1	Missoula Aquatics Centers Operations Pro-forma III Developed by Ballard*King and Associates October, 2005
2	Ballard*King and Associates Credentials Completed over 250 feasibility studies for recreation facilities across the country. Over 60 facilities open and operating around the country. The principals have personally operated 4 multi-faceted public recreation facilities. Operated a facility for which the firm completed the operational feasibility study. Over 80% of their projects have out performed the initial feasibility study pro-forma. Ken Ballard - Has completed over 150 studies personally. Has opened and operated a multi-functional recreation center.
3	Pro-forma The Pro-forma establishes a baseline for the Aquatics Center’s Business Plan Creates a starting point to develop: Goals and Objectives Program and Special Events Plan Budget Marketing Plan Evaluation Process
4	Process Leading to Pro-forma Development Feasibility Study (USAquatics & AKArchitects: included a market analysis) Market Analysis (Ballard*King and Associates) Operations Pro-forma Ê Implementation Plan (Parks & Rec) Start up Budget FY 2006 Projected Budget FY 2007
5	Pro-forma Parameters 2006 will be the first year of operation. The population is expected to continue to grow at a steady rate. There are approximately 107,000 in the primary service area and approximately 142,000 in the secondary service area. The population is younger than the national numbers and the average household size is smaller. The median household income is lower than the national numbers. There are other indoor aquatic providers in the Missoula area.
6	Pro-forma Parameters These pro-forma estimates are based on the updated design concepts developed by and MMW Architects and the Design Team. Revenue and use projections are predicated on the facilities accepting charge cards for all admissions and services as well as electronic funds transfer for annual passes. The facility will have an active marketing plan to sell annual and season passes to the center. A scholarship program will need to be established for individuals that cannot afford the user fees of the center and/or its programs.
7	Revenue Projection Models (Annual Estimates) Facility at Facility at Category McCormick Park Playfair Park Playfair/50 Fees Admissions 93,555 87,581 96,339 Multi. Admiss. 33,919 16,093 17,713 Summer Pass -0- 159,621 175,427 Annual Pass 219,443 -0- -0- Corporate/Group 9,000 4,500 5,000 Rentals 12,000 10,800 23,600 Sub Total Fees $367,916 $278,595 $318,079 Programs Aquatics 50,000 6,500 6,500 General 20,000 2,500 2,500 Sub Total Programs $70,000 $9,000 $9,000 Other Pro-shop sales 2,000 750 1,000 Scholarship donation 5,000 5,000 5,000 Locker -0- 1,000 1,250 Spec. events 2,000 3,000 4,000 Concessions -0- 95,000* 105,000 Vending 7,500 1,000 1,250 Sub Total Other $16,500 $105,750 $117,500 Grand Total $454,416 $393,345 $444,579
8	Expenditure Cost Model (Annual Estimates) Facility at Facility at Category McCormick Park Playfair Park Playfair/50 Personnel (new positions) Full-time 61,763 20,588 20,588 Part-time 325,867 184,825 215,314 Sub Total Personnel $387,630 $205,413 $235,902 Commodities (Supplies) Office supplies 4,000 500 0 (forms, ID film) Chemicals 18,000 11,000 19,000 (pool/mech.) Maint./repair/mat. 11,000 2,500 4,500 Janitor supplies 14,000 3,500 4,500 Rec. supplies 5,000 5,000 6,000 (fitness, pool, etc.) Uniforms 2,500 2,000 2,500 Printing/postage 4,000 2,000 2,000 Food (concessions) * 0 47,500* 52,000 Pro Shop 1,500 500 750 Other 2,000 2,000 2,500 Sub Total Supplies $62,000 $76,500 $93,750
9	Expenditure Cost Model cont……… Facility at Facility at Category McCormick Park Playfair Park Playfair/50 Contractual (Purchased Services) Utilities 103,500 31,500 51,500 (gas & elec.) Water/sewer 11,000 4,500 7,500 Insurance 20,000 13,000 18,000 (prop.& liab.) Communications 3,000 1,000 1,000 (phone) Contract services 15,000 5,000 7,000 Rent equip. 2,000 1,000 1,500 Advertising 5,000 10,000 10,000 Training 4,000 4,000 5,000 Conference 500 -0- -0- Membership/dues/subscriptions 500 500 500 Trash pickup 1,500 300 300 Bank charges 9,500 2,000 2,500 Scholarship fund 5,000 5,000 5,000 Other 2,000 1,000 1,500 Sub Total Contractual $182,500 $78,800 $111,30 Capital Replace. fund $10,000 $5,000 $7,500 Grand Total $642,130 $365,713 $448,452
10	Expenditure – Revenue Comparison (Annual Estimates) Facility at Facility at Category McCormick Park Playfair Park Playfair/50 Revenues $454,416 $393,345 $444,579 Expenditures* $635,030* $365,713 $448,452 Difference - 180,614 + 27,632 -3,873 Recovery % 71% 108% 99% Total Aquatic Subsidy -152,982 Subsidy Budget 125,000 Net Difference -27,982 It should be noted that the financial performance of an outdoor aquatic center is directly related to the weather. A very warm, dry summer will result in higher revenues while a wet cool season will greatly impact attendance and revenues. This pro-forma is based on an average summer season. * Admin Cost Savings figured on vacating 100 Hickory $7,100.
