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Home My WebLink AboutBallard King & Assoc - Aquatic Center Oprtns CITY OF PALM DESERT FINANCE DEPARTMENT STAFF REPORT REQUEST: PRESENTATION BY BALLARD*KING & ASSOCIATES ON THE AQUATIC CENTER OPERATIONS STUDY FINAL REPORT DATED JUNE 25, 2010 SUBMITTED BY: Paul S. Gibson, Finance Director . DATE: August 26, 2010 CONTENTS: Aquatic Center Operations Study— Final Report Recommendation By Minute Motion, that the City Council receive the presentation by Mr. Kenneth Ballard of Ballard*King & Associates relative to his findings in the Aquatic Center Operations Study. Backqround On December 15, 2009, staff issued a Request for Proposals for professional consulting services for an aquatic center user fee and rate study. Proposals were submitted on January 15, 2010. All proposals were reviewed and Ballard"`King & Associates were unanimously selected by the interview panel as the desired consultant. Council approved a contract with Ballard"King & Associates for an aquatic center user fee and rate study for the City's aquatic center project. The study has been completed, and a copy of the final report is included as part of this staff report. The report has been reviewed by the Parks and recreation committee and after discussions by the committee was recommended to forward their approval to City Council (attached are the minutes of the meeting discussing this item). Consultant is an expert in reviewing aquatic center fee reports. His process involved understanding and reviewing the operations of five benchmark aquatic centers located in Southern California and meeting with operators within the area to evaluate operating costs of similar facilities. Details of each of the following operations are located on pages 22 — 33, and the fee matrix of the centers is on Pages 32 and 33: • Palm Springs Swim Center • Indio Pawley Aquatic Complex � Valley-Wide Aquatic Center • Fontana Park Aquatic Center � The Wave Waterpark The analysis as presented indicates a 50% cost recovery rate of operating the aquatic center through fees generated by the facility. The operations analysis is located on Pages 4 through 7 of the attached study. Should the Council wish to accept the additional recommendations for C:\Users\pgibsonWppData\Local\Microsoft\Windows\Temporary Internet Files\Content.0utlook\QLIGOFD4\SR-Aquatic Center user Fee and Rate Study Final Report 062910.docx Professional Consulting Services for Aquatic Center User Fee and Rate Study Staff Report August 26, 2010 Page 2 of 4 cost recovery, the expense/revenue gap would be closed by $173,500, resulting in a 60% cost recovery rate in the first year of operation. Summary of the Aauatic Center Oaerations Studv: 1. Cost of Operations: On page 4 of the report, total cost is estimated at $1,274,844, which reflects the following breakout of costs: � Personnel $689,137 - Detail on page 38-39 and hours on page 54-57. • Commodities $182,000 — Supplies, chemicals, maintenance, recreational & janitorial supplies, uniforms, food, printing/postage, etc. Page 35 • Contractual $388,707 — Utilities, insurance, phones, rental equipment, advertising, training, conferences, dues & subscriptions, trash pickup, management fees, contracted custodial and maintenance services. Page 36 • Capital equipment replacement $15,000— Non-major capital improvements. Page 36 2. Revenue Summary: On page 4 of the report, total revenues are estimated at $631,997 or a 50% recovery rate. Later in the report, staff will discuss the potential option to increase revenue and lower operating costs to increase the rate of recovery to 60%, resulting in $707,497 in revised revenues. The following is the breakdown of revenues (pages 41 —42): • Fees $393,247 - Daily admissions of $126,559; admission passes for 25 days of $48,375; three-month passes for $80,933; corporate/group outings of $20,000; rentals of $69,500 (recreational pool, splash pool, therapy pool, swim clubs/regional meets, etc.); College of the Desert rental of $47,880. • Programs $116,650—Aquatic programs of$115,650, contract programs of $1,000. • Other $122,100 — Resale items of $7,550; umbrella rentals of $31,600; special events $3,000; concessions sales of$75,000; and vending sales of$5,000. • The fees were derived based on the following fee rate table (page 5) Admissions Resident Non-Resident Adult Daily • $ 4.00 • $ 6.00 Youth Daily (5 -12) • $ 3.00 • $ 4.50 Kids Daily (0 -5) � . - p - • - 0 - Adult 25 daily admission • $ 94.00 • $140.00 Youth 25 daily admission . $ 65.00 • $ 97.00 Adult 3 Months summer pass • $120.00 • $180.00 Youth 3 Months summer pass . $ 84.00 • $125.00 Note: Non-Resident charged actual costs and resident rate discounted. C:\Users\pgibson�AppData\Local\Microsoft\Windows\7emporary Internet Files\Content.0utlook\QLIGOFD4\SR-Aquatic Center use� Fee and Rate Study Final Report 062910.docx Professional Consulting Services for Aquatic Center User Fee and Rate Study Staff Report August 26, 2010 Page 3 of 4 Rentals rates for programs & other revenue are available on page 49 of the report. 3. Primary coverage area: Page 10 reflects the boundary of the Primary Service Area that the study uses to determine the City/Outside City population that the aquatic center will draw from outside Palm Desert. The area includes Palm Desert, Rancho Mirage, Thousand Palms, Indian Wells, Bermuda Dunes, as well as a portion of La Quinta and Cathedral City. The consultant was provided a number of reports from CVAG, a City recreational study, and a report showing where various valley residents come from to book reservations at Civic Center Park to help determine the primary service area. Staff discussed extensively the issue of including additional areas of the valley; however, after review of the various reports, City staff and the consultant agreed that the primary service area should be the area reflected in the reports. 4. Operational Budget Adjustments: The City of Palm Desert set a goal to recover 60% of the cost of operating the aquatic center through fees generated by the facility itself. The operating plan above indicates a rate of recovery beginning at 50% in the first year and rising to 57% in the fifth year of operations. Staff requested the consultant present City Council with options to bring the overall recovery to the 60% goal. On pages 5 thru 7 the consultant outlines both recommended and non-recommended potential changes to operational costs and revenues. Below is a summary of the changes recommended by the consultant if City Council desires the 60% recovery, however, the Citv Manaqer is recommendina that we hold off implementing any of the recommendations until we have had time to discuss the options with the operator of the pool. • Staffing reductions — It may be possible to eliminate the full-time Assistant Manager position and replace it with 20 hours a week of an additional Head Lifeguard. However, this would result in a significant number of hours where no full-time staff would be present at the center. Possible Annual Cost Savings: $48,000 • Fee Increases — Increase the admission and pass fees by 25% across the board. This will result in the highest fees of any public aquatic center in the region. If the rate of use remains constant with the proposed numbers in this study (this may not be realistic), then this could result in a significant revenue increase. Possible Revenue Increase: $68,500 • Increase in Rentals — If the center could increase the number of rentals to organized aquatic groups as well as the general public, this could result in additional revenue. However, an increase in the number of rentals may not be possible considering the level of rentals that are already being projected. Possible Revenue Increase: $33,000 C:\Users\pgibsonWppData\Local\Microsoft\Windows\Temporary Internet Files\Content.0utlook\QLIGOFD4\SR-Aquatic Center user Fee and Rate Study Final Report 062910.docx Professional Consulting Services for Aquatic Center User Fee and Rate Study Staff Report August 26, 2010 Page 4 of 4 Comparison of Oriqinal Budqet to Budqet with Chanaes reflected above (60% recoverv): Cate or Ori inal Bud et Ad'usted Bud et Ex enditures $1,274,844 $1,176,844 Revenues $ 631,997 $ 707,497 Net O eratin Cost $ 642,847 $ 469,347 Fiscal Impact Fiscal impact to the General Fund would be dependent upon which recommendations or fees are agreed to in the consultant report. Net additional General Fund operating costs could be $642,847 or $469,347 for fiscal year 2011-2012 (60% recovery using recommended changes to revenue and expenses). Once City Council approves the study, staff will bring back a resolution adopting the necessary fees for the aquatic center. It should be noted that the report shows that we obtain a 57% recovery after five years. Submitted by: Approval: ! . Paul S. Gibson, Director of Finance Jo . 