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HomeMy WebLinkAbout10A - Northwoods League MEETING DATE: AGENDA #: PREPARED BY: AGENDA ITEM: DISCUSSION: 16200 Eagle Creek Avenue S.E. Prior Lake, MN 55372-1714 CITY COUNCIL AGENDA REPORT REVISED August 7, 2006 ~ 10A ~, Frank Boyles, City ManagerX CONSIDER APPROVAL OF A RESOLUTION: 1) SUPPORTING ELEMENTS OF A LEASE WITH JOEL KRAMER AND NORTHWOODS LEAGUE, 2) DIRECTING THE PREPARATION OF A LEASE AGREEMENT FOR CITY COUNCIL CONSIDERATION, AND 3) SCHEDULING A TOWN MEETING TO FACILITATE PUBLIC UNDERSTANDING AND INPUT. Introduction The purpose of this agenda item is to provide information regarding discussions with Northwoods League representatives which would bring a collegiate wood bat amateur baseball franchise to play in Memorial Park at Veteran's Field, consider a resolution directing the preparation of a lease agreement and scheduling a town meeting to facilitate public understanding and input. Historv Prior Lake has a wonderful baseball tradition. Mudcats, Jays, Mudbirds, Legion, Junior Legion, Varsity and PLAY teams have offered significant opportunities for years to participate and observe baseball at all levels. The 2030 Vision and Strategic Plan suggests that the City should seek economic development opportunities. Economic Development Director Paul Snook has estimated potential significant economic benefits associated with bringing a collegiate wood bat amateur team to Prior Lake. The establishment of a team like this in Prior Lake will bring between 1,500 and 2,500 people into the community to view 34-40 games annually. The 2030 Vision also refers to the City's three-fold recreation system. The addition of the franchise can improve existing athletic facilities, which is consistent with the Vision and with the recommendations of the Parks, Athletics and Recreation Task Force report. About 45 days ago, Mayor Haugen was contacted by potential Northwoods League franchisee Joel Kramer, who indicated that the League was contemplating expansion in the south Minneapolis/St. Paul metropolitan area and that they are contacting representatives of various cities to ascertain interest. After speaking with Mr. Kramer, the Mayor shared this information with the staff to obtain initial feedback. Next, a meeting was scheduled with community stakeholders to gauge their level of support and concerns. Represented at that meeting were Prior Lake Athletics for Youth; Prior Lake www.cityofpriorlake.com Phbf1~'952.~.4200' /Fa-x^9&2:'M 7.4245 Amateur Baseball League, which oversees the Jays and Mudcats; Mudbirds Senior Baseball team; school district representatives including Board Chair, Superintendent, Athletic Director and head baseball coach; our PAC chairman; Prior Lake Chamber President and Executive Director; Councilmember LeMair and Mayor Haugen. The Mayor described the proposal in general terms and then solicited input regarding questions and perspectives. While some concerns emerged, there was considerable support for the idea - even from those who would be relocated by the plan. Then, a meeting was arranged between the Mayor, Councilmember Millar, staff, Mr. Radatz, Jr., and franchisee Joel Kramer. That meeting provided greater detail about the benefits and issues associated with this franchise proposal. At that point, the parties agreed that sufficient information was available to solicit public and City Council input in a more formal manner. Last week's Pioneer Press and, particularly, the Prior Lake American included an extensive front-page feature story including details surround this proposal. The Star Tribune has also electronically published an article on the topic. Current Circumstances The Northwoods League is presently composed of 12 teams divided into the North and South division. The League seeks to expand by two teams in 2007 and two teams in 2008. Teams already represented in the Northwoods League are: Alexandria, Brainerd, Duluth, Mankato, Rochester, St. Cloud, Waterloo, Thunder Bay, Madison, LaCrosse, Eau Claire and Wisconsin. Each team plays 68 games - 34 at home and 34 away. Players are unpaid athletes wjth college eligibility whose dram it is to play professional baseball at the major league level. Games are played June, July and August. The season concludes with a six-game playoff. Athletes are housed with local volunteer sponsor families during the season. These athletes typically host complementary baseball camps and training to develop players and coaches at various levels. The 34 home games would be played at an improved Veteran's Field in Memorial Park. Field capacity would need to be expanded over time to a capacity of 2,500 - 3,000 seats (presently 500). Parking would be at Veteran's Memorial Park, adjacent public streets, Grainwood, Westwood school parking lots and, if needed, Twin Oaks and Hidden Oaks which are less than four tenths (0.4) of a mile away. The City would continue to maintain the field for games and practices. The club would provide