this concern.
2. The selection of dance program offerings will no longer be controlled by
the City. It would appear that the market will largely determine what the
offerings are.
3. The City's name would no longer be associated with the program unless
this was mandated in the RFP. ! would be concerned about putting the
City's name on a program we do not control.
4. Availability of the dance studio for private rental would no longer be
available if leased. In the last three years, the facility has been rented by
another party nine times.
5. Scholarships have been offered by the City in previous years. Generally,
five to six families receive a scholarship annually. The value of the
scholarships per family have varied from $146 to $330. The City could
continue to offer scholarships or require that the vendor do so on a cost-
sharing basis.
6. If the City no longer runs the program, it cannot control the tuition charged.
Here again, competition may help mitigate against tuition increases.
7. If private operation of a dance program fails, then the City may need to get
back into the dance business at some future time.
Process
The Council should discuss the contents of this report. If additional information is
needed, it would be appropriate to directthe staff accordingly. I am aware thatthe
City Council desires to solicit the input of the Park Advisory Committee and the
Dance Advisory Committee. For that reason, it would be appropriate to send this
report to both bodies. The two groups could discuss the issues attheir respective
meetings or at a joint meeting. The Council may also wish to consider whether
any sort of meeting is necessary for dance parents or if the meetings referenced
above will serve the same purpose.
R:~,GENDA REPORTS~2003 DRAFTS~MARCH 3RD DANCE.DOC
MEMORANDUM
TO: Frank Boyles, City Manager
FROM: Chris Esser, Recreation Superviso~~)
RE: Dance Program Questions and Answers
DATE: March 11, 2003
In review of the regular City Council meeting on March 3, 2003 and the Parks Advisory Meeting on
March 10, 2003 there have been several questions posed regarding the operat~n*of tie Prior Lake
Dance Program. I have listed the questions as accurately as possible based on your notes and
information with the corresponding answers:
Why the major increase in dance program expenditures from 1999 ($68,000 budgeted) to 2000
($172,089 actual)?
The $68,000 figure for 1999 was the budgeted amount. The $172,089 figure for 2000 was the actual
amount. The 1999 actual amount was $124,268. This still reflects a significant increase, but paints
a clearer picture of the true expenditures for 1999. In general, with 1999 to 2000 being no
exception, we saw dramatic increases in the dance program expenditures due t° a number of factors:
· ~'More students, more instructors: when budgeting, we did not accurately project how
significantly the program would grow when it moved to the Library space. With that
~ significant growth in participation (302 in 1999 to 418 in 2000), we were playing "catch up"
with our increased program expenditures. More students equated to more program supplies,
more costumes, more shoes, more recital performances, more instruction time, more
administrative time, etc.
)~ Larger variety of classes offered: In the Priordale mall space, we offered an estimated 25%
competition classes vs. 75% non-competition classes. When we moved to the Library space,
there was a larger demand for competition style classes. We added more competition classes
requiring: more instructors that commanded a higher wage for teaching competition, more
costumes, more shoes, more students taking multiple competition classes, more regional
competition expenses (we have to pay competition fees per student, per dance). Our class
offerings now are closer to 50% competition and 50% non-competition.
)~ Teacher wage increases: We employ quality teachers that are paid at market value for non-
competition class instruction and slightly above market value for competition class
instruction. Our year-end evaluation always reflects the opinions of parents regarding the
value of certain teachers. We have retained certain teachers by increasing their contractual
wage on a case-by-case basis. Students and parents hold significant loyalty to select
members of our teaching staff. It has been important to retain students by retaining those
select teachers.
c est'o M 3 1/0
162(~a~e~ree~ ~ve.~., ~nor3~ake, Minnesota 55372-1714 / Ph. (952)447-4230 / Fax (952)447-4245
AN EQUAL OPPORTUNITY EMPLOYER
Why is the program losing money if our student body is increasing?
We have held the line on program fees throughout our growth. In the six years I have been involved
with the program there have been three tuition increases, one of the three being a significant increase
($5 per class increase across the board) in 2000. We have also added administrative staff by creating
the Assistant Dance Director position in 2000, which has now been replaced by the Recreation
Specialist position in the fall of 2002. Administrative and supply expenditures have risen at a rate
greater than our program revenue.