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P . n�* � . � � AQUATIC C:ENTER tJPERATIONS STUDY City of'Palm Desert Ca/i orni �� . , ,f a Table of Contents Section I Executive Summary...........................................................2 Section II Demographic Summary and Market Review .................8 Section III Benchmark Facilities ......................................................21 Section IV Operations Analysis.........................................................34 SectionV Appendix...........................................................................53 ,--- —�� B11:LT_�A.RD�I�ING �>a�e 1 �� . c� ,1 .R ,5 �1 t; 1 A 'f [: S 1, 'I' D � AQUATIC' C�NTER OP�RATIONS �TUDY � City o f Palrr� Desert, Cali ornia �� • .f Section I — Executive Summary This is an executive summary of the key information that is found in the Palm Desert Aquatic Center operations study. Demographies: The focus of the aquatic center is to service the residents of the City of Palm Desert, however, it is recognized that the aquatic center will draw people from outside the city and therefore a larger Primary Service Area has been identified. The Primary Service Area includes Palm Desert, Rancho Mirage, Thousand Palms, Indian Wells, Bermuda Dunes, as well as a portion of La Quinta and Cathedral City. A much smaller number of additional users will come from beyond the Primary Service Area, which includes a major portion of the Coachella Valley Demographic Characteristics ` ',`. ,��.� �'�'�. �,� ��'Palr�i�e�e� ,�` " ' 'a �,.��`vi�e Ace� � Po ulat�on: 2000 41,]55 2009 99,304 51,509 140,750 2014(15) 59,588 165,374 Households: 2000 �g 184 45,087 2009 21,775 62,215 2014 23,518 72,061 Families: 2000 1 1,405 28,497 2009 12,709 39,393 2014 13,573 45,459 Avera e Household Size: 2000 2.13 2.19 2009 2.15 2.25 2014 2.16 2.27 Median A e: 2000 48.1 50.0 2009 54.1 54.7 2014 55.8 56.8 Median Income: 2000 $48,144 $49,001 2009 $60,345 $60,398 2014 $62,708 $62,904 Market Opportunities - Based on the other aquatic facilities located in the Coachella Valley, the following are market opportunities for a Palm Desert aquatic center. �-- --� i�al� BAI�T�Rl)�11INC� l�a�;e 2 �� w �t ssu �: ta �ri�, n t. 'rt� • AQUAT:IC CENTER CJPERATIQNS STUDY City of'PaCm Desert, Cali �rnia �� .f • None of the current public pools have a strong recreational orientation. This leaves an ideal market position for a new aquatic center in Palm Desert. • There is only one true public competitive pool (Palm Springs Swim Center) in the Coachella Valley. Swim teams have indicated an interest in additional pool time to support their needs. However, the local high school pools are not being well used by outside groups. • The homeowner association pools as well as the country club facilities serve very different markets and needs. To draw these users, a Palm Desert aquatic center will need to focus on amenities that are not available with these facilities. This is likely to include large lap pools that can handle a significant number of swimmers as well as competitive teams and a recreational pool with a zero depth entry, slide and interactive play features. In addition offering a full complement of aquatic programs and services will be essential. • A Palm Desert aquatic center will need to market itself as being a viable alternative to the private water parks, that is less hectic, focuses on families, aquatic programming and is much more affordable. • Marketing the aguatic center to the large number of visitors to the �area as well as the second homeowner will increase the use and potential revenue f'or the facility. Market Constraints — In �addition to the market opportunities, it is also important to analyze � possible market constraints. These include. � There are a significant number of conventional pools in the area, many of which have the capability of being used for competitive swimming and other events. • Residents of the Palm Desert area have easy access to a variety of different aquatic facilities from back yard pools, to high school facilities and HOA pools. • Many of the existing pools are available for little to no fee (backyard and HOA pools). � Summer weather can be too hot for people to even use a pool during afternoon times especially. • While much of the focus of the planned Palm Desert Aquatic Center will be on serving the needs of the competitive swim community and other more traditional pool programs, attracting the recreational swimmer to the�center�on a consistent basis will be paramount to generating strong use and revenue. However, the 50 meter pool is �-- —'I � � BALI1ARU�KINcT �>A�e � �1� _J � ,, ,� 5 �� . � A �� ,, � �, .� �� AQUATIC CENT:ER (JPERATIQNS STUDY G'ity of Pcxl�rr Desert, Cali ornia �� • .f considerably larger in size than the recreational elements of the facility whieh will somewhat limit the number of recreational swimmers that can be accommodated. Even with the presence of a number of existing pools there is still a market for a significant, publically owned, aquatic center in Palm Desert. To be financially viable a Palm Deseri aquatic center will need to have a focus not only on traditional aquatic activities (lap swimming, competitive swimming, lessons and fitness) but also on recreational swimming (slides, interactive play features, and shallow water). There will also need to be a high level of aquatic programming offered as well. �Phere are estimated to be 1,238,415 swimmer days in tl�e Primary Service Area and if the new ayuatic center were able to attract as few as 10% oi� these available swimmer days (a very conservative figure) this would convert to 123,842 swimmer days (this includes all types of swimming activities, not just paid admissions). This is a strong number of swimmer days that would also be augmented by further participation from outside the Primary Service Area as well as from visitors and second homeowners. Operations Analysis: O eration Cost Summa All Cate ories A uatic Center Personnel $689,137 Commodities $182,000 Contractual $388,707 Capital $15,000 GRAND TOTAL $1,274,844 Revenue Su�nrrtar All Cate ories A uatic Center Fees $322,950 Programs $116,650 Other $122,100 GRAND TOTAL $561,700 Ex enditure-Revenue Com arison Cate o A uatic Center Expenditures $1 274 844 , , Revenues $631,997 Difference � ��,��,�q.�� Recovery % Spo�� %�� BALL��KIN(� �,, f I C)1� t ��,e 4 I.__._--_ .c A 5 5 u �: i � �r r: ,s �, �r u AQUATIC CENTEFI C)P'ERATIQNS STUDY City ��f'Palnr Deser-t, Cali orni�a �� • .f Pro'ected Fee Schedule Admissions Resident Non-Resident Adult Daily $4.00 $6.00 Youth Daily (5-12) $3.00 $4.50 Adult 25 Admiss. $94.00 $140.00 Youth 25 Admiss. $65.00 $97.00 Adult 3 Month $120.00 $180.00 Youth 3 Month _ $84.00 $125.00 Operational Budget Adjustments: The City of Palm Desert set a goal of wanting to recover 60% of the cost of operating the aquatic center through fees generated by the facility itself. The operation plan on the previous pages indicates a rate of recover beginning at 50% and rising to 57% in the fifth year of operation. The primary reasons for the lower cost recovery are: • Since the aquatic center is not yet open and the actual operating agency has not yet been identified, a conservative approach to the budget process has been undertaken. • There are a significant number of swimming opportunities available in the area from back-yard pools, HOA and condo pools, resort pools, to private and other public pools. This has a significant impact on the overall market for a new public pool. • The user fees that are currently being charged for access to other public pools are reasonably low and other pools (back-yard pools, HOA and condo pools) do not require a fee at all for admission. This limits the rate that can be charged at a new Palm Desert Aquatic Center and ultimately the amount of revenue that can be generated. � The concept plans for the Palm Desert Aquatic Center indicate a large facility�with an extensive water surface area. The cost of operating a facility of this nature on a year round basis is expensive. However, in an effort to bring the aquatic center closer to the desired 60% cost recovery point, the following operational options are possible. Expenses There are a number of possible modifications that can be made to reduce the cost of operating the aquatic center, these include. ��%� �AI�LI-�R_D�I�IN�; Pa e � �� _ & A S S l) C 1 A 'i' h: 5 L 'P I) �� AQUAT:IC CENT:EI� 4F�RATIUNS STUDY C'rfy nf'Palm Desert, C'ali orni�x �� .f Recommended � Staffing Reductions — 1t may be possible to eliminate the full-time Assistant Manager position and replace it with 20 hours a week of�an additional Head Lifeguard. However, this would result in a significant number of hours where no full-time staff would be present at the center. This may also not be acceptable to the contract operator. Possible Annual Cost Savings: $48,000 • Reduction in Operating Hours — During the winter and shoulder seasons, open one hour later and close one hour earlier. Possible Annual Cost Savings: $50,000 Not Recommended • Seasonal Operation — Instead of being a year round pool, close during the winter season. This is not a realistic alternative as it does n�t allow for College of the Desert to utilize the facility during a major portion of the academic year and also cannot support a year round swim team. There would also be a significant loss of revenue with this approach. Yossible Annual Cost Savings: $150,000 to $200,000 (net) Revenues In addition to cutting expenses, there is also the possibility of increasing revenue. These options include: Recommended • Fee Increases — Increase the admission and pass fees by 25% across the board. This will result in the highest fees of any public ac�uatic center in the region. If the rate of� use remains constant with the proposed numbers in this study (this may not be realistic), then this could result in a significant revenue inerease. Possible Revenue Increase: $68,500 • Increase in Rentals — If th� center could increase the number of rentals to organized aquatic groups as well as the general public, this could result in additional revenue. However, an increase in the number of rentals may not be possible considering the level of rentals that�is already being projected. -- - I��r .... II .1_J111.J�`.1t 1J-l_��1�.L \�.7 '�C��;�' � I � � w 15suci ,a 'r [>. s t. 