clean up of the field, park, streets and all parking lots. Through a police reserve program, the City would monitor the field, roadways, crosswalks and parking lots although police officers would be needed for actual enforcement action. Financially, the club would be responsible for the capital improvements to Veteran's Memorial Park. The existing grandstand at Memorial would be moved to the baseball fields at Ryan to improve spectator capacity at that field for teams who will be relocated from memorial to Ryan. Through contributions by others, including PLAY, the lights at the baseball/softball fields at Ryan would be installed in accordance with the PAR Task Force recommendations to enhance the capacity of existing facilities. i 1:;./....j:4i ISSUES: The proposal to bring a Northwoods League team entails numerous details which are identified below for City Council consideration: 1. What improvements are contemplated to various City baseball facilities? In order for this proposal to work, improvements need to be made not only to Veteran's Memorial Field, but also to Ryan Park. It is anticipated that Memorial improvements include the addition of 2,000+ seats/bleachers, concession/restroom upgrades, and the addition of an enclosed deck. The exiting bleachers would be relocated to Ryan to improve spectator capacity there. Finally, the baseball fields at Ryan would be lighted to increase the number of games which can be played at this venue. Dugouts and a scoreboard would also be added. These actions are consistent with the Parks, Athletics and Recreation (PAR) Task Force Report Priority One to improve existing facilities. 2. How will field and off site maintenance and clean up be addressed? The City would continue to maintain the field as we have always done. The club will assume responsibility for clean-up of the field, park, adjacent streets and parking lots after each event. 3. What steps have been considered to minimize impacts upon existing venues using Memorial? Some teams (Mudbirds, Legion, and Junior Legion etc.) would play the most of their games at Ponds and Ryan Parks (they presently play games at both). But the fields at Ryan, through the addition of bleachers and lights will be improved to be more comparable to Memorial. The teams remaining at Memorial (Jays, Mudcats, Varsity) will be aware of field availability for scheduling purposes since by January 2 of each year, the Club will provide a list of dates and times (not to exceed 50) when they will need the park. Schedules for the other users, including rain dates, will be prepared around these dates. 4. What steps have been considered to minimize the impacts upon the surrounding neighborhoods? Because this proposal will increase the frequency of use of this venue and the number of vehicles to be parked, strategies have been identified to minimize impacts upon the adjacent neighborhoods. Parking will include the lot in the park as well as on-street parking and the lots in Grainwood and Westwood Elementary Schools, as well as Twin Oaks and Hidden Oaks. We have discussed school parking lot use with school representatives. To keep liquor and tobacco from school properties and encourage orderly behavior on all properties, a police reserve will be created and the Police Department will play an active part in monitoring this venue. Police actions may include monitoring crosswalks and traffic control before and/or after games. The Club has proposed that a special L;:"~C discount on season tickets apply to residents of the area. Regular communication would occur between the Club, City and residents in the area. The intent is to work with the neighborhood to establish a parking plan to minimize impacts upon the neighborhood. An inventory of parking within 0.4 miles includes: Parking Lot Memorial Park Grainwood Westwood Twin Oaks Hidden Oaks Total Spaces 110 57 298 459 194 1,118 This inventory does not include the 100 on-street spaces on Jordan and St. Paul Avenue. Mankato, MN, has a similar situation and even with a record attendance year, is not experiencing parking problems. 5. What else is the club responsible for? The Club will be solely responsible for concessions, ticket sales, souvenirs, advertising and naming of bleacher sections. The City may assist in season ticket promotions and act as a ticket outlet. 6. What are the financial arrangements for the capital (field improvement costs)? Not all financial details have been identified or agreed upon. A tentative list is shown below. Capital improvements to Veteran's Field are estimated to be about $600,000. The Club is responsible for $450,000 of this and the City for $150,000. The City may reduce its share by City staff rather than contractors to perform improvements. The Club will encourage donations from area businesses to reduce capital costs. Lights, dugouts, scoreboard and relocation of the Memorial Park bleachers to Ryan are estimated at $550,000. We have requested $250,000 of this amount from PLAY over a five-year period. So between Veteran's Field and Ryan, the City's ultimate responsibility is $450,000. The City expects to receive donations to pay all of these costs. The donations will be confirmed by the time the lease is signed. 