City accepting arena management proposals

Brainerd is ready to hear proposals from outside groups to manage the Brainerd Area Civic Center.

The city's Personnel and Finance Committee met Monday to begin discussions on the future of the arenas. The meeting was scheduled after the Brainerd Amateur Hockey Association offered to take over management of the arenas under a five-year contract with a $30,000 annual contribution from the city for building improvements.

The committee will meet at 5 p.m. Monday at Brainerd City Hall to hear proposals from the Brainerd Amateur Hockey Association; a for-profit group proposed by Shelly Trimble, director of the Lakes Area Women's Expo; and anyone else who may be interested.

As it stands now, the city owns the Brainerd Area Civic Center arena and the land on which both the civic center and Gold Medal Arena sit. BAHA maintains ownership of the Gold Medal Arena building, but under the existing lease agreement, the building will revert to city ownership March 1, 2010, if the agreement isn't renewed.

Mike Blanch, president of the BAHA, said his organization is proposing to manage both arenas. He said that in talking with other users of the arena, they also were comfortable with BAHA managing the facilities.

"We feel comfortable that we've looked at revenue options, expenses, financial information and that we can be successful in managing it," Blanch said.

Bob Joyce, past BAHA president, said BAHA's proposal wasn't unprecedented, noting that Moorhead has a similar agreement in place. BAHA last year presented a proposal to the city to manage the arenas but it was rejected by the city.

Trimble said she is organizing a for-profit group to run the arenas that would turn a profit without use of public funds, except for certain capital expenses that no management group could afford, such as if the roof collapsed.

"A for-profit company has a permanent stake in the community to ensure enhancement," Trimble said.

Trimble also suggested that the city seek requests for proposals from all interested firms. The committee directed City Attorney Tom Fitzpatrick to determine if they needed to do so.

"I would prefer ... to have one of the users be the manager" of the arenas, committee member Kelly Bevans said. "I think you take care of your own house best."

Committee Chairwoman Mary Koep said the only option the city should be considering is for a group to take over management of the arenas without a subsidy from the city.

Koep also said that if an agreement were reached, the goal should be little or no city involvement in the management.

"Whoever ends up managing it should manage it and not come to city to set rates, decide usage, hire employees or anything else," Koep said. "Who runs it, runs it."

If the committee accepts a proposal it would need to be approved by the city council.

MATT ERICKSON may be reached at matt.erickson@brainerddispatch.com or 855-5857.