'i' i� AQUAT:IC CENTER OPERATIONS STUDY City� of'P�rlm Desert, C'ati or�ria �� .t Possible Revenue Increase: $7,000 Not Recommended • Higher Level of Market Penetration— Increasing the projections for daily use by 10% and 25 admission and 3 month passes from 1.7% of households to 2% (in the Primary Service Area) would result in a revenue increase. It should be noted that this option cannot be paired together with the "Fee Inerease" option as both would place too much pressure on the market. Possible Revenue Increase: $33,000 If the first two expense savings options are combined with the first two revenue increase options then the expense/revenue gap would be closed by $173,500, resulting in a 60% cost recovery rate in the first year of opera�tion. However, implementing these options will not be easy and may not result in the exact forecasts that have been presented. Comparison of Original Budget to Budget with Adjustments Cate o Ori inal Bud et Bud et Ad'ustments Expenditures $1,274 844 $1,176,844 Revenues $631,997 $707,497 Difference _ ��,�� g�7�� RecoverY % 50%—------ 60% '��' bAI�LAR D�I�ING },�_� � ,_ 1� ,I .e � s s u �: i ,a �r' i�: :, i, �r n �' AQUATIC CENT:E:R OPERATICJNS STUDY City of'Prxln� Desert Cali ornia �� • � .f Section II — Demo�raphic Summary and Market Review The following is a brief summary of the demographic characteristic of the City of Palm Desert and the surrounding market area. The detailed demographic analysis can be found in the appendix ol�this report. � The City of Palm Desert is planning to develop an outdoor aquatics center. The following market analysis looks at the demographic realities within the City of Palm Deserl and a larger Primary Service Area and compares them to state and national numbers. There is also a comparison with basic swimming and sports participation standards as produced by the Nationa] Sporting Goods Association. Following this information is an assessment of the other outdoor aquatic pro��iders in the Palm Desert area. Service Areas: The focus of the aquatic center is to service the residents of the City of Palm Desert, however, it is recognized that the aquatic center will draw people from outside the city and therefore a larger Primary Service Area has been identified. The Primary Service Area includes Palm Desert, Rancho Mirage, Thousand Palms, Indian Wells, Bermuda Dunes, as well as a portion of La Quinta and Cathedral City. Primary service areas are usually defined by the distance people will travel on a regular basis (a minimum of�once a week) to utilize an aquatic facility or its�programs. Secondary service areas are usually defined by the distance people will travel on a less consistent basis (a minimum of' once a month) to utilize a facility or its programs. llse by individuals in a secondary area will primarily be limited to special events (swim meets, etc.) or visitors to the area. No specific secondary service area has been identified for this project but could include a major portion of the Coachella Valley. � Service areas can also vary in size with the types of components that are included in an aquatic facility. An aquatic center with a number of leisure amenities will have a larger primary service area than a more conventional (competitive pool) facility. � Service areas can also be based upon a facility's proximity to major thoroughfares. Other factors impacting the use as it relates to driving distance are the presence of alternative service providers in the Primary Service Area. Alternative service providers can have an impact upon membership, daily admissions and the associated penetration rates for programs and services. Visitor and Second Homes: It is conservatively estimated that there are at least 75,000 annual visitors to Palm Desert and 20,000 to 25,000 seasonal�residents. This will provide an additional market for the aquatic center beyond the Primary Service Area. ,--_ �� Bl�_�f�R��I�N�, 1'a�e 8 �� & :1 � N t 1 C I A '7' 1? �ti I, 'I' I) AQUATIC C.ENT�R CJP��ATIONS STUDIT � Cit�� of`Pcrlm Desert, C'ali ��rni�r �� • .f Table A - Service Area Statistics & Comparison Table A summarizes some of the basic demographic characteristics of the City of Palm Desert and the Primary Service Area. Po ulation Com arison�: 2000 Census 2009 Estimate 2015 Pro'ection City of Palm Desert 41,155 51,509 59,588 Po ulation Com arisonz: 2000 Censas 2009 Estimate 2014 Pro'ection Primary Service Area 99,304 140,750 164,374 Number of Households Com arison3: ' 2Q00 Census 2U09 Estimate 2014 Pro'ectian ` City of Palm Desert 19,184 21,775 23,518 Primary Service Area 45,087 62,215 �2,p�,� Number of Families Com arison4: 2000 Census 2009 Estimate 2014 Pro'ection City of Yalm Desert 11,405 12,709 13,573 Primary Service Area 28,497 39,393 45,459 Avera e Household Size Com arison5: 2000'Censas ` 2�09 Estimate 2014 Pro'ection City of Palm Desert 2.13 2.15 �� 2.16 Primary Service Area 2.19 2.25 2,27 United States 2.59 2.59 2.59 � Riverside Country 2009 Progress Report. '` U.S. Census Bureau and ESRI. ' U.S. Census Bureau and ESRI. 4 U.S. Census Bureau and ESRI. 5 U.S. Census Bureau and ESRI. �— _� I BAL1��.R1)�I�IN�� 1'a�e ) ��_ ,i & 1 S ,5 �i ��, I A 'I' I? S I, 'I� I) A�UATIC C�NT:ER O►PERATIONS STUD� Ci1ti� �a f`P�rinr Desert, C'ali o�ni�r �� • .f Map A—Primary Service Area This map indicates the boundaries of the Primary Service Area. �::r,:o��, "'�. ..:., .�...�.�,..� °�t ,�,-' � <�yF. h��s�r�ri �ity � �� "� "°�� r .�. �.� �� >k� � ;i � �� e.� � �,k I � ,,� � a, � �" �s�r�r�a�� E�;rat�t��"�"�t�W�ar�td i�dll�'C!I� ��rr'^��,�� r � � �;. 3 �� .. . . . . . .��. e� � � � � � � � � � � �� a� � � � ��''�. �' � �y � � � �� y� a.�� 4 � � � � � �� 6 � � � �9, _� �` �� rt�ha �i►�g� � �'�r��«I��ti t� � �' � � �w��t.c��:. a � ��; � a��a��w �e�r�rre�ds� t7un��,. � � � : �, Pa�im��s,�rt�� > r �,,��t..�_ � � � �� . � �r�4;t�a��zrs��` � i ��##��v� dA Eti�twY�� J�� C � � .a � �'ttt� �� lI �� t� r..�i � �4 i 1�-. �? i"��i��t"a�".«^��.�` �., ,af3 I�. `d � v� "; 1nt9I�� +V�II� '. � - �tI4. . .. . � `�� ,, �.. �� }�. .: yYz:3 $� k `��, �'�.8&` Gt` ....� filF�b6�f+'�'t1A , "a.5 E., ,...�. �� J �,�F;x.f �;. J �`"� rx „ ..�.,,,.,..,.. ....�,........., r �.��' :u ;�h � B�111f��I�N�� 1'a e 10 � �i _J �� ,� ti ; �� : i � �r r: 5 i,�•r n � AQUATIC CENTER UPFRATI4N� STUDY City o f F�xlm Deserl, C ali ornirx �� • .f Table B - Service Area Comparison Chart� In addition to the population and household characteristics, this table also compares the ethnicity, median income and household expenditures of the City of Palm Desert and the Primary Service Area. All of these characteristics have a strong influence in the rate of participation in aquatic activities. � ', Ci" a�:P�i�ia Tiesert P1I�iYn� S�rv�ce Area Po ulation: 2000 41,155 99,304 2009 51,509 140,750 2014(15) 59,588 165,374 Households: 2000 19,184 45,087 2009 ?I,775 62,215 2014 23,518 72,061 Families: 2000 1 1,405 28,497 2009 12,709 2014 39,393 13,573 45,459 Avera e Household Size: 2000 2.I 3 2.19 2009 2.15 2.25 2014 2.16 2.27 Ethnicit : His anic 22.0% 27.2% White 83.1% 80.1% B I ack 1.4% 1.4% American Indian 0.5% 0.5% Asian 3.3% 2.8% Pacific Islander 0.1% 0.1% Other 8.4% 1 1.8% Multi le 3.3% 3.3% Median A e: 2000 48.I 50.0 2009 54.1 54.7 2014 55.8 56.8 Median Income: � 2000 $48,144 $49,001 2009 $60,345 $60,398 2014 $62,708 $62,904 Household Bud et Ex enditures: Housin 29.6% 29.7% Entertainment& Recreation 4,9% 4 go/p b Sources of information are; US Census, ESRI and Riverside County 2009 Progress Report. ( �',;��k '�, �AI�I�AF�D�I�IN(�� i�� >> I .� �� t .