What percentage of current dance program participants are residents and non-residents?
Currently, there are 69% resident participants and 31% non-resident participants in the dance
program for the 2002-03 season.
Are non-residents charged a non-residents fee to participate in the dance program?
We have always charged a non-resident fee at the time of registration for our program, but never in
the monthly tuition payments. At registration time, in accordance with our blanket non-resident
policy for all program registrations, residents are charged $20 per child and non-residents are
charged $25 per child. Council member Blomberg expressed concern (at the PAC meeting) that we
do not charge non-residents a prolonged non-resident fee throughout the entire season as compared
to a skate park season pass that charges a significant non-resident fee up front. This is something we
should evaluate if we continue to administer the dance program in the future.
What will the City use the dance studio space for if the dance program no longer operates?
In the unlikely event that the dance studio space will be entirely vacant of dance, we do have some
alternatives for the space:
Private rentals open to the public.
Tumbling programs.
Tot classes and activities during the weekdays (ages 3-5) including arts and crafts and gross
motor skill activities.
Contractual martial arts classes.
Teen programs, maybe a teen center setting.
Continued co-sponsored Community Education offerings including, arthritis exercise, yoga,
aerobics, etc.
~ Senior activities to enhance the senior social and field trips currently offered. Possibly
hobby clubs, arts and crafts, special events, drop-in socials, etc.
>' Rainout site for summer programs.
What will City staff due with their extra time if the dance program is no longer ours to
administer?
This question has come up with increased frequency. There are a very large variety of other
activities and facilities staff in recreation can devote their time to:
>' Senior programming. More offerings than just the monthly senior social. Activities can be
conducted collaboratively with Community Education. Seniors are a large group we have
just scratched the surface programming for. They deserve more attention and offerings.
Dance Question Memo3/11/03
Teen programming. Teens by far are the most difficult group to reach and program for. We
can offer teen drop-in activities, organized trips, and special events. Collaborating with the
Dockside teen center project would be key.
More tot programming. We currently offer Tot-Lot in the summer and collaborative field
trips during the school year for ages 3-5. There is more we can be doing in the way of
enrichment and parent/tot activities in collaboration with the ISD #719 Family Center.
More family style special events and activities. We currently offer Performances in the
Park, summer beach party, the Who Done It Hike, Ice Cream Social, Penny Carnival and
Sled and Skate Party for families. There are a large variety of additional activities we could
be doing. Maybe a fishing derby, a fall lest, spring fest, additional Lakefront Days
offerings?
Adult leagues. We have restricted ourselves to softball for adults as the only successful
leagues offered. I would like to try other offerings to get adults active in our community.
Broomball, flag football, soccer, basketball, kickball, volleyball, horseshoes, whatever the
interest is.
Greater attention to facilities. Our seasonal facilities continue to increase along with our
population and users. With the current staffing, operation, and scheduling of 27 athletic
fields, two public beaches, skate park, Lakefront pavilion, picnic shelters, and concession
stands there needs to be adequate attention given to the operation of these facilities. Easily a
full-time job for any one person, not to mention the city-sponsored programming that occurs
at these facilities.
How would privatization affect fee assistance?
We currently receive a $2,000 donation from the Prior Lake Optimist Club annually to assist with
scholarships for all of our programs, not just dance. In the past it has been utilized at least 90%
annually by dance program participants. The future of fee assistance for a private program would be
up to the Optimist Club. I would hope they would continue to fund fee assistance for the other
programs we offer. If they were to donate to a private entity, that would be up to them in my
opinion.
Can the RFP be written permitting the City to have access to the dance studio for City-sponsored
activities during, non-dance hours?
This was an important factor addressed by the PAC and Council member Blomberg. The PAC felt
that if the City is to program other activities due to the vacancy of the dance program, we need to
make assurances that we have the space to conduct these programs. I also reminded the committee
that the new high school would be open soon, hopefully freeing up space district-wide for us to
conduct programs co-sponsored with the school district. We can also utilize the Lakefront Pavilion.
