Multiplex Fin Plan

7/31/2019 Multiplex Fin Plan

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LLOYDMINSTER MULTIPLEX STEERING

COMMITTEE

FUNDRAISING PLAN

JANUARY 06, 2004

Be a Good Sport Join the Team!

Approved City Council - January 12, 2004 - 1 -


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INDEX

pageAuthority 3

Plan Overview 3

Fundraising Sources and Approaches 5

Donor Recognition 7

Campaign Structure 9

Major Sponsors 10

Organization Chart 12

Board Members 12

Fact Sheet 13



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AUTHORITY

Since July 2001, the Multiplex Steering Committee has been soliciting support from community residentsof Lloydminster for the construction of the Multiplex and raising funds to assist with the Capital

Construction.

On February 17, 2003, Lloydminster City Council approved proceeding with a Multiplex Project consistingof 2 ice surfaces, 2 field houses, outdoor speed skating oval, upper level running track, facility / siteamenities as well as fitness space, child play / services space, professional service space and meeting /conference / program rooms at an estimated cost of $19.8 million.

The Steering / Fundraising Committee is appointed annually by City Council and the Fundraising plan thatfollows was approved by City Council in January of 2004.

PLAN OVERVIEW

The purpose of this document is to serve as the strategic plan for the successful raising of the communityportion of capital funds to build a Multiplex Sports Centre in Lloydminster.

FUNDING TARGETS

1. Municipal Financing (City of Lloydminster) $9.0 million

2. Fundraising $6.0 million

3. Government and Other Sources $4.8 million

Total Project $19.8 million

The primary sources of funds for the Project have been identified by the Fundraising Committee, andcontribute to the content of this planning document.

As a result of the Be a Good Sport - Join the Team! campaign plan, the campaign strategy, potentialsources of support, techniques and methods to be used in approaching these sources, a campaign structurewith specific committees, financial objectives, and a campaign timetable have all been identified.

FINANCIAL REQUIREMENTS

CAPITAL REQUIREMENT

The capital requirement of the Multiplex Project is $19.8 million with fundraising completion targetDecember 31, 2005.



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CAMPAIGN FUND RAISING TARGETS

CAMPAIGN GOAL

The Multiplex campaign goal forBe a Good Sport Join the Team is $6,000,000.

GIFT TABLE

The usual practice for a capital campaign is to create a gift table that outlines exactly how manycontributions at varying levels are required to meet the goal. The rule of thirds has been found to be aconsistently accurate device for estimating the size and number of gifts that will be raised. This rulesuggests that the top ten donors to the campaign will meet one third of the private fund raising target;another third will be met by the next 100 largest donations; and the remaining third will be derived throughall other gifts and related fund raising activities.

A sample table for a $6,000,000 goal might look like this:

TOP 17 GIFTS

NUMBER GIFT DOLLARS

REQUIRED SIZE RAISED

1 1,000,000 1,000,000

1 500,000 500,000

4 250,000 1,000,000

4 150,000 600,000

7 50,000 350,000

17 $3,450,000 58%

NEXT 100 GIFTS

NUMBER GIFT DOLLARS

REQUIRED SIZE RAISED

10 30,000 300,000

20 15,000 300,000

30 7,500 225,000

40 3,750 150,000

100 $ 975,000 16%

ALL OTHER GIFTS/ACTIVITIES $1,575,000 26%

GRAND TOTAL $6,000,000 100%

By quantifying the needs of the Lloydminster Multiplex in the above manner, it provides a guide for theidentification and rating of prospective donors. A variation on this table will be created, based on thenumber of funding sources identified, and the various fundraising approaches selected.



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FUNDRAISING SOURCES AND APPROACHES

MAJOR SPONSORS

In order to kick off the fundraising campaign, at least one major sponsor is needed from the community. Byidentifying the major sponsor, interest and confidence from the rest of the community should result.

Getting a commitment of this magnitude will require cultivation from the primary members of theFundraising Committee. The prospective donors will need to be made aware of the full scope and benefitsof the project and encouraged to support it to the best of their ability.

When major commitments are made, the donors will be identified to the community in a positive andappropriate manner. The Fundraising Committee could capitalize on these donations by announcing themat a major event to generate enthusiasm by the community and will hopefully generate significant donationsfrom others.