� �ri�: 5 i. •ri� AQUATIC CENT:ER OP�RATIONS STUDY Cify t�f`Palm Desert, Cali ornir� �� ,f Recreation Activities Participation On an annual basis the National Sporting Goods Association (NSGA) conducts an in-depth study and survey of how Americans spend their leisure time. This information provides the data necessary to overlay rate of participation in swimming onto the Primary Service Area to determine market potential. Comparison With National Statistics: Utilizing information from the National Sporting Goods Association and comparing them with the demographies from the Primary Service Area, the following participation projections can be made (statistics were compared based on age, household income, regional population and national population). Table C— Swimming Participation Rates Activi A e Income Re ion Nation Avera e Swimming 18.9% 26.3% 23.7% 23.7% 23.1% Age(median): Participation based on individuals ages 7 & Up of the Primary Service Area. income: Participation based on the 2009 estimated median household income in the Primary Service Area. Region: Participation based on regional statistics(Pacifrc). National: Participation based on national statistics. Average: Average of the four columns. ��.�1� i BAIy I�.��RI)�I�IN(� , .� , � ��e iz �ti u i�, i .a �r i�; � �: �r �� AQUATIC �ENTER C}PERATIUNS STUD� C.'if�� o �Palm Desert C'ali � �� . .f , ,f r�rra Anticipated Participation Numbers by Activity: iJtilizing the average percentage from Table- C above plus the 2000 census information and census estimates for 2009 and 2014 (over age 7) the following comparisons can be made. Table D —Swimmin� Participation Rates Activi Avera � 2Q00 Part. 2009 Part. ' 2014 Part. Difference Swimming 23.1% 21,402 30,548 35,755 14,353 Note: The estimated participation numbers indicated above are for swimming as a whole and do not necessarily iranslate into expected attendance tigures at a Palm Desert aquatic center since many participants utilize other facilities for these activities and may participate in more than one activity at a time. However, these figures do indicate the total number of people participating in various activities within the Primary Service Area. Anticipated Number of Times Participating Per Year: By taking the number of annual participants from "I'able-D, times the average number of times swum per year (from 2008 NSGA standards) will equal the total number of estimatcd uses per year. Table E —Annual Number of Swimmer Days Avera e 2000 Uses 2009 Uses 2014 Uses % Chan e Swimming 40.54 867,367 1,238,415 1,449,508 +67.1% Average: The average number of times(by region, inco�ne, sex and nation)a person will swim in a year. This table indicates that there is a high number of annual "swimmer days" (a swimmer day is calculated as one individual swimming one day) from which to capture a sizable market share. 1t also must be remembered that many of these "swimmer days" are being satisfied by existing aquatic facilities. If a Palm Desert aquatic center were able to capture as few as 10'% of the 2009 participants it would translate into 123,842 swimmer days (this ineludes all types of swimming activities, not just paid admissions). Drawing users from beyond the Primary Service Area (and from visitors and second homeowners) could add additional swimmer days to the facility. � 7� j _.., .1_J<f].l 11_1L l.l..l.��l�.L��T )� � d�;e �3 I��_. I � �1 .ti S �r �: i A 'I' F: ti I, 'i' I) AQUATIC C�NTER tJPERATIONS STUDY �� City� of'Prrl�rr Dese�t, Califnrni�x Aquatic Participation Trends: Without doubt the hottest trend in aquatics is the leisure pool concept. This idea of incorporating slides, lazy rivers (or current ehannels), fountains, zero depth entry and other water features into a pool's design has proved to be extremely popular for the recreational user. The age of the conventional pool in most recreational settings has greatly diminished. Leisure pools appeal to the younger kids (who are the largest segment of the population that swims) and to families. These types of facilities are able to attract and draw larger crowds and people tend to come from a further distance and stay longer to utilize such pools. This all translates into the�potential to sell more admissions and increase revenues. It is estimated conservatively that a leisure pool can generate up to 30% more revenue than a comparable conventional pool and the cost of operation while being higher, has been offset through increased revenues. Of note is the fact that patrons seem willing to pay a higher user fee with this type of pool that is in a park like setting than a conventional ac�uatics facility. Despite the recent emphasis on reereational swimming the more traditional aspects of aquatics (including swim teams, instruction and aqua fitness) remain as a part of most outdoor a�uatic centers. "The life safety issues associated with teaching children how to swim is a critical concern in most communities and competitive swim team programs continue to be important. The family oriented outdoor aquatic center concept of delivering aguatic services continues to grow in acceptance with the idea of providing for a variety of interactive aquatics activities and programs in a park like setting that features a lot of grass, shade structures, sand play areas and natural landscapes. This idea has proven to be financially successful by centralizing pool operations for communities and through increased generation of revenues from patrons willing to pay for an aquatics experience that is new and exciting. These outdoor aquatic centers have become identitiable centers for communities and have promoted "family" recreation values. The keys to success for this rype of center revolve around the concept of intergenerational use in a quality faciliry that has an exciting and vibrant feel in a park like setting. A new concept is the spray ground, where a number of water spray features are placed in a playground setting where there is no standing water but the water is treated and recirculated much like a pool. This provides a fun, yet safe, environment where drowning is not a concern and lifeguards are not necessary. Swimming is second only to walking in popularity of sports and leisure activities, meaning that there is a significant market for ayuatic pursuits. Approximately 24% of the population in the Pacific region of the country participates in aquatic activities. This is a large segment of the population. Within the state of California, swimming is the number three most participated in sports activity behind exercise walking and exercising with equipment. I,�� AI,I�IIRD%�I�IN(� }�a�;e �� k � , � � �, �: � ,� �� ,; ,, �. �� > AQUATIC CENTER OPERATItJNS STUDY � Cif � o �P«lrrt Desert ' ' '� �� y ,f , Calrf�rnrrx Below are listed those sports activities that often take place in a community and the percentage of growth or decline that each has experienced nationally over the last 10 years (1998-2008). Table F- National Activitv Trend (in millions) S ort/Activi '199$Partici ation 2Q08 PartiCi ation Percent Chan e Skateboarding 5.8 9.8 69.0% Weight Lifting 22.8 37.5 64.5% Runnin /Jogging 22.5 35.9 59.6% Work-Out at Club 26.5 39.3 48.3% Aerobic Exercising 25.8 36.2 40.3`% Exercising w/ Equipment 46.1 63.0 36.7% � Exercise Walking 77.6 96.6 24.5% Soccer 13.2 15.5 17.4% Tennis 11.2 12.6 12.5% Swimmin 58.2 63.3 8.8% Basketball 29.4 29.7 1.0% Billiards/Pool 32.3 31.7 -1.9% Baseball 15.9 15.2 -4.4% Hockey (ice) 2.1 19 � -9.5% Volleyball 14.8 12.2 -17.6% Softball 15.6 12.8 -I 79% 1998 Participation: The number of participants per year in the activity(in millions) in the United States. 2008 Partieipation: The number of participants per year in the activity(in millions) in the United States. Percent Change: The percent change in the level of participation from 1998 to 2008. It is significant that swimming has seen a considerable increase in the rate of participation in the last ten years. Even with the growth in swimming participation, the focus of swimming has changed from an activity that was oriented around competitive aguatics with deeper and colder water to a more rccreational approach that emphasizes shallow, warm water, socialization and interactive play. Consistent use of an aquatic's facility by families and young children is dependent in large part on the leisure amenities. --- '�� BAIII�RT)�KING >. � � a�� s __i .@ :1 ;� 5 �� C I ,1 'f h; � I. '1' I) AQIIATIC CENTER OPERATIONS STUDY �� City of'Pcrlm Desert, Calif'nrniu � Outdoor Aquatie Facilities Inventory: There are a variety of outdoor aquatic facilities that currently serve the Palm Desert Primary Service area market. These vary from municipal pools to school facilities, country clubs, HOA's, private water parks, resort hotels, and backyard pools. Pub/ic Sector Providers — These facilities will be the primary "competition" for a new Palm Desert aquatic center as they have a similar market focus. It is significant that there are only three such pools in the area. They include: Palm Springs Swim Center — This is a 50 meter pool that is owned and operated by the City of Palm Springs. 1'his is the only true public competitive pool in the area but it does not have any recreational amenities. The pool is open year round, is in good conditian, and the user rates are very aYfordable. The Piranha's Swim Team utilizes the pool for practices and meets. T'he City has been discussing possible closure of the swim center due to the economic situation within the City. However, it does not appear that the pool will be closed. ��+A�f �s.34 � �� .