The recommendation was for staff to determine if the dance studio space should remain available for
City-sponsored activities only, leaving it unavailable for general public rental if a private vendor
takes over the space. We also have to consider lease reduction costs and maintenance issues if the
space is not going to be exclusively used by the private vendor.
These were the primary discussion points brought up to date. If you have any questions, please let
me know!
Cc: Susan Walsh, Assistant City Manager
Heather Carlson, Recreation Specialist
Dance Question Memo3/11/03
Kelly Meyer
3/1 lj2003 12:29 PM12:2g PM
Kelly Meyer
From: Ann Proudfoot [danceworksmn(~hotmail.com]
Sent: Tuesday, March 11,2003 12:24 PM
To: kmeyer@cityofpriorlake.com
Subject: dance program
March 11,2003
Mayor Haugen & Members of the City Council
16200 Eagle Creek Ave.
Prior Lake, MN 55372
Dear mayor and members of the city council,
I am of the understanding that the city of Prior Lake is deciding whether or
not to contine their current dance program "as is" or privatize it. This
letter is to inform you of my interest in reorganizing the program as
""DanceWorks of Prior Lake", and fully
administering it as such.
I am the current owner of DanceWorks Performing Arts Center in Lakeville and
have run a successful prgram there for the past 18 years.
Our annual "Nutcracker" performance is regarded as being one of the finest
professional productions in the area. Students from our school have won
placement at American Ballet Theatre, the Joffrey school, as well as
Julliard; a reflection of quality training and high standards. We offer a
varied program in kindermoves, ballet, tap, jazz, kickline etc. and seem to
overlap quite a few of the classes that City of Prior Lake Dance currently
offers. Tuition at our studio also appears to be very competitive with your
program as well.
I welcome the opportunity to speak with you regarding the logistics of
privatizing the program yet maintaining a "Prior Lake" entity. A glance at
our web page: danceworksmn.com will also provide additional information.
Please contact me at your earliest convenience to discuss this.
Sincerely,
Ann M. Proudfoot
Director of DanceWorks P.A.C.
You can contact me either by phone, 952-469-3336 or by e-mail: danceworksmn@hotmail.com
Add photos to your e-mail with MSN 8. Get 2 months FREE*.
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Kelly Meyer
3/10/2003 5:$7 PM5:$7 PM
Kelly Meyer
From: Kelly Meyer
Sent: Thursday, February 20, 2003 10:19 AM
To: 'tracypeterson@integraonline.com'
Subject: FW: Data posted to form 1 of http://www.cityofpriorlake.com/feedback.htm
Tracy -- Thank you for your input. The point you make is valid and one of the many the
City Council will consider in analyzing whether or not privatizing the dance program is
appropriate. I will forward your comments to the Council.
Kelly Meyer.
Administration
City of Prior Lake
16200 Eagle Creek Avenue SE
Prior Lake, MN 55372
Direct Dial: (952) 447-9803
...... Original Message .....
From: webserver@cityofpriorlake.com [mailto:webserver@cityofpriorlake.com]
Sent: Thursday, February 20, 2003 9:35 AM
To: kmeyer@cityofpriorlake.com
Subject: Data posted to form 1 of http://www.cityofpriorlake.com/feedback.htm
*******************************************************************************
UserName:
Address:
Telephone:
Email: tracypeterson@integraonline.com
Remote Name: 64.122.36.131
Comments:
Regarding the dance studio:
I'd like the city to continue the dance program at the library. I feel if it is
privitized, it will make the costs to the participants higher and thus not make it
available to lower income residents. Most of the private dance schools are at least twice
the cost. Older students that want to compete can choose to participate in private
schools. With obesity in children at epidemic proportions, it is essentialchildren are
provoded opportunity to participate in physical activities. They do not need to be
competitive.