Also in many cases individuals who make significant donations can be used to introduce the FundraisingCommittee to others who may have an interest in making a significant contribution.

CORPORATE/BUSINESS SECTOR

A systematic canvas of all businesses in the community will be required. All businesses should beencouraged to give to the best of their ability. They will need to be assured that they will be recognized atthe level of their giving (see page 7). Again, business contacts can be used to encourage support from theirpeers.

Business contacts can also be used to encourage their employees to participate in community fundraisingefforts. An enthusiastic volunteer can develop interest and donations from within the company. Perhapssome companies would be interested in setting up a program where they would match the individualcontributions made by their employees. It would also be beneficial in large organizations to identify anemployee that would be willing to volunteer to raise as many funds within the organization as possible.Whatever the case, all efforts should be made to pursue every avenue.

CORPORATE/BUSINESS SECTOR TARGET: $4,450,000

SERVICE CLUBS/COMMUNITY ORGANIZATIONS

Service clubs and community organizations may be able to make a significant contribution, both in moniesand volunteers, to assist with special projects and community awareness. They may be interested incommitting to raise the capital for specific items.

Critical to a successful approach is a discussion with club representatives to determine what level ofinterest there may be in supporting the project, the financial capabilities of the club and the type ofrecognition sought.

Initial introductory letters will be sent out to many community groups and organizations. This campaignwill take place in March and April 2004. Individual follow-ups will be required to provide a personalintroduction to the project and advise them of our particular needs.

SERVICE CLUBS/COMMUNITY ORGANIZATIONS TARGET: $250,000



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INDIVIDUALS

Typically in any fundraising effort, individuals provide a major portion of the funds generated and thevolunteers needed. The challenge is to determine the most appropriate approach to contact and attract thesupport of individuals and families.

As capital campaigns achieve the greatest proportion of support from a relatively small percentage of alldonors, it is vital that donors be challenged to give to the fullest of their potential. They must be encouragedto reach the highest level on the Donor Recognition Levels that they can. Large numbers of donors at lessthan optimum support is less effective than fewer donors giving to the best of their abilities.

In order to induce individuals to make greater contributions, they will be able to make pledges to be metover a period of time: e.g. monthly, quarterly, or annually.

Also included in this group are opportunities for planned giving in the form of endowments and charitableremainder trusts.

INDIVIDUALS: $300,000

SPECIAL EVENTS/PROJECTS

Special events and projects would be activities undertaken by the Fundraising Committee for promotionpurposes. These activities would be designed to assist with maintaining the Fundraising Committee profilein the community, and make money for the Fundraising Committee at the same time. Examples of thisactivity would be the Annual First Night event on New Years Eve, a House Lottery or sponsorship of aSporting Event. To summarize, in addition to raising funds, a second function of these events is thepublicity and awareness created within the community and surrounding area.

SPECIAL EVENTS/PROJECTS TARGET: $550,000

USER GROUPS

User groups include all groups that would use the facility for sporting events. A letter writing campaign hastaken place to encourage the user groups to come up with creative ways to raise funds. That campaignresulted in letters of support and monetary commitments to the project from various user groups solicited.The fund raising could include increasing fees a sport or hosting some type of fundraising event.

USER GROUPS TARGET: $450,000

COMBINED SOURCES

The above sources and targets produce the following breakdown:

Corporate/Business Sector $4,450,000Service Clubs/Community Organizations $ 250,000Individuals $ 300,000Special Events/Projects $ 550,000User Groups $ 450,000

Total Sources $6,000,000



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PLEDGES

For some donors the option to provide support over a period of time may enable them to make a largercommitment. The recommended period of time for donations to be pledged over would be three years.Payments would be set up to be paid either monthly, quarterly or annually. It is recognized that the cashflows will be required during the course of construction and that outstanding donations cannot be set up asaccount receivables thus have to be covered by the City in the interim.

Pledges beyond the three year period could be taken and go towards the ongoing operation of the MultiplexSports Centre.