�#�Ud..'�e� �Sv�#'�.. Pawley Aquatic Complex — Located just outside of the Primary Service Area in Indio, this small facility features a 6 lane pool with two drop slides at one end, a wading pool, and a small spray pad. It is owned and operated by the Desert Recreation District. The complex is generally a seasonal facility but is used year round by the Desert Terrapins Aquatie Club for practices. The complex is older but has been renovated. The rates are very affordable. _� �< �` • ��'�� . 'a�� li v�i �i <�j p�� ro,r,�, �',� p �. • 'ri �;t � �� ''. �'�� s .a.� "g� . -�. � x- �:'ul}� �,', � ��i �,� '�; ��r .M,� �+a� ,� !i ;� ��j�'� ' i9 , � ,�� + a �.. ..� ry ��1� �I `BAI�I�ARD�I�IN(:, Pa�e 16 AQUATIC C:ENT:ER CJPE:RATIONS STUDY Cit � o `P .lnm D s �� y f a e ert, Calcfornc�x Fritz Burns Community Pool— This is a six lane pool that is a seasonally operated facility that is owned by the City of La Quinta but operated by the YMCA. It is a small pool that has no recreational amenities. � It should also be noted that Rancho Mirage will soon have a public pool as well. ��W� „ n, ,,,,� � � w� �. �. �- I �: 4 �.� ,;�.' d d� v�� j��^N�r �1��f , A t�°° I k r �A� 1 �F , �`^i � I��' '+�� r �� . . a k ��l'i�+.��'a�\''�.�``c"w v^�:^;�h. School Pools— Four high schools in the immediate area have competitive pools but these are not generally utilized by outside groups due to the high cost of rentals. There is also no open public use. The local high school pools include Palm Desert High School, La Quinta, Palm Springs, and Desert Mirage. Private Sector Providers—The other major provider of aquatic facilities is the private sector and there is a wide range of pools in the Coachella Valley. With limited access and facilities that focus on residents of a development or visitors to the area, these are not aguatic centers that will be direct competition for a Palm Desert aquatic center. The private pools can be put into five basic categories. � Home Owners Associations — These tend to be smaller and more conventional pools that are designed to serve a very specific housing area or development. As a result they have a very different market appeal that a public center. � Country Clubs — These are pools that have bcen developed to support members of private clubs and their guests. Most of these pools are also traditional rectangular pools with limited appeal to the recreational swimmer. � Resort Hotels — There are a variety of resort hotels in the Coachella Valley and all of them have some type of outdoor pool. Many are smaller conventional pools but several larger and more sophisticated aquatic facilities are also present that have a strong appea] to the recreational � �. ��1�1� , �AI�L,ARD�I�TN(� ��a�e t� __ �, � 1 F .5 u t�� I �i 'f h: S 1. 'I' I) AQUATIC �:ENTER CJPERATI(JNS �TUDY �� City of Pulrr� Desert, C,'alif'orrti�r swimmer and more specifically visitors to the area. These pools are only available to hotel guests. Water Parl�s — "There is one major water park in the area. Soak City is located in Palm Springs and is a large facility that caters to the recreational swimmer with slides, lazy rivers, wave pool, and other recreational amenities. Such facilitics have very expensive user fees and most individuals only visit this type of facility a handful of times during a season. This facility serves both locals and visitors to the Coachella Valley. This facility also has a very different market focus than a public aguatic center. �_, �iV ,� lil , �Yt, t � � �hU � �� s � x R*�' �� w i "�'n i�M c�ti r a ,�`��'z�t�� r�ml i�fi a� §S v � sbi^�`�. r ^ a v Ct � �h.w..:r , 'rk«�� .�.',�� .s. , .. .`�� ..,.u��k��.rc Backyard Pools— Many residents of the area have pools in their back yards but the vast majority of these are small, with very limited uses and amenities. Market Opportunities - Based on the other aquatic facilities located in the Coachella Valley, the following are market opportunities for a Palm Desert aquatic center. • None of the current public pools have a strong recreational orientation. This leaves an ideal market position for a new aquatic center in Palm Desert. � There is only one true public competitive pool (Palm Springs Swim Center) in the Coachella Valley. Swim teams have indicated an interest in additional pool time to support their needs. However, the local high school pools are not being well used by outside groups. • The homeowner association pools as well as the country club facilities serve very different markets and needs. To draw these users, a Palm Desert aquatic center will need to focus on amenities that are not available with these facilities. This is likely to include large lap pools that can handle a significant number of' swimmers as well as competitive teams and a recreational pool with a zero depth entry, slide and interactive � � !��l� `BAI��I-�D�I�IN(:' Pa�;e 18 A(;�11�1TIC CENTER CJPERATIONS �TUDY C'it � o �Aalm Desc�rt Cali nrn'c �� .y .f � f r r play features. In addition offering a full complement of aquatic programs and services will be essential. � A Palm Desert aquatic center will need to market itself as being a viable alternative to the private water parks, that is less hectic, focuses on families, aguatic programming and is much more affordable. • Marketing the aquatic center to the large number of visitors to the area as well as the second homeowner will increase the use and potential revenue for the facility. Market Constraints — In addition to the market opportunities, it is also important to analyze possible market constraints. These include. • There are a significant number of conventional pools in the area, many of which have the capability of being used for competitive swimming and other events. • Residents of the Palm Desert area have easy access to a variety of different aquatic facilities from back yard pools, to high school facilities and HOA pools. • Many of the existing pools are available for little to no fee (backyard and HOA pools). • Summer weather can be too hot 1or people to even use a pool during afternoon times especially. • While much of the focus of the planned Palm Desert Aquatic Center will be on serving the needs of the competitive swim community and other more traditional pool programs, attracting the recreational swimmer to the center on a consistent basis will be paramount to generating strong use and revenue. However, the 50 meter pool is considerably larger in size than the recreational elements of the facility which will somewhat limit the number of recreational swimmers that can be accommodated. Even with the presence of a number of existing pools there is still a market for a significant, publically owned, aquatic center in Palm Desert. 'I�o be financially viable a Palm Desert aquatic center will need to have a focus not only on traditional aquatic activities (lap swimming, competitive swimming, lessons and fitness) but also on recreational swimming (slides, interactive play features, and shallow water). There will also need to be a high level of aquatic � programming offered as well. As has been noted earlier, there are estimated to be 1,238,415 swimmer days in the Primary Service Area and if the new aquatic center were able to attract as few as 10% of these available � swimmer days (a very conservative figure) this would convert to 123,842 swimmer days (this � _ _. ��j� �►'A_I,I�ARD�I�INC�� a�e �� _ l � :� 4 ,� �� . � , �� ; �, �. �� AQLIATIC CENTER UPERATI(JNS STUDY Cit � o 'Pfrlm Desert �� y ,f , CaCcfornia includes all types of swimming activities, not just paid admissions). This is a strong number of swimmer days that would also be augmented by Iurther participation from outside the Primary � Service Area as well as from visitors and second homeowners. � . '�.jl� ' ��'�IlI�f�IiD�l�INC, Page 20 � v � ; s �� ci a 'ri�: 5 t, �ri� AQUAT:IC CENT:ER (JPERATIONS STUDY �'it � n 'Palnt Desert ' '� �� ,� ,f y Cpll f l/"/'J lt! Section III — Benchmark Facilities In order to better understand not only the market f�or a new aquatic center in Palm Desert but also the characteristics that make for a successful outdoor swimmin� center, a benchmark study of five aquatic centers in southern California has been undertaken. These five facilities were chosen with input from City of Palm Desert staff and represent two key existing facilities in the Coachella Valley, as well as three that are well outside of the market area. The five benchmark aquatic facilities are: • Palm Springs Swim Center • Pawley Aquatic Complex � • Valley-Wide Aquatic Center � Fontana Park Aquatic Center • The Wave Waterpark In an effort to have a broad spectrum of facilities to benchmark, two facilities (Palm Springs Swim Center and Pawley Aquatic Complex) are smaller in magnitude than what Palm Desert is planning while the Valley-Wide Aquatic Center is reasonably close in overall size and the Fontana Park Aquatic Center is a bigger facility and the Wave Waterpark is well out of the range of what is currently being considered by the city. �� BALLARD�KIN(� >� .