Janua~ 27,2003
To Whom It May Concern:
I'm writing this in regards to the question concerning whether to
privatize the dance studio or not. I feel that the Prior Lake dance
studio has outgrown itself and will continue to grow. I think that there
is enough in this community to keep the City employees busy
enough, and leave the dance studio to go private, so the families
involved have the best chance for their children to get the best
possible attention that can be given. If a private party were to run a
dance studio in Prior Lake, that will be their only focus. That is the
way it should be! When we (the involved families) pay what we do for
our children to learn, grow & enjoy, we expect that if we give 100%,
so should the dance program give us back that same 100%. I don't
think that can happen when the City of Prior Lake can't give us (the
families involved) 100% anymore. This by no means is cutting
anyone down with the City of Pdor Lake, as they have done a good
job with the program at this point, but it's time to move on. The dance
program is growing so big and so fast, that we (the involved families)
need more involvement. Please, please take a really good look at
where we've come and where it's going (the dance program)... Help
us to give everything we can to all of our children, present and future.
Thank you,
Carol Graham
Prior Lake, Mn.
Page 1 of 1
Frank Boyles
From: EPBjorge@aol.com
Sent: Friday, February 14, 2003 5:27 PM
To: fboyles@cityofpriorlake.com
Subject: Dance advisory board
Dear Mr. Boyles,
I was at the Dance advisory board meeting last week. I would like to share with you my concern about the time line. I feel
that the 90 days that Mayor Haugen mentioned was way too long a time period. The decision to privitize needs to be
made before the dance year is over. This has been a very disturbing year in the Prior Lake Dance Company and each
family has many decisions to make. We need to make the best decision for our children and the best time to do that will
be before the tryouts occur. The tryouts usually occur in June. As you can see, the 90 day timeline doesn't give the
families much time to determine what their dance future will hold.
I am interested in the future of Prior Lake Dance and am available for any questions you might have. Thank you.
Erin Bjorge
2/17/03
- DRAFT-
PARKS ADVISORY COMMITTEE MEETING MINUTES
FOR
MARCH 10, 2003
The meeting was called to order at 6:00 p.m., on Monday, March 10, 2003, at the
Maintenance Facility. Members present were Pat McFadden, Tom Borger, Mike
Feriancek, Ruth Harris and Lori Helgestad. Also in attendance were Councilmember
Liaison Andrea Blomberg, Parks Maintenance Supervisor Al Friedges, Recreation
Supervisor Chris Esser, Recreation Secretary Nancy McGill and Assistant City Manager
Susan Walsh.
Jeff Luger was introduced to the committee members. Jeff is a junior at Prior Lake High
School and will serve on the committee as student liaison.
Approval of February 10, 2003 Meeting Minutes: MOTION by Helgestad to approve
the February 10, 2003 Meeting Minutes. Second by McFadden. Ayes: 5. Nays 0.
Motion carried.
Fish Point Road Sidewalk Maintenance: At the February 10, 2003 Parks Advisory
Committee meeting, the committee discussed and reviewed a petition for sidewalk snow
removal on the east side of Fish Point Road, from County Road 44 south to the end of
Fish Point Road. At the last meeting, the committee members concurred with staff's
recommendation to notify the residents that their request would be evaluated after the
new high school opens; and until that time, the residents are responsible for shoveling
the sidewalk.
Parks Maintenance Supervisor Al Friedges advised that since the last meeting staff has
given further consideration to this request and recommended that the city crews
maintain the east side of the street. Friedges cited the following reasons for his
recommendation: (1) Fish Point Road is a collector street, (2) Fish Point Road is a high
priority street because of its access to the schools and therefore a safety issue; and (3)
because city parks are adjacent to three different areas of Fish Point (2/3 of the street
length), it is less time consuming and logical to maintain the remaining area.
Discussion followed on Friedges' recommendation with members concurring that the city
maintenance employees should maintain all of the east side of Fish Point as well as the
west side which they are currently maintaining.
Discussion and Formulation of Recommendations to the City Council Re.qardin~
the Dance Studio for the March 17th Public Meeting: Chair Mike Feriancek advised
that the City Council at the March 3r~ Council meeting reviewed and discussed a report
prepared by City Manager Frank Boyles with regards to the operation of the dance
program and studio. Feriancek summarized the comments and questions posed by
each member of the Council with regards to the city manager's report. Feriancek also
advised that the City Council wanted additional input from the public, parents and other
interested parties; Dance Advisory Committee members; and Parks Advisory Committee
members before a decision is made. The City Council scheduled and advertised a
public hearing as part of the March 17th Council Meeting. At this meeting or
subsequently, the Council will decide (1) to continue to run the program as it is; (2)
cooperatively run the program with a private party; or (3) privatize the dance program
and lease the studio space.