11	Projected Fee Schedule The following fee schedules have been figured utilizing a fee differential of approximately 25% for non-district residents (outside of the city limits). A non-resident fee differential of greater than 25% is not recommended as users from outside the city need to be encouraged to use the aquatic facilities on a regular basis. Revenue projections and attendance numbers were calculated from these fee models. Daily Multiple Summer (3 Mon.) Annual Res. / N Res Res. / N Res. Res. / N Res. Res. / N Res. Adults $3.50 $4.50 $80.00 $100.00 $90 $112 $180 $225 Student $2.50 $3.00 $55.00 $68.00 $60 $75 $120 $150 (12-17) Youth $2.00 $2.50 $45.00 $55.00 $45 $56 $90 $110 (11 & under) Senior $2.50 $3.00 $55.00 $68.00 $60 $75 $120 $150 (60+) Family* N/A N/A $200 $250 $375 $465 Multiple admission passes, summer and annual passes are valid at either facility. * Up to six members (2 adults, 4 youth/students) each additional season pass holder is $25 for a youth/student and $50 for an adult. Each additional annual pass holder is $50 for a youth/student and $100 for an adult.
12	Attendance Projections Attendance Projections are the basis for the identified revenue figures. The admission numbers are affected by the rates being charged for residents and non-residents, the facilities available for use and the competition within the service area. These are averages only and are based on 90 days of operation for the outdoor pool and 360 days indoor. Yearly Facility at Facility at Paid admission McCormick Park Playfair Park Playfair/50 Daily Visits per Year 32,400 30,780 33,840 (# daily admission) 90 342 376 Multiple- Punch Card 16,200 7,680 8,460 (# cards sold annually) 540 256 282 Season Pass Visits* 27,000 29,700 (# sold annually) N/A 900 990 Annual Passes Visits 65,520 (# sold annually) 630 N/A N/A Total Yearly 114,120 65,460 72,000 Total Daily 317 727 800 * Season pass numbers are based on selling passes to approximately 2.0% of the households in the primary service area, and selling annual passes to 1.5% of the households in the primary service area. Note: All family admissions/passes are counted as one admission only. Admissions for season pass holders are based on 30 visits a season and annual passes on 104.
13	Fee Comparison
14	Using Pro-forma III Numbers Developing Resident Discount Program Developing Marketing Strategies to realize Pro-forma’s projected #’s. Developing plan to take electronic payments. Developing plan to increase funding to scholarship program.
15	Additional Actions Under Review Packaging Recreation through community partnerships. Concession Concept ð Restaurant Concept Keep a close watch on Utilities; natural gas, electricity, & water. Consider Adjusting fees to increase 15%.
16	WWW.MISSOULAPARKS.ORG AQUATICS PROJECTS Demographic & Market Analysis Aquatics Time Line
17	Index for Pro-forma III Title Page Intro 1 Operating Expenditures 2, 3, 4 Staffing Levels 5, 6 Revenue 7, 8 Exp – Rev Comparison 9 Future Years: Exp-Rev 10 Fees & Attendance 11, 12 Admission Rate Comparisons 13 Attendance Projections 14 Hours of Operation 15 Part-Time Staff Hours 17 - 28 Revenue Worksheets 29 - 33