ADD ROGER WORDING

CHARITABLE REMAINDER TRUSTS

Charitable Remainder Trusts are another way for individuals to make a donation to the FundraisingCommittee. In this form of planned giving, the donor places funds with a third party in an irrevocable trust.The donor immediately receives a receipt for the funds pledged. He also receives regular annual interestpayments from the trust. Upon his/her death the face value of the trust is paid to the Fundraising

Committee.

The primary benefit of this type of donation to the Fundraising Committee is that the trust agreement isirrevocable, and the agreement can be pledged as security on a loan should one be required at the time ofconstruction.

DONOR RECOGNITION LEVELS

Special recognition for various levels of contributions should be used to encourage donors to strive for thehighest level possible.

The following are levels of recognition for donations:

CORPORATE INDIVIDUALS

Hall of Fame (level 1) $500,000 - plus $25,000 plusMVP (level 2) $250,000 - $499,999 $15,000 - $24,999All Star (level 3) $100,000 - $249,999 $10,000 - $14,999Coaches (level 4) $50,000 - $ 99,999 $ 5,000 - $ 9,999Captains (level 5) $25,000 - $ 49,999 $ 1,000 - $ 4,999Players (level 6) $ 1,000 - $ 24,999 $ 500 - $ 1,000

Overall Building Title $1,000,000.00

Overall Project Sponsor

Exterior Signage

Interior Welcome Signage

Thank You Interior Signage leaving the building Corporate recognition on Fundraising material

Corporate recognition on all print and promo material

Corporate recognition with all Promotional Marketing and Advertising; ie Broadcast, Electronicand Print Media

Major sponsor for 1 weekend event per year

A one day Family pass to each member/employee in the opening year.

All Corporate branding and signage is donor responsibility



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Meeting Room $ 500,000.00

Meeting Rooms Sponsor

Meeting Room Sponsor Kiosk on 2nd Level Information area

Corporate Name included on all applicable internal directional signage

Signage on the meeting rooms

Corporate Branding in all Marketing for meeting rooms

First right of refusal for bookings of meetings All Branding and signage is donors responsibility

Decorating responsibility of Donor

Arena 1 $ 250,000.00

Arena 2 $ 250,000.00

Field house 1 $ 250,000.00

Field house 2 $ 250,000.00 Exclusive Signage on Both ends of either a Field House or an Arena.

Corporate recognition with all Promotional Marketing and Advertising; ie Broadcast, Electronicand Print Media

Corporate Recognition with regards to All Event Scheduling at Your Field House or Arena.


Feature Corporate logo on centre ice (Ice Arenas Only) Major Sponsor of a One Day Event each Year.

Corporate Branding through signage is donor responsibility..

Walking/Running Track $ 150,000.00

Corporate Signage on walls and track corners Corporate Name included on all applicable internal directional signage

Corporate Branding through signage is donor responsibility

Leisure Ice $ 100,000.00

Corporate Signage



Outdoor Speed Skating Oval $ 100,000.00

Corporate Signage



Child Play Area $ 50,000.00

Skate Change Area $ 50,000.00

Corporate Signage



Ice Resurfacer $ 50,000.00

Corporate Branding on Ice Resurfacer

Corporate Branding included on Ice Resurfacer room door




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CAMPAIGN STRUCTURE

DELEGATION

Due to the size of the project, and the varied nature of activities that will take place, it is vital to have astructure which will allow the Fundraising Committee to proceed with their job without the requirement of

having to go back to the Board of Directors for approval of each activity.

Prior to the actual activity or event taking place, the proposed campaign structure and scope, as outlined inthis document must be approved by the Fundraising Committee.

FUNDRAISING COORDINATOR

Critical to the success of the campaign is the recruitment of committed volunteers to assume leadership forheading the various committees struck. One of the most important posts to be filled is that of FundraisingCoordinator.

Basic functions of the committees and the key personnel are outlined below.

FUNDRAISING CHAIR

As a member of the Multiplex Project Board, the Fundraising Chair serves as the Team Leader, selecting,directing, monitoring and, when necessary, prodding campaign volunteers, particularly chairs of each of thecommittees.

Ideally this individual will be recognized in the community as a leader; someone associated with winningcauses. The possibility that this function might be shared by more than one individual might also beconsidered.

