D. Recreation and Facility Fees MEMORANDUM
CITY TO: Todd Hoffman, Park & Recreation Director
CIIAN ASSEII FROM: Jerry Ruegemer, Recreation Superintendent
7700 Market Boulevard
PO Box 147 DATE: June 26, 2012 ,
Chanhassen, MN 55317
SUBJ: Recreation and Facility Fees
Administration The Park & Recreation Department determines the appropriate fees for recreation
Phone: 952.2271100 programs, facility rentals, etc. Many factors are considered when determining fees,
Fax: 952.2271110 including instructor costs and program costs such as supplies, tickets, transportation,
rentals, staffing, and registration software fees. Staff also investigates what the
Building Inspections
Phone: 952.2271180 market will bear by reviewing fees charged by other municipalities and
Fax: 952.2271190 organizations.
Engineering Currently, most city- sponsored programs and facility rental fees charge resident and
Phone: 952.2271160 non - resident rates. When activities and trips are cosponsored with neighboring
Fax: 952.2271170 communities, non - resident rates are not charged because participation is needed
from all the sponsoring agencies.
Finance
Phone: 952.2271140
Fax: 952.2271110 TOTAL 2011 PARK & REC DEPARTMENT REVENUE $415,520
Park & Recreation Recreation Center 2011 Revenue: $211,820
Phone: 952.2271120 Recreation Center revenue is generated from room rentals, fitness, personal training,
Fax: 952.2271110 Dance for Fun, dance costumes, pre- school activities, youth activities, and adult
Recreation Center activities.
2310 Coulter Boulevard
Phone: 952.2271400 • In 2011, daily and punch cards fees were increased by approximately 20 %.
Fax: 952.2271404 • 2012 Dance Recital ticket prices were raised from $8 to $9 and 862 tickets
were sold.
Natur Re ources • Staff recommends a 5% increase in the Dance program fees in 2013.
Phone: 952.2271130
Fax: 952.2271110 Senior Center 2011 Revenue: $23,450
Senior Center revenue is generated from recreation programs, trips, special events,
Public Works and fitness programs.
7901 Park Place
Phone: 952.2271300 • Seniors do not pay fees to participate in clubs such as bridge, woodcarving,
Fax: 952.2271310 bingo, CHAN -o- laires chorus, and card groups.
Senior Center • All regular programs are up- charged 10 -15% above program costs.
Phone: 952.2271125 • Day trip costs are based on 30 participants. When more than 30 people enroll,
Fax: 952.2271110 revenue increases and certain costs (transportation) are reduced.
Administrative fees are charged as follows: 20% on trips costing less than $30,
Web Site 15% on trips costing less than $40, and 10% on trips costing less than $50.
www.ci.chanhassen.mn.us
• Staff will look for opportunities to increase sponsorships in 2013.
Chanhassen is a Community for Life - Providing for Today and Planning for Tomorrow
Mr. Todd Hoffman
June 26, 2012
Page 2
Recreation Programs 2011 Revenue: $39,900
Revenue in this category is generated from February Festival, Easter Egg Candy
Hunt, 4 of July, Halloween Party, Summer Playground, mini - carnival and the
summer concert series.
• Sports camps such as Skyhawks, 3 Lair, and Sports Unlimited are based on
either split percentages or a percentage added to the program fee. Staff is
recommending a 5% increase in fees be implemented in 2013.
• Lake Ann Adventure Camp has been extremely popular. From 2009 -11, the
resident rate was increased 14% and the non - resident rate increased 16 %. Rates
remained the same from 2011 to 2012. Staff recommends a 20% increase in
2013.
Sponsorship 2011 Revenue: $20,825
• Staff is proposing to increase annual sponsorship program revenue by 10% next
year. This will be accomplished by staff visiting the business community and
explaining the benefits of sponsorship and our programs.
Facilities 2011 Revenue: $29,800
Facilities revenue is generated from park facility usage fees (picnics), volleyball kit
rentals, watercraft rentals, food concessions, and canoe rack rentals.
• Comparisons are made to determine if our rates for picnics, watercraft rentals,
etc., are competitive.
• The watercraft rental rates were increased in 2012 after determining our rates
were on the lower end compared to other cities and park district rates. Rates for
canoes /row boats were increased from $5 to $10 per hour and kayaks,
paddleboats and row boats with electric trolling motors were increased from $10
to $12 per hour. Staff is not proposing another increase at this time.
• Staff has received an increased number of requests for public gathering permits.
Currently no fee is charged for reviewing and processing the permits, but staff is
recommending a $25 fee be implemented.
• The local athletic associations sponsor many weekend tournaments that require
staff's involvement. The city takes on costs for administration, full -time and
seasonal labor, garbage, electrical costs for operating the lights, etc. A
tournament fee of $50 /day without lights and $100 /day with lights is
recommended.
Self- Supporting Programs 2011 Revenue: $58,725
Revenue in this category is generated from pre - school sports, pre- school activities,
youth sports, youth activities, ChanJam, 3 -on -3 basketball, adult summer and fall
softball leagues.
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Mr. Todd Hoffman
June 26, 2012
Page 3
• Adult softball fees are charged based on how many residents and non-
residents are on the roster.
• The department will add instruction clinics and leagues at the Disc Golf
Course in Bandirere Park in 2013 to generate revenue.
Rec Center Sports 2011 Revenue: $31,000
Rec Center Sports revenue is generated from Lil' Star Sports, soccer, tennis lessons,
t -ball, flag football, basketball, Small Fry Sports, golf lessons, floor hockey, ice
skating, dodgeball, archery, whiffleball, and volleyball programs.
• The After - School Sports program includes flag football, dodgeball,
basketball and tennis. Staff recommends that resident rates increase from
$21 to $29 and non - resident rates increase from $25 to $33 for the fall 2012
programs.
• Lil' Star Sports (ages 4 -6 years) programs are popular and participation fees
are $45 for residents and $58 for non - residents.
• The Rec Center Sports program has generated $19,500 in revenue since its
inception in the fall of 2009.
RECOMMENDED INCREASES
Staff recommends that the following increases /fees be implemented:
• Dance for Fun: 5%
• Sports Camps: 5%
• Lake Ann Adventure Camp: 20%
• Annual Sponsorship Program: 10%
• Public Gathering Permits: Add a $25 fee, (Exclude Non - Profit Groups)
• Weekend Tournament Fees: Add a $50 /day fee without lights and $100 /day
fee for using the lights
• After - School Sports: Increase Resident Rates to $29 and Non - Resident
Rates to $33.
STAFF UPDATE: JULY 23, 2012
On June 26, 2012, the Park and Recreation Commission reviewed this item and
discussed the different functions of all divisions within the department. The Park
and Recreation Commission voted unanimously to recommend the city council
approve the fee increases as stated above, as well as establish fees for Public
Gathering Permits and Weekend Tournament fees as noted above. If the city
council agrees with this recommendation, a city code amendment will be scheduled
at a future meeting.
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