Proposal to Town Board March 2, 2011

 Background  Concept  Financing  Economic Benefits  Marketing Plan  Fundraising and Sponsorship  Clarence Community Recreation Corporation  Process and Timeline  Request

 Town of Clarence 2009 Citizen Satisfaction Survey ◦ One of highest requests  Promotes Healthy Activity for all ages ◦ Senior leagues ◦ Figure Skating ◦ Open Skating  Clarence Mustangs ( Youth Hockey Organization) ◦ 13 teams ◦ 270 players ◦ Playing out of 8 different rinks averaging 25 miles from Clarence  Clarence High School ◦ 3 teams  WNY inventory of rinks unable to meet demand

 Town of Clarence will build a 2-pad ice rink facility at Eastern Hills Mall ◦ One facility will be able to accommodate 700 spectators ◦ Concessions and pro-shops will be provided by Mall  Rink will be a free-standing facility attached to mall by connector ◦ Ability to operate independent of mall  Town of Clarence will lease facility to Clarence Community Recreational Corporation (CCRC), a not for profit entity ◦ Entity in existence ◦ Town will designate town board liaison to CCRC  CCRC will rent ice to WNY users and operate facility  CCRC will make lease payments to Town of Clarence ◦ Lease payments to cover bond payments

Objective: Project will not require tax-payer subsidy Estimated cost to build facility (including equipment): $ 8,000,000 ◦ Annual bond payments, 25 years, 3.5% $ 496,800 Projected Revenue (year 1) $ 1,229,000 Estimated operating expenses (year 1)$ 623,700 Annual Lease Payment to Town$ 496,800 Reserve Fund – Capital Improvements$ 108,500

 Ice rental fee projected at $240 per hour  Total Revenue at 100% capacity (average $200/hr) = $2,000,000 ◦ First 3 year projections do not assume full capacity  50% of ice rental already committed ( 1 full pad ) ◦ 3800 hours of prime-time, in season ice available ◦ Clarence Mustangs will require at least 1,700 hours of ice for 17 teams ◦ Clarence High school will require 200 hours of ice for 3 teams  Eastern Hill Mall agreed to donate land ◦ Infrastructure and parking in place ◦ Provides significant savings to construction costs ◦ Town Engineers reviewed property – no major infrastructure issues ◦ Town Planner reviewed property – no major zoning and traffic issues

 Eastern Hills Mall Significant town tax-payer ◦ Total taxes paid to town/school at $860,000 ◦ Partnership will drive traffic to mall vendors supporting business community ◦ Ice Rink supports Eastern Hills strategy and delivers valuable benefit to town residents  Clarence Mustang Travel Hockey Program ◦ League requires Clarence teams to host at least 5 teams from outside Erie County ◦ Estimated 1100 family visits to Clarence and the EHM over a 6 month period  Tournaments ◦ Average 10 teams visiting for 2 nights from outside Erie County ◦ Estimated 170 families will generate over $125,000 in direct spending ◦ Opportunity to showcase Clarence and WNY to outside visitors

 CCRC will be responsible to create and execute marketing plan to sell ice and generate revenues to operate facility and retire debt  Opportunities TournamentsHouse Leagues Lancaster High SchoolWomen/Girls Leagues Depew High SchoolSenior Men’s Leagues Spring/Summer CampsOpen Skating Figure SkatingSummer Shows  Partnerships ◦ Erie Community College ◦ Buffalo Sabres

 Goal is to raise $500,000 by opening ◦ Assist with bond payments and operating costs during first year  Advertising Opportunities ◦ Facility naming rights ◦ Rink naming rights ◦ Room naming rights ◦ Zamboni ◦ Boards ◦ Walls  Fundraising ◦ Corporate campaign ◦ Individual donor program

 Not for profit entity under code section 501(c)(3)  board members  Committee Assignments ◦ Building Committee ◦ Fundraising/Advertising Committee ◦ Finance Committee ◦ Marketing Committee ◦ Operations Committee  Facility Manager ◦ Responsible to manage facility operations ◦ Responsible to market facility to potential users ◦ Responsible to hire and manage appropriate staff

March 2011Presentation to Town Board April 2011RFP for Engineering Design June 2011Engineering Firm Hired November 2011Final design and cost presented to TOC March 2012Town Board approves project/issues permits March 2012RFP to hire project developer June 2012Project awarded to developer July 2012Town issues Bond August 2012Construction begins July 2013Facility opens

 Town Board accepts proposal  Land donation ◦ Eastern Hills Mall agrees to donate Land ◦ Town of Clarence agrees to accept land ◦ Both parties sign letter of intent ◦ Proper agreements and conveyance to follow  Engineer Retained ◦ Town of Clarence agrees to manage RFP process and award contract ◦ Town of Clarence agrees to pay for Engineering services