Mesa County Fairgrounds Master Plan Presentation of Findings - - PowerPoint PPT Presentation

Mesa County Fairgrounds ‐ Master Plan

December 10, 2012 Presentation of Findings December 10, 2012 December 10, 2012

Master Plan Evolved from Several Research Initiatives Over the Last Five Years

2010 2007 Markin Study: 2009 Internal Study: 2010 Steering Committee Formed and 2012 Crossroads/ Populous Business Plan Study: The Big Ideas Formed and Focus Group Meetings Held Populous Master Plan

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Potential Development Concepts

Regional Equestrian & Livestock Livestock Facility Mesa County Fairgrounds Themes/ C f Expo/ Event Facility BMX/ Extreme Sports Center Courses of Action y p Recreational Facility

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Project Team

Crossroads Consulting Services g

Crossroads is a market leader in providing advisory and development planning services to public assembly facilities development planning services to public assembly facilities

P l Populous

Populous is the world’s leading design firm dedicated exclusively to creating environments that draw people and communities together for unforgettable experiences

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Work Plan Served as the Basis of the Master Plan

l i l Multiple Work Sessions with Diverse Existing Facilities Assessment Market Analysis Business Plan with Diverse Stakeholders Assessment y

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Several Factors Influence the Recommended Program and Prioritization of Master Plan Elements

Operating Objectives/ Marketability/ Marketability/ Functionality Physical Program/ Design/Cost Business Model/ Return on Investment

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Market Analysis Assesses Potential Demand, Defines Program, and Drives the Economic Analysis and Business Plan

Market Attributes Input from Historical Operations Input from Demand Generators Industry Trends Competitive/ Comparable Facilities

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Master Plan is Segregated by Geographic Area and Major Activity

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P j t C t E ti t $6 8 M

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Project Cost Estimate: $6.8 M

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P j t C t E ti t $6 8 M

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Project Cost Estimate: $6.8 M

P j C E i $7 1 M

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Project Cost Estimate: $7.1 M

P j C E i $39 7 M

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Project Cost Estimate: $39.7 M

Business Plan Provides a Guideline for Future Operations

Impact to Economic Impacts Potential Usage/ Event Activity Impact to Financial Operations ‐ Spending ‐ Jobs ‐ Earnings Tax Revenues ‐ Sales and Use Tax Recommended Changes to O i Opportunities to Positively Impact Construction and ‐ Lodging Tax ‐ Income Tax Operating Strategies Construction and Ongoing Operating Costs

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Estimated Range of Incremental Usage/Event Activity at the Fairgrounds in a Stabilized Year

Option Events Usage Days Attendee Days Master Plan West 7 ‐ 11 10 ‐ 16 15,000 – 25,500 Master Plan East 17 ‐ 20 45 ‐ 51 24 000 – 26 600 Master Plan East 17 20 45 51 24,000 26,600 Master Plan Complete 77 ‐ 93 171 ‐ 205 153,400 – 189,800 Complete

• The Fairgrounds is typically used more than 295 days per year to

host nearly 500 activities that attract 100 000 attendees including host nearly 500 activities that attract 100,000 attendees including the Fair.

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Estimated Impact to Fairgrounds Financial Operations in a Stabilized Year

Category Three‐ Year Avg Master Plan West Only Master Plan East Only Master Plan Complete Operating Revenues $125,000 $164,500 $433,000 $1,191,000 Operating Expenses $375,000 $396,500 $535,500 $1,422,500 O i S b id $ $ $ $ Operating Subsidy ($250,000) ($232,000) ($102,500) ($231,500) Change in $ $18,000 $147,500 $18,500 g $ 8,000 $ ,500 $ 8,500 Change in % ‐7% ‐59% ‐7%

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Note: Master Plan amounts represent midpoint of the range.

Estimated Economic Impacts Generated From Ongoing Fairgrounds Operations in a Stabilized Year

215 250 $10 0 $12.0 ns) Direct Spending Total Jobs 150 200 $8.0 $10.0 Tot $ in million $10.1 50 60 90 100 $4.0 $6.0 al Jobs Spending ( $2.4 $2.9 $4.4 50 50 $0.0 $2.0 Direct S

Note: Master Plan amounts represent midpoint of the range

Historical Avg MP West MP East MP Complete 16

Note: Master Plan amounts represent midpoint of the range.

Estimated Tax Revenues Generated From Ongoing Fairgrounds Operations in a Stabilized Year

Jurisdiction Three‐Year Average Master Plan West Master Plan East Master Plan Complete Mesa County $47,000 $55,000 $84,000 $182,000 City of Grand Junction $94,000 $105,500 $164,500 $334,000 State of Colorado $94 000 $111 000 $168 500 $374 500 State of Colorado $94,000 $111,000 $168,500 $374,500 Grand Total $235,000 $271,500 $417,000 $890,500

Note: Master Plan amounts represent midpoint of the range.

• Tax revenues include sales and use tax, lodging tax, and income tax.

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Business Plan Provides a Guideline for Various Policy‐Related Issues and Operating Strategies

Recommended Changes to Operating Strategies Management Alternatives Potential Revenue Sources That Could Impact Cost Operating Strategies

• Mission Statement
• Booking Policy/
• Governmental

Management Impact Cost

• Naming Rights
• Concessionaire Rights

P i Ri ht Prioritization

• Marketing Efforts
• Rate Structure
• Independent

Authority

• Not‐for‐Profit
• Pouring Rights
• Long‐Term Advertising/

Sponsorship Sales

• Sale/Lease Retail

Rate Structure

• Staffing Levels
• Performance

Measures

• Third Party

Management

• Sale/Lease Retail

Parcels

• Private Sector

Investment Measures Investment

• Grants

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Mesa County Fairgrounds Master Plan Summary

• Driving forces of the master plan

Accommodate di erse comm nit sage – Accommodate diverse community usage – Minimize the financial operating subsidy – Maximize economic/fiscal impacts to the community

• Market demand exists for improvements/enhancements to the
• Market demand exists for improvements/enhancements to the

Fairgrounds that can accomplish the above objectives

• This project allows local government to positively impact the economy
• This project allows local government to positively impact the economy

through its financial investment

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Why Now?

• Master Plan

– Community Feedback and User Consensus – Market Demand – Business Plan

• Committed CIP Funds
• Low Construction Costs
• Low Construction Costs
• Economic Impact and Jobs
• Potential Funding Partners
• Grants Opportunities to Leverage County Dollars

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Questions and Discussion

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