STEERING / FUNDRAISING COMMITTEE

The Fundraising Committee convenes meetings of the Fundraising Committee comprised of the sub-committee chairs. This body represents the governing executive of the Fundraising Committee. Activitiesof the Fundraising Committee are then communicated to the City to keep them apprised of how the plan isprogressing.

The first task of the Fundraising Committee is to review the overall campaign goals and proposedfundraising approaches. Targets for each sub-committee will be examined and collectively the FundraisingCommittee must set the financial objectives for the campaign and approve the campaign timetable. Whenthis is approved, detailed Implementation Plans will be developed by each of the sub-committees andpresented to the Fundraising Committee for approval, then forwarded to the Board of Directors for finalapproval.

Sub-committee progress will be reported at regular meetings of the Fundraising Committee, and activities

requiring coordination will be dealt with at this level to ensure that conflicts are avoided.



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MAJOR SPONSORS

It is anticipated that by the time final implementation plans are in place, at least one Major Sponsor willhave been located, and plans can be made for the unveiling of this donation.

FEDERAL/PROVINCIAL GOVERNMENTS

This committee, working in conjunction with the City of Lloydminster, will need to research what grantsare available for this type of project. Detailed proposals will be required for these applications, and thiscommittee can be working at obtaining the required information. As the final campaign goal nears,negotiations can begin in earnest for these grants.

CORPORATE/BUSINESS SECTOR

A nucleus of business representatives will be recruited to work with Fundraising Committee volunteerswho have been active in soliciting businesses. This committee will identify prospective donors at both themajor corporate and small business levels. The appropriate approach will be determined and the campaign

designed accordingly. At the major corporate level, prospective donors should be approached in a teammanner, with the team comprised of the Mayor or City Commissioner, Multiplex Committee Chairman andFundraising Chairman or designates. All major Corporate or Multi-National companies should beapproached in this manner.

SERVICE CLUBS/COMMUNITY ORGANIZATIONS

A strong potential has been identified for approaching community clubs and associations to enlist theirsupport and involvement in Be a Good Sport Join the Team campaign. This committee shouldundertake an active campaign for approaching these organizations and requesting an opportunity to speakto their members or executive about the Multiplex Sports Centre. A part of the approach would be tochallenge these groups to organize fundraising events or make direct appeals to members to support thecampaign both financially and through volunteering.

INDIVIDUALS

A concerted effort will have to be made to make the public aware of the project and encourage them tomake donations to the best of their ability. As well as current giving, we should be looking for endowmentsand charitable remainder trusts from individuals. Again, perhaps businesses could be used to match theindividual contributions of their employees. Numerous volunteers will be required to work in this area, as itis this area where many small donations will be received, rather than a few large ones.

SPECIAL EVENTS/PROJECTSMany volunteers will be needed for these efforts. Activities will be concentrated, giving busy people an

opportunity to make a contribution where they may not be able to commit for a longer period of time. Asthese events are to keep the public image high, publicity will be the key factor. A volunteer data-basewill be created to provide quick access to committed volunteers that can assist with special events and/orprojects.

COMMUNICATIONS



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The communication committee will undertake the development of the campaign theme, promotionalmaterials and a strong publicity program. This group will work closely with all of the committees to ensurethey have the appropriate materials available to assist and enhance their efforts.

RECRUITMENT COMMITTEE

To commence the establishment of the entire campaign organization, an interim Recruitment Committeeshould be formed to identify potential volunteers for the Fundraising Coordinator and sub-committeechairs. The current Fundraising Committee members can be used for this function. It would also bebeneficial for the Multiplex Board of Directors to participate in this exercise, as they may have contacts inthe community who could provide valuable resources to the committee. Once the Fundraising Coordinatoris in place, they will work with the Recruitment Committee to solidify the Fundraising Committee. Use of avolunteer data-base will assist the committee in cataloguing volunteers and dispatching them as needed.

FUNDRAISING COMMITTEE


The first order of business for the Fundraising Committee is for each chair to select their sub-committeemembers and work on detailed implementation plans for their portion of the campaign. These detailed

plans will form the basis of their activities. All detailed plans will then be forwarded to the Board ofDirectors for their approval before implementation.