7. Are there any other financial details? Yes. In addition to capital funding there are other considerations. The Club would pay no rent for use of the field. The Club would participate with the City in the policing costs and, specifically, in the creation of a police reserve. The Jays, Mudcats and others who have heretofore received concession revenues will receive 10% of the gross revenues of concessions for the games they host. For non-baseball events hosted by the Club at this site, the City will receive 15% of the revenues after promoter and artist fees are paid, if applicable. If paid annual attendance for 34 games exceeds 68,000 aggregate, the Club will pay the City 35~ for each ticket sold over this amount including playoff tickets sold. In the '(",',.."'-, . ,-_,,",.1 FINANCIAL IMPACT: ALTERNATIVES: RECOMMENDED MOTION: ':cc U NC f L \P.C3 i\j R event that more than 85,000 tickets are sold, the City's share would be 50~. These revenue-sharing provisions are intended to help support the other clubs using the facility and to help reimburse the City for policing costs as the Club becomes more successful. 8. What are the next procedural steps? If the Council deems this proposal to be beneficial to the City as a whole, it is important that we proceed in two directions concurrently. First, a Town Meeting should be scheduled for the August 21,2006, Council meeting. The Town Meeting will facilitate greater public understanding and in put regarding this proposal. At the same time, since Prior Lake may be in competition with other area cities for a franchise, direction should be provided to prepare a lease agreement with Joel Kramer and Northwoods League for City Council consideration on August 21,2006, following the Town Meeting. Any modifications to the lease resulting from the Town Meeting can be incorporated into the agreement at that time. The economic development benefit of this proposal is considerable. Economic Development Director Paul Snook, using an estimating methodology prepared by the Michigan State University, estimates the economic benefit could be $2 million per year based upon a conservative estimate of 1,000 attendees each game. There will be City costs - primarily associated with policing the games. However, the costs are mitigated in part by the Club's participation in financing the police reserve and in returning ticket revenues based upon annual sales. Finally, $450,000 of public improvements will be done to the City-owned Veteran's Field at no cost to the taxpayer while the City will seek donations to fund the $150,000 which is our share of the capital cost. These capital costs will improve parks used by Prior Lake baseball interests. 1. Adopt the attached resolution supporting the elements of a lease with Joel Kraemer and Northwoods League directing preparation of a lease agreement and scheduling a town meeting for August 21,2006. 2. Take no action. Alternative #1. 16200 Eagle Creek Avenue S.E. Prior Lake, MN 55372-1714 RESOLUTION 06-xx Motion By: Second By: WHEREAS, The 2030 Vision and Strategic Plan encourages the creation of new economic development opportunities and the promotion and improvement of the City's three-fold recreation system; and WHEREAS, The Park, Athletic and Recreation Task Force, as a number one priority, has recommended that the City make improvements to existing facilities to intensify their utilization; and WHEREAS, Considerable time has been devoted to meeting with stakeholders to identify benefits and concerns regarding the addition of a collegiate wood bat amateur baseball franchise to Veteran's Playfield in Memorial Park; and WHEREAS, In a report dated August 7,2006, the salient aspects of the proposal to bring a Northwoods League team to Prior lake have been identified for public and City Council consideration; and WHEREAS, The City Council finds that the addition of a Northwoods League team in the City would have significant economic development benefit and enhance the City's three-fold recreational system. NOW THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF PRIOR LAKE, MINNESOTA as follows: 1. The recitals set forth above are incorporated herein. 2. The City Council is supportive of the lease elements as set for the staff report dated August 7, 2006. 3. The staff is hereby directed to proceed with the preparation of a lease agreement. 4. A Town Meeting is hereby scheduled at 6:30 p.m. Monday, August 21, 2006, at Fire Station No. 1 at 16776 Fish Point Road SE, to facilitate public understanding and input. PASSED AND ADOPTED THIS 7th DAY OF AUGUST, 2006. YES NO Haugen Dornbush Erickson LeMair Millar Haugen Dornbush Erickson LeMair Millar Frank Boyles, City Manager ~ '.!:"::~<ti!Y9!p~ke.com Phone 952.447.4230 / Fax 952.447.4245