� � d�,� �� I & �1 �+ ,y iz c i a 'r i�: n i. 'r u AQUATIC CENTER C�PF RATI4NS STUDY Cit � o 'Pt�lm D s r. �� ,y .f e e 1, Calcfornc�x Palm S�rings Swim Center Owner/Operator: City of Palm Springs Contact: Athena Huss & Vicki Oltean Adc�ress: 405 S. Pavilion Way, Palm Springs, CA 92262 Website: http://www.p�lms�rin�;s-c�.�;ov/index.aspx?pa�e=786 Phone Number: � (760) 323-8278 E-Mail(s): �lthena.huss(d�palmsprin�s-ca.gov, Vicki.oltean(a�palinsprin rs-ca�ov Season/Hoa�rs of Operation: Year round operation Adult Lap Swim Mon-Fri; 5:30-8:30A, 11:OOA-6:30P Sat & Sun; 7:OOA-3:OOP Recreational Swim Periods Mon-Fri; 11:OOA-S:OOP Sat-Sun; 11 :00A-3:OOP Facilrty Description: Number of pools; 1, SOM x 25Y pool, heated Amenities; loeker rooms, diving boards Concession; yes and self-operated � User F'ees: Daily; $3.50/adult, $2.50/child Punch Card; $49 for 25 visits Rentals; $43/hr plus $1.00/adult 13 & Up, $.50/child 4-12 Attendanc�'Use Numher.s: Seasonally Annually Operatinrr.s I3udget.• � Expenditures; 2008-2009 Actual - $181,072 Note: This only includes 1 full time professional staff inember, 2 full time lifeguards and a heating cost estimate. It does raot include purt time lifeguards or additioncrl operating expenses. Thus, il is safe to assume this number is significantly greater. Staffing plan and wages; Aquatic Supervisor (1) - $64,160 Full Time I,ifeguards (2) - $104,912 - —, �� i BA�I>�I�INC;� � ��a�e 2z �C 1 .� 1 ys �� c i a 'rr: s i. 'rn � AQIJATIC �ENTER OPERATIONS STUDY Cit n 'Pcrlm Desert Ca/i or ' �� .1' .f � .f nctr Revenues; 2008-2009 Actual - $91,847 Programs and Services Offered: Lap Swim, Family Swim, Aquatic Exercise Program, Swim Classes (contracted), Over- Night Camping, Adult Fitness Swim �I � - Y , �if�l,l��i_T)�I�N�r Pa�e 23 '��.. .I .G \ � n r) i: 1 1 't' I? ,5 I. 'I' i) AQI.IATIC CENTER UPERATIONS STUDY CitY �f'Palm Desert Cali ornia �� • � .f Pawley Aquatic Complex Uwner/Operalor: Desert Recreation District C'o�rtact: Peter MeVey, Aquatics Coordinator Adc�ress: 46350 Jackson St., Indio, CA 92201 Website: http://www.desertrecreationdistrict ca gov/facilitie5/poc�ls htm Phone Number: (760) 775-1945 � E-mail: peter%�r),desertrecreationdistrict ca �ov Season/Hours of Operation: Lap Pool, Year round operation Adult Lap Swim; Mon, Wed, Fri 5:45A-7:30A Tue, Thu 7:30-8:30A Sat 9:00-11:OOA Open Swim (seasonal); April 3-1 1 (Spring Break) Noon-3:30P April 17-June 5 Noon-3:30P Facility Descri�tion: Number of pools; 1, 6 lane 25Y lap pool (heated); l, 50' x 40' instructional pool (not heated), splash pad w/various water features (not heated) Amenities; locker rooms, 2 water slides Concession; yes, self-operated Bather load; 325-350 per day U.ser Fees: Open Swim; $4.00/adult, $3.00/child, seasonal pass $25.00/person Lap Swim; $3.00/adult, $50 for 25 visits, $75 for 50 visits, $100 for 100 visits Pool Parties; Small Party, 1-10 Kids, $35/hr + $4/child Medium Party, 11-17 Kids, $45/hr + 3/child Large Party, 18-25 Kids (MAX), $55/hr+$2/child Pool Rentals; 2 Hour Minimum for All; 1-40 People $80/hr, 41-60 People $90/hr, 61-80 People $100/hr, 81-100 People $110/hr, 101 & Over $125/hr Operations 13udget: (expenses take into account a portion of full time salary which is spread throughout all facilities) Expenses; FY 08/09 Actual $283,252.40 FY 09/10 Projected $353,442.00 � , i�.�1�__' �'A.I1I IARD�I�ING I'age 24 �_ � v � �; s �r c i .� �r i�; ; r, �r i� AQUATIC CENTER OPFRATIQNS STUD1� City� �� 'Pnln� Des�rt Ca/i or ' �� . .f � .f n[�r Revenues: FY 08/09 Actual $107,632.00 FY 09/10 Projected $125,532.00 Cashier; $10.23-11.84/hr Lifeguard; $10.25-12.05/hr Instructor; $12.25-13.25/hr Pool Manager;$12.10-15.50/hr Programs and Services Off'ered: Lap Swimming, Private Swim Lessons, Swim School, Recreational Swimming, Pool Rentals, Basic Water Rescue, Lifeguard "l�raining, Adult Swim Lessons I��I Bil�l�ll-�.D�I�Ntr 1'a e 2� 1Z � .�, A � s u �: � ,� �r r: s r, �r n � AQUATIC CENTER OPFRATI41`JS STUDY Cif�� f Pcrint Desert C'ali ornicr �� • � .f Valley-Wide Aquatic Center � � (hvner/Operator: � Valley Wide Recreation & Park District Contact: Missy Galloway Address: 1810 Anglers Avenue, Hemet, CA 9254�4 Website: http://www.valleywiderecrcation arg/�qtiatic%�OCenter html Phone Numher: (951) 929-0047 .Season/Hours of Operation: Seasonal Operation Month of May, weekends only 11:OOA-Noon Lap Swim Noon-S:OOP Open Swim June 15`h through end of season, 7 days a week 12:30P-4:30P Open Swim Pre-Noon Swim Lessons & Other Programming Post-S:OOP Swim Lessons & Other Programming Faciliry Description: � Number of pools; 1, 25Y heated pool, Amenities; zero depth entry, water fountain sprayers Concession; yes and self-operated � Bather Load; 376 User Fees: Daily; $7.00/Adult (ages 3-55), $6.00/Seniors, $2.00/Kids (under 2) I.ap Swim; $2.00/Person Operations Budget: Expenditures; 08/09 Actual - $398,463.79 09-Present - $297,528 Staffing plan and wages; Lifeguards - $8.50/hr � WSI Ccrtitication - $10.00/hr Pool Manager - $l 2-$17.00/hr Revenues; � 08/09 Actual - $308,017.08 � 09-Present - $211,147.87 ��. � BALI�IiD�11IN(T ��a�e 26 1� _I �c 1s ��; n �� r a �ri�: s i, �ri� AQUATI:C CENTE�2 C1P'ERATI(JNS �TUDY Ci1y o f`Pal�n Desert, Cali ornia �� • .f Programs and Services Offered.• Group Swim Lessons, Private Swim Lessons, Junior Lifeguard Program, Come Swim w/ Me (8 & Under), Little Swimmers, Movie Night at the Aquatic Center, Water Polo, Family Fun Night/Ice Cream Social, 4`�' of July Yarty, I,abor Day Party h ,-- —� '� �'►AIII�RD�I�TNG Pa�e 27 �� l� � � :� � � „ ,� � a �� AQUATIC C:ENTER t�PERATIO►NS STUDY C.'ity of'P�lm Deserf Cali or�nia �� • � .f Fontana Park Aquatic Center Chvner/Operator: City of Fontana Conlac�: Megan Wolfe, Aquatics Coordinator Address: 15610 Summit Ave., Fontana, CA 92336 Websi�e: http://www.fontana or�/main/parks rec/aquatics/aquatics index htm Phone Number: (909) 854-5106 E-mail; mwolfe(cr�f�ontana.or� Year Opened: 2008 .S'eason/tlours of(�peralion: Year round Weekend recreational swim hours (fall, wintcr, spring); Noon-S:OOP I,ap swimming & water walking (fall, winter, spring); Mon-Fri 5:30-7:30A, l 1 :OOA- 1:30P, 7:00-9;OOP, Sat 8:00-10:00A Faciliry Description: Number of pools; l, 141ane competition pool; 1, instructional pool; 1 water slide catch pool (all heated) Amenities; locker rooms, water slides, zero depth play area, picnic pavilion Concession; none in the aquatics center, but within the park there are concessions which may be operated by groups who are renting the park for various activities. Bather Load; 525 per day , U.ser Fees: � Daily Admission for Recreational Swimming; With Slides; $7.00/Adult, $5.00/Child 48" tall Without Slides; $5.00/Adult, $3.00/child Lap Swim & Water Walk; $2.50/person Pavilion Party Package; $250 Rentals; 1-99 People $175/hr, 100-199 People $250/hr, 200-299 People $375/hr, 300-399 People $450/hr Attendance/Ll,se Numbers: Yearly Attendance; Slide Aecess (Adults) —2,451 No Slide Access (Adults)— 12,118 I �) ' ��I_�r'��T)�I�N�:, 1'age 28 �� _ ,I � 1 ,5 � l� i�, ( 1 'I' I? � I, 'f I) AQUATIC CENT:ER OPERATIONS STUDY Ci1ti� of'P�rlm Desert Ca/� ornia �� .f Slide Access (Kids)— 13,733 No Slide Access (Kids)-- 14,076 Slide Upgrade— 515 Lap Swim—2,057 Senior Lap Swim — 848 (�perations Btrdget: � Expenditures (Fontana Park Aquatic Center only); 2009/2010 Projected: $561,500 Staffing plan Lifeguards $9.67-11.75/hr Lifeguard Instructor $11.12-13.51/hr Assistant Pool Manager $12.47-I5.15/hr Pool Manager $13.84-16.83/hr Revenues (total for all 3 aquatic facilities in }�ontana); 2007/2008 Actual: $186,751 2008/2009 Current: $217,200 2009/2010 Projected: $407,600 Programs and Services Offered.• Group Swim Lessons, Private Swim I,essons, Semi-Private Swim Lessons, Swim Clinic, Lifeguard Training Course, Lifeguard Training Instructor Course, Water Safety Instructor, CPR for the Professional Rescuer, Adult/Child/Infant CPR/First Aid 7'raining, SCUBA Certif cation, Safety Training for Swim Coaches, Babysitter Training � � ,�'I BA[�I�R.D�I�NG I'age 29 �� I c@ A S 5 U �: I -� '(' I{ 5 I� 'I' I) AQUATI� CENT�R OPERATI(JNS STUDY � C'ily� c�f'P��lm Desert C�rli ornic �� • � .f � The Wave Waterpark Owner/Operator: City of Vista Contact: Angela Palasik Position: Admissions & Marketing Manager Address: 101 Wave Drive, Vista, CA 92083 Website: wave-waterpark(a)cityofvista com Phone Number: (970) 940-WAVE� E-Mail: apalasik(a�citvofvista com Year Opened.• 1994 Season/Hours of�Operation: Seasonal operation May — Weekends Only, Sat-Sun Noon-4:OOP & 11:OOA-S:OOP June — Weekdays 10:00A-4:OOP, Weekends 11:OOA-S:OOP July— Weekdays 10:00A-4:OOP, Weekends 11:OOA-S:OOP August— Weekdays 10:00A-4:OOP, Weekends 11:OOA-S:OOP September— Weekends Only, Sat-Sun Noon-4:OOP & 11:OOA-S:OOP Faciliry Descriplion: Number of pools; competition lap pool (heated), flowrider (not heated), lazy river around flowrider (not heated), 4 water slides & catch pool (not heated), kids play area (not heated) Amenities; locker rooms, cabana, offices, changing areas, Backyard Grill Concession; yes, self-operated . Bather load; 1,500 U.ser Fees: Ueneral Admission; $16.95 42" and Taller, $12.95 Under 42" Tall, $11.95 Seniors (60+�), $10.95 Happy Hour, $12.95 Spectator Admission, Under 3 Free Lap Swim; $3.00/day, $60 Punch Card for 30 Visits Season Pass; $74.95 Individual Pass, $69.95 Family Season Pass (4 or more) Private Rentals; $1,200/hr, full park up to 500 $1,500/hr, full park 501-750 $1,700/hr, full park 751+ $300/hr, flowrider $450/hr, flowrider, river, riptide slide �_- -� � _ . ��j� BA:[.IIARD�KIN(:, 1�a�;e 30 1 � A .55 �, ��, � .