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ORGANIZATION CHART

City Council

Parks and Recreation Committee

Multiples Steering / Fundraising

Committee

Functional Planning and DesignCommittee

Construction Committee

LLOYDMINSTER MULITPLEX STEERING / FUNDRAISING COMMITTEE

MEMBERS

BOARD MEMBERS

Christie, Bob ChairmanBaehl, Margo

Block, RegKindrachuk, MartyKing, TracyKobelka, KariMiguel MartinezMusgrave, KarenSaunders, RobSchiller, MilesDudding, Guy City Liason

FUNDRAISING SUB COMMITTEE

Schiller, Miles - Chairman / co-corporate chair

King, Tracy - co-corporate chairMcAllister, Marilyn IndividualsFagnon, Glen Special EventsWurtz, Leo User GroupsMehain, Howard Service Clubs



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FACT SHEET

April 2000 Initial planning of proposed complex began

Aug 2000 Strategic plan (prepared by Steering Committee) sent to user groups asking for support

Sept 2000 $4,000 received from local user groups to show support for project

Nov 2000 $1,050 received from local user groups to show support for project

Jan 2001 $1,500 received from local user groups to show support for project

Jan 2001 Randall Conrad & Assoc. Ltd. hired as consultants for the project

Jan 2001 Postcard campaign initiated

Feb 2001 Randall Conrad & Assoc. Ltd. submit Pre-Feasibility Assessment to City of Lloydminster

Feb 2001 Steering Committee disbands and hands project over to new Board of Directors

April 2001 Logo Contest initiated

April 2001 Lloydminster Credit Union commits $100,000 to project

June 2001 Logo Contest winner determined Wesley Heath - Paradise Valley, Alberta

July 2001 Minor Hockey commits $200,000 to project

July 2001 Terms of Reference received from City of Lloydminster

Oct 2001 Adult Soccer commits $10,000 to project

Nov 2001 Participated in the Lloydminster Chamber of Commerce Trade show to raise awareness

Feb 2002 Council approves 2 arenas, 1 field house, 1 outdoor speed skating oval

Feb 2002 Cliff Rose initiates a campaign to upgrade 1 rink to 4500 seats

April 2002 Business Breakfast organized to discuss the possibility of a 4500 seat arena

May 2002 Brass Bedposts Back for the Future raises over $67,000

Nov 2002 Public Forum held with Randy Conrad and Roger Smolnicky as guest experts

Nov 2002 Multiplex advisory board passes a motion to upgrade the presently approved facility

to a 2 arena (1with 500 seats and 1 with 1000 seats), 2 field house, fitness area,

commercial infrastructure

Feb 2003 Council approves the upgraded facility

Aug 2003 Kevin Lowe and Friends Sports Dinner (1st of 3) $128,000

Oct 2003 Council approves in principal, SE 25-49-1-W4 as the site of the Multiplex

Nov 2003 Mikes Oilfield announces sponsorship of a Fieldhouse ($250,000)

Nov 2003 Agland announces $150,000 sponsorship.

Nov 2003 Nexen announces $50,000 sponsorship.

Nov 2003 The Goat announces $50,000 sponsorship.

Dec 2003 OTS announces sponsorship of the Meeting Rooms ($500,000)

Dec 2003 Nelson Family Sponsor the Edmonton Symphony ($27,000+)

Jan 2004 Announce Joint Venture Lottery with Hospital Foundation ($300,000 - $500,000)



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The following are excerpts taken from the Pre-Feasibility Assessment prepared by Randall Conrad &Assoc. Ltd. that was submitted to the City of Lloydminster in February 2003:

CURRENT FACILITIESThe City of Lloydminster currently operates three indoor ice arenas:

1) The Civic Centre2) The Russ Robertson3) The Archie Miller

The Civic Centre and Russ Robertson are fully operational, structurally sound and capable of operating forthe next 15 years. The Archie Miller has reached is useful threshold and should be retired.

Currently there is no dedicated indoor soccer facility. In large urban centres indoor soccer has grown at15% per year over the past five years as costs associated with soccer are lower than those associated withhockey and figure skating. Growth is forecasted to remain at 10 15% over the next three to five yearswith it stabilizing at 1% a year thereafter.