Chair Feriancek next reviewed the city manager's staff report that was prepared for the
March 3rd Council meeting. Following review of the report, the following questions were
asked to staff:
Q: Why the major increase in dance program expenditures from 1999 to 2000?
A: When the dance program moved into the new studio, there was significant growth in
student numbers which carries over to more instructors, more costumes, shoes,
performances and administrative costs.
Q: What percentage of students are residents versus nonresidents?
A: 69% are residents and 31% are nonresidents.
Q: Are nonresident students charged an additional fee?
A: At the beginning of each year, a one-time registration fee is charged per student.
The registration fee for resident is $20 and non-resident is $25.
Q: If the city continued to operate the dance program and Dawn Shulberg started up
her own studio, would 70 to 80% of the students leave the city program?
A: Staff could only speculate, but estimated the percentage of students leaving would
be closer to 50%.
Q: If Dawn Shulberg operated her own studio at a different location, would staff
consider changing the structure of the program?
A: The city could offer non-competition classes and possibly structure classes for a
younger age group.
Q: How common is it to have cities offer dance programs such as Prior Lake's?
A: Prior Lake is the only dance program run by a municipality that includes high school
age and competition classes that staff is aware of.
Q: If the city privatizes, how will the recreation staff reallocate their time?
A: Staff time would be redirected to offering more senior programs, teen activities,
adult athletics, tot programming, special events, coordination with the school
district's community education program and more comprehensive facility
supervision.
Q: If programs were expanded, where would the city get the additional space if the
dance studio was not available?
A: Lakefront Pavilion is available and school district space when programs are
cosponsored with the school district.
Q: Would privatization of the dance program address state budget cuts for this year
and next?
A: If the dance studio space is leased out, it would provide additional revenue to the
general fund. Staff is also looking at other modifications to the 2003 budget to
address state budget cuts.
Q: Would the city still offer fee assistance if the studio were privately owned?
A: The city annually receives a $2,000 donation from the Prior Lake Optimist Club to
assist with all city recreation programs. In the past 90% of the donation has been
allocated to dance students to assist with class fees. If the dance program were
privatized, staff would approach the Optimist to see if they want to continue fee
assistance for dance students under a private program.
At this time each committee member gave his/her opinion on whether the dance
program should remain an operation of the city or a Request for Proposal (RFP) should
be prepared to allow interest parties to submit proposals for leasing of the dance studio.
Members' comments were as follows:
· Since the city is facing State budget cuts, now seems to be an appropriate time to
lease the dance studio.
· Because of the number of students, costs and revenues and competition classes,
the city should not continue in the dance program business--it should be a private
business.
· City should not compete against private businesses.
· Privatization will benefit the key stakeholders.
· Competition and fair market values will prevail for class fees.
· Very few downsides to privatizing.
MOTION by Borger to approve the Request for Proposal process and the sale of the
dance studio with consideration that staff make a determination whether a percentage of
time and space in the studio should be retained for city programs. Second by
McFadden. Ayes: 5. Nays: 0. Motion carried.
Committee members requested that if the Council moves forward with the RFP process
that the members be allowed to review the RFP before it is sent out to private parties.
Athletic Concession Operations: For the last three years St. Michael's Church has
operated the concession stand at Ponds Park. They have given notice to the city that
they no longer wish to run the stand. Esser met with PLAY representatives who
indicated an interest. Staff asked for input from committee members on whether they
agreed with PLAY operating the stands or if they had other suggestions on how to run
the concessions. Members concurred it should be run by a PLAY or another nonprofit
or volunteer organization in the community.
Tom Borger requested that staff give consideration to operating concessions at the
skate park.
MOTION by Helgestad to adjourn. Second by McFadden. Ayes: 5 Nays: 0.
Respectfully submitted,
Susan Walsh
Assistant City Manager