� �rr: ,5 i, �ri� AQUATIC CENTER OPERATIONS STUDY Crtti� of'P�xlnt Dese�t, C.ali ��rni�� • .f $450/hr, slide tower, picnic area $150/hr, competition pool $200/hr, rainforest rental, dry $300/hr, rainforest rental, wet Attendancei ll.se Numbers: � Annually; Approximately 100,000 Operations Budget: The City of Vista subsidizes anywhere between $300,000-$500,000 on an annual basis. F,xpenditures; FY 09 Actual $1,600,000.00 Staffing wages; $8.00/hr for entry level positions (lifeguards, cabana crew, guest services) $9.00-$12.00/hr for head lifeguard and managers Revenues FY 09 Actual $1,200,000.00 Programs a�zd Services Offered.• CPR Classes, Aqua Aerobics, Aqua Camps, Swim Lessons, Junior Lifeguard, Aqua Camps, Counselors In Training, Girl Scout Badge Training ;�� - 1 ; ; �f��.�r�:r�_n�I�rNc, Pa�e 31 �, _�� _'i h 1 5 ti ir �; � .1 �r 1�: .5 �. �r r� AQUATIC CENTER t)FERAT:ION� �TLJDY Cfty of`Prclnr Dc�se�t, Ca/i ornia �� • .f Benchmark Facilities Fee Matrix: Palm Springs Swim Pawley Paol Walley-Wide Aquatic Fontana Park Aquatic The Wave Waterpark Center Center ' Center Daily Admission Daily Admission Daily Admission Daily Admission Daily Admission $3.50/Adult $3.00 $7.00/Age 3-55 With Slides (child must $16.95,42"& $2.50/Child � $6.00/Age 55+ be 48"tal!) Taller $2.00/Under 2 $7.00/Adult $12.95, Under 42" $5.00/Child $1 1.95, Seniors 55+ Without Slides $10.95, Happy $5.00/Adult Hour $3.00/Adult $1?.95, Spectator Lap Swim & Water Free, Under 3 Walk $3.00/day Lap � $2.50/person Swim Aquatic Pass $35/month Punch Card Lap Swim Pass Lap Swim Lap Swim Pass $49/25 Visits $49, 9/8-12/22 $2.00/person $60 for 30 Punches $79, 9/8-3/31 Season Passes $89, 9/8-6/11 $74.95, Individual Pass $69.95, Family Pass (4 or rnoreJ Pool Rental Pool Rental,2 Hour Pool Rental Private Rentals Full $43/hr—Plus Min. $175/hr, 1-99 part. Park $1.00/Adult, 13+ $105/hr, 1-40 part. $250/hr, 100-199 $I 200/hr, up to 500 $.50/Child,4-I 2 $1 15/hr,41-60 part. part. $1500/hr, 501-750 $125/hr, 61-80 part. $375/hr, 200-299 $1700/hr, 75 I + $135/hr, 81-100 part. Flowrider part. $450/hr, 300-399 $300/hr $125/hr, 101+part. part. Flowrider, Slides, River $450/hr Slide Tower& Picnic Area $450/hr Competition Pool $150/hr � Rainforest Rental � $200/hr, Dry _,__ � $300/hr, Wet ,k��' I�A_I1LARl)�I�N(� ��a�;E �2 I__�� . ,� � �1 F .S u C i .1 'I' k: �`� I, 9' D AQIIATIC CENTER (JPERATION� STUDY City' o f P��rlryt Desert, Culi ornru �� • .f Benchmark Facilities Expense/Revenue Matrix: Palm Springs Swim Pawley Pool Valley-Wide Aquatic Fontana Park Aquatic The Wave Waterpark Center' Center Centere Ex enditures Ex enditures Ex enditures Ex enditures F,x enditures 08-09 Actual - 08-09 Actual - 0-08 Actual -$;98,464 09-10 Projected - 09 Actual -$1,600,000 $l 81,027 $283,242 $561,500 09-10 Project. - 08-Present- $297,528 -- $353,442 Revenues Revenues Revenues Revenues Revenues 08-09 Actual - $91,847 08-09 Actual - 07-08 Actual - 09-10 Projected - 09 Actual $1,200,000 $107,632 $308,017 $407,600 09-10 Project. - 08-Present- $21 I,I 48 _ $125,532 ' Expenses are not complete, but based upon the best information provided by the City of Palm Springs. � Revenue ProjecCions arc for all 3 City facilities and F,xpense Projections are for the Fontana Park Aquatic Facility on ly. �� A_I..I�RD�I�INC� ��a e 33 I 1�__l � � 5s �> �: � � r �: �; i, �ri� � AQUATIC C:ENTER t)PFRATI4N� 5►TUDY t�ity ��f'Pcr.lnz Desert, C"alr,' orni�r � �� .f Section IV— Operations Analvsis The following operations analysis has been completed put together for the planned aquatic center. The following are the parameters for the project. • 2011 will be the first year of operation. This budget represents the first full year of operation. � The center will be operated and maintained by an outside agency. The operations plan has been developed with this concept in mind but with no one specific operating agency in mind. � This will be a facility that is utilized by both residents of Palm Desert and non-residents. • 'I'he ac�uatic center will operate year round but on a more limited basis from November to March. • Swim lessons, aqua exercise programs and other water based activities will be offered at the facility. � Concessions will be provided during the summer months, weekends during the spring and fall, and for large swim meets. � College of the Desert will be a primary user of the center on a daily basis during the school term. Rental revenue from their use has been shown. • All users of the pool will be paying market rates for use. • This operations estimate is based on the design concepts developed by Arch-Pac � Aquatics and Gould Evans Architects. • The facility will be located in Civic Genter Park. • A conservative approach to estimating use and revenues for the facility has been used for this pro-f-orma. • Preliminary operational discussions were held with both the YMCA and the Desert Recreation District regarding expected budget requirements for the center. � '1:.�` 'i �i'AIII�IiD�I�INC� i�a Je 3� , �� h �� ,s u �� i .� �r H: �; i. �r i� �" AQLJATIC CENTER OFFRATIONS STUDY Cit y ��f'f'�xlm Desert C a/i ornia �� . � .f Operating Expenditures Expenditures have been formulated based on the costs that are normally included in the operating budget for such a facility. The figures are based on the size of the center, the specific components of the facility and the projected hours of operation. �Actual costs were utilized wherever possible and estimates for other expenses were based on similar facilities in other areas of the country. All expenses were calculated as accurately as possible but the actual costs may be more or less based on the final design, operational philosophy, and prog�ramming considerations adopted by staff. Aquatic Center— An outdoor aquatic center with a 50 meter pool with two 1 meter and two 3 meter boards, recreational pool with two slides, zero depth entry, interactive play feature and four lap lanes; concessions area, bath house, office area and other support spaces. Operation Cost Model: PersonneT A uatic Center Full-�f'ime $l 56,000 � ----- Part-1�ime--- -- ----$533,137 _ TOTAL $689,137 Commodities A uatic Center Office Supplies (forms, aper) $2,000 Chemicals ( ool) $90,000 Maint./Repair/Mat. $20,000 Janitor Supplies $20,000 Rea Supplies (program) $2,000 Uniforms $5,000 Printing/Postage $10,000 Food (concessions) $25,000 — ---- -- - __ .----- ------ Kesale Items $5,000 � ___._ -- Other $3,000 TOTAL $182,000 ,r � ' BAI1[�RD�Ki:N(� ��a�;e :�s �I�� _i v� �1 s 5 u r, � � �i' i t ti �, �r �� AQUATIC C�NT:�;R UPERATION� STLIDY C'ity of'P�xlm De,ser-t Cali ornra �� .� Contractual A uatic Center _ Utilities (gas & electric) $150 000 _—____ , _ ater/Sewer $10,000 Insurance (Prop. & Liab.) $40,000 Communications (phone) $5,000 � Contract Services $100,000 Rental Equipment $1 000 , Advertising $10,000 T'raining $4,000 Conference $500 Membership/Dues/Subscriptions $500 'I'rash Pickup N�� Bank Charges $5,000 Management Fee (5%/expenses) $60,707 _ Other _ $2,000 TOTAL -- ------$388,7�7 -- Ca ital � A uatic Center � Replacement Fund $15,000 TOTAL $15,000 Summa All Cate ories A uatic Center Personnel $689,137 Commodities $182,000 � _� Contractual $388,707 --- — ---- _-_Capital __ —-- $15,000 -- --._ _—__ — — - GRAND TOTAL $1,274,844 Note: Line items not included in this budget are any vehicle costs. � It should be noted that at the time of this report utility rates were very volatile and could result in a higher energy rate far the aquatic center once it opens. 10 Contract services covers daily custodial, and maintenance contracts. �� This is yearly capital funding for equipment replacement and other similar items. This funding will not cover major capital improvements. I�-— — � � .�'►AIIL�RD%�I�ING I'a�;e 36 � �� __1 �v ,15 .5ii ��, � -� T' 1�: s �, 'r �� AQUATIC C:ENTER OPERATIC)NS STUDY Crty o �Palm Desert Ca/i ornia �� . .� � .f Graphic Representation of Total Expenses: Total Expense - $1,274,844 $15,000 �388,'�D'� ,. ;,,�r �' $182,000 �Personnel +�Commodities ��Contractual �Capital � i��k � B��,f�F`t.��I�N�:, I'a�e 37 �_ _l �w 15suc [ a 'rt? s i, 'ri� A�UATIC CENTER OPERATI(JNS �TUDY C�ty o `P�lni Desert Cali o �� . ,f , .f rnccr Staffing Levels: Full-Time Positions Positions Total Aquatic Center Manager 1 $70 000 Aquatic Center Asst. Manager _ 1 $50,000 --- —__—_---- ew Salaries $120,000 �3enefits (30%) _ $36,000 TOTAL __ 2 F.T.F.. �156,000 — B1�T�l�f��I�N�.� I'a�e 38 �� V A 5 S U l: t � 't' E 5 1. 