DEDICATED USERSThe following table provides a general breakdown of the dedicated user market by estimated numbers of

users.

Over 61.4% (close to 700) of these users represent youth between the ages of 6 and 19. Middle-aged adultsplaying on recreational hockey teams represent 25.3% and the remaining 13.3% consist of competitivehockey teams.

Dedicated User Market_____________________________________________________________________________

2000_____________________________________________________________________________Minor Hockey 50%Skate Club 20%Adult Recreation 21%

Blazers Junior A Hockey Team }Bandits Junior B Hockey } 9%Participation Hockey }_____________________________________________________________________________

Total Approximate 100%_____________________________________________________________________________

General Public Users (Public Skating)Based on 1996 provincial participation rates done by Alberta Recreation Survey close to 30% of Albertansice skate (not hockey) at least once per year. It is unknown whether this occurs indoors or outdoorshowever if 30% of Lloydminster residents (6,600) were suggested to skate at least once per year and halfdid so in arenas, then some 3,300 participants would represent the Lloydminster market.

School UsersIn 2000 schools booked close to 215 non-prime time ice slots for classroom outings. Assuming that repeatvisitation occurs four times per class per season and that there are on average 25 pupils per class then theschool use market could approach 1,000 participants each year. It is not known how many of theseparticipants are also enrolled in community based programs.



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PRESENT DEMANDS OF USER GROUPS

Based on the findings of the consultant contacted to do the study for the Multiplex Sports Centre for thecity of Lloydminster, here are the key findings:

Minor HockeyMinor hockey booked approximately 2458 hours of ice time in 2000. The time was allocated to teams forpractices, local league games, games with other communities and tournaments. It is estimated that localminor hockey teams on average will receive 1 1.5 hours per week for practices and 1 1.5 hours perweek for games. More competitive teams, which interlock with outside leagues, will receive more than 3hours of ice time per week while others will receive as few as 2 hours per week. It has been suggested thatthis average rate of participation is insufficient for quality program skill development. Most rural andsmaller municipalities achieve rates of 3 4 hours per participant per week. Large cities achieve 1.5 2hours and small cities are typically at 2 hours per week and demanding more ice time.

The Multiplex Project Board is concerned about the ability to provide and sustain a quality program forLloydminster youth without additional ice.. They are also concerned about the increased need to travel onwinter highways. Based upon growth and the need to improve the quality of the program, Minor Hockey

suggests a current need for a minimum of 650 additional hours per season.

This would effectively provide an average program standard of close top 2.8 hours per week perparticipant. Future expected growth in registration is suggested to warrant the need for an additional 650hours per season within five years time. This represents an incremental demand of some 1,300 seasonalhours over the next five year.

Skate Club/Figure SkatingThe Lloydminster Figure Skate Club registration has remained relatively stable in numbers over the lastfour-year period in Can Skate, learn to, junior and CFSA (Canadian Figure Skating Association)programs.

The club is concerned that they cannot provided a full CFSA program. In essence, more ice time is needed

to not only advance competitive teams, but to qualify at a provincial and national level.

The club has suggested the need for an additional 80 hours per season to provide adequate programdevelopment. Any additional hours would be consumed with private lessons and it would enable the club todiversify its program base for families.

SUMMARY OF DEMAND (PRESENT) FOR PRIME TIME ICE

# OF EXTRA HOURS

GROUP DEMANDED

Minor Hockey 650Skate Club 80Competitive Teams 300

Old Timers and Casual Teams 100Public Skating (estimate for double the current) 79

______________________________________________________________________________________

Total 1209 seasonal hours



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Indoor SoccerThe consumption rates of indoor soccer are at this time unknown since the opportunity/space is notprovided for in the city or surrounding area. School gymnasiums are required for practice and training bythe few teams that can be fielded given current capacity restrictions. The phenomenal growth in indoorsoccer, if a facility is provided in the region, would attract approximately 800 participants, or close to 50teams who would demand at least 2 hours per team per week of prime time bookings or 2,700 seasonalhours (27 weeks). The 500 participants currently engaged in an indoor soccer programs would see 33 teamsdemanding approximately 1,780 prime time hours or enough to warrant one indoor soccer arena.


Multiplex Fin Plan

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