'I' I) AQUATIC CENTER OPERATIONS STUD� City o 'Palnt Desert Cali orni �� . f � .f a Part-Time Positions Hours Weeks Head Lifeguard $15.00 Winter 72.5 16 Spring/Fall � 72,5 22 Summer 72.5 14 Lifeguard $12.50 � Winter 320 16 Spring/Fall 415.5 22 Summer 680.5 14 ____------ -- - Cashier $10.00 Winter 87.5 16 Spring/Fall � 93.5 22 Summer 138.5 14 Custodian/Grounds $12.00 Winter 6 16 --- Sprin �� Fal l----- ---- 9 --- 22 Summer 14 14 — ------- — _------- - Concession Supervisor $14.00 � Winter 0 16 Spring/Fall 14 22 Summer 59 14 Concession Cashier $10.00 W inter 0 16 Spring/Fall 28 22 Summer 118 14 Program Instructors � _ Aquatics Variable Variable $32,3�74 Salaries - - - ------- $484,670 Benefits (10%) $48,467 TOTAL $533,137 � " Program instructors are paid at several different pay rates and some are also paid per class or in other ways. This makes an hourly breakdown difficult. Aquatic programs consist of learn to swim, fitness, CPR, birthday parties,and other activities. ,-- - ,I '�}l�. ' �f��_�f�..�i��t�I�N�, 1'age 39 �� w :1 s �, u c i .� �r It �� i. 'r r, AQUATIC CENT:ER OPERATIONS STUDY Cit � o 'Palnz Desert �� ti f , Ca/tfornt�r Note: Pay rates were determined based on comparable wage scales in the Palm Desert area. The positions listed are necessary to ensure proper staffing for the center's operation as well as provide for basic programming for the facility. The wage seales for the part-time staff positions reflect an anticipated wage for 20ll. ,i , B►A[II�RD�I�iN(� Page -�0 ��)��• , w :1 5 �; i r r: I ,1 'f I�; ,�+ I. 'i' ii AQIJATIC C:ENTE:R OPERATIfJNS STUDY �Crty� o 'Pc�ln� Desert (uli or �' �� . ,� � .f nrtr Revenues 'I'he following revenue projections were formulated from information on the specifics of the project and the demographics of the service area as well as comparing them to local statistics, other similar facilities and the competition for aquatic services in the area. Actual figures will vary based on the size and make-up of the components selected during final design, market stratification, philosophy of operation, fees and charges policy, and priorities of use. Revenue Projection Model: Fees � � � � � A uatic Center Daily Admissions $126,559 25 Admissions $48,375 3 Month Passes $80,933 Corporate/Group $20,000 Rentals $69,500 COD Rental $47,880 TOTAL $393,247 " Pigures are based on an active program to promote the sale of 3 month passes. �� Rentals Rec. Pool— $150/hr x 1 Shrs=$2,250 $175/hr x 1Ohrs=$1,750 $200/hr x Shrs=$1,000 Splash Pool— $75/hr x 20hrs=$1,500 Therapy— $75/hr x 50hrs=$3,750 Compt. Fool— Club— 8 lanes x$6/lane x I Shrs/wk x 36wks= $25,920 8 lanes x $10 x l Shrs/wk x I 2wks $14,400 Club swim meets$100 x 6hrs x 6meets= $3,600 Other organizations(masters, diving, etc.)4 lanes x $6/lane x 6hrs/wk x 36 wks�—$5,I 84 Regional meets 3 meets x $1,000/Day x 3 Days �—$9,000 Non-resident fees= $1,000 �s COD Rental—7hrs/day x Sdays/wk x 38wks/yr x$61ane/hr x 6 lanes=$47,880 i — , � ��I��f��_��I�N�, Pa ge �1 �� _ & A 5 5 Il (: I A T L: S I. 'I' I) AQU,�TIC CENTEFl C)P'ERATION� STUDI' Cit o 'P�rl�rr Desert. Cali o �� .Y f , f rnccr Pro rams A uatic Center Aquatics � $115 650 , Contract $1,000 TOTAL $116,650 Other A uatic Center Resale Items (150% of cost) $7,500 Umbrella Rentals $31,600 Special Events $3,000 Concessions $75,000 Vending $5,000 TOTAL $122,100 Revenue Summa � All Catc ories A uatic Center Fees $393,247 — — __--- — ------ ------____--------- Programs $116,650 Other -- - --- $122,1-00----- -- GRANll TOTAL $631,997 16 Figures are based on assessing fees that are listed later in the report. � � %�1 BAI�I�RD�KIN(� >, } d�� -tZ !_ 'k l �c n �; � �� , i :� �r i�: ,, t. 'r iy A(,�UATIC CENTER OPET2ATI{JNS STUD1' C'r`t Y o 'Pcrlm Desert ' ' �� y ,f , Caltf��rnr�r Graphic Representation of Total Revenue: Total Revenue - $631,997 $�22,�00_ �� 3; � � 1 16 650 `� $ , �;� �'F° �., �Fees �Pro rams '��+Other �-- —1 . I�:jli i� �►,�LI�ARI)�KIN(, ��a�e -�3 _1 � 1 ti 5 IJ t: I ,1 'P h', S L 'I' I) AQUATIC CENT:ER (�PERATIONS STUDY C'it � o "Palnr Desert Cali ornia �� .ti J � .f Expenditure - Revenue Comparison � Cate o A uatic Center Ex enditures $1,274,844 Revenues $631,997 Difference (6�2,8�7} Recovery % 50% It should be noted that the financial performance of an outdoor aquatic center is directly related to the weather. This operations pro-forma was completed based on the best information available, a preliminary concept plan, and a basic understanding of the project. As a result there is no guarantee that the expense and revenue projections outlined above will be met as there are many variables that affect such estimates that either cannot be accurately measured or are not consistent in their influence on the budgetary process. Future Years: Expenditure - Revenue Comparison: Expenses for the first year of operation of the pool should be slightly lower than projected with the facilities being under warranty and new. Revenue growth in the tirst three years is attributed to increased market penetration and in the remaining years to continued population growth. ln most aquatic facilities the first three years show tremendous growth from increasing the market share of patrons who use such facilities, but at the end of this time period revenuc growth begins to flatten out. Additional revenue growth is then spurred through increases in the population within the market area, a specific marketing plan to develop alternative markets, the addition of new amenities or by increasing user fees. Exponential Percent Increase from Year to Year: Cate o Year 1` Year 2 Year 3 `Year 4 Year S Expenditures 0% 1% 3% 3% 3% Revenues 0% 7% 7% 5% 3% ,�-- —� '�� B►ALI.,ARD�KING 1'age -�4 � ��` .4 � �; ;; �� i a �r F: ,s i. �r r� AQUATIC C:ENTER (JPERATIONS STUDI� Cit � o �Pcrlm D�. � �� y f c,�cr�t, Calcfornccr 5 Year Comparison Cate o Year i Year 2 Year 3 Year 4 Year 5 Expenditures $1,274,844 $1,287,592 $1,326,220 $1,366,007 $1,406,987 Revenues $631,997 $676,237 $723,573 $759,752 $797,740 Difference (`�fi�?.$47) (.`�fill.;�:�} {�,(�t)?,(i-�7) {�;60b.�>�) (.�609.?�7) Recovery % 50% 53% 55% 56% 57% Revenue/Expense Comparison Chart $I,500,000 _. _�_. . ..... � � � IwRevenues� $1,000,000 �. _�:..a.w� �. �. __.n_._.'�� ._._..._. . ._��. v $500,000 _ _.._ . _. _ . _._ _.. _._ __ .___ ■t�,xpensc� $0 0 _ __ Year 1 Year 2 Year 3 Year 4 Year 5 Percent Recovery Rate Recovery Rate 6o.00�io _ _ __ _ ._ _ .. ��; � s�.00�io 55.00% ,_ _ ^�� o � _ __.�� ..._.. .. ��.�:� `��"�rr' . % �°�°m Rccovery Rate 50.00% '�_ _.. .00%0 _ . _ _. _ 45.00% _ _. . _ __. Year 1 Year 2 Year 3 Year 4 Year 5 ;��, �'►AIlI1ARD�I�IN(.� 1'age -�5 �_ ��_ ; .w ti s ,5i� � i .� �r i�: ,�; �. 'r' �� AQUATIC C�NT:ER CJP:ERATIONS STUDY � C'rty� o 'Prrlm Desert Ca/i or ' �� . .f � .f ntu Operational Budget Adjustments The City of Palm Desert set a goal of wanting to recover 60% of the cost of operating the aquatic center through fees generated by the facility itsel£ "I'he operation plan on the previous pages indicates a rate of recover beginning at 50% and rising to 57% in the fifth year of operation. The primary reasons for the lower cost recovery are: � � • Since the aquatic center is not yet open and the actual operating agency has not yet been identified, a conservative approach to the budget process has been undertaken. • There are a significant number of swimming opportunities ava�ilable in the area from back-yard pools, HOA and eondo pools, resort pools, to private and other public pools. This has a significant impact on the overall market for a new public pool. • "I'he user fees that are currently being charged for access to other public pools are reasonably low and other pools (back-yard pools, HOA and condo pools) do not require a fee at all for admission. This �limits the rate that can be charged at a new Palm Desert Aquatic Center and ultimately the amount of revenue that can be generated. • "�I'he concept plans for the Palm Desert Aquatic Center indicate a large facility with an extensive water surface area. The cost oC operating a facility of this nature on a year round basis is expensive. However, in an effort to bring the aquatic center closer to the desired 60% cost recovery point, the following operational options are possible. � Fxpenses There are a number of possible modifications that can be made to reduce the cost of operating the aquatic center, these include. � Recommended • Staffing Reductions — It may be possible to eliminate the full-time Assistant Manager position and replace it with 20 hours a week of an additional Head Lifeguard. However, this would result in a significant number of hours where no full-time staff would be present at the center. This may also not be acceptable to the contract operator. Possible Annual Cost Savings: $48,000 � i�� '� �AI.1[1ARD�I�INC_� ��a�e �t�, �_ �� 1 � �� 5 .; i� t� i .� ��' i�; ,5 i. 'r i� AQIJATIC CENTER (�P�RATIONS STUDY C,'i1 � o 'Palnr Desert ' . `r �� ,t f , Calrf�rnc��r • Reduction in Operating Hours — During the winter and shoulder seasons, open one hour later and close one hour earlier. Possible Annual Cost Savings: $50,000 Not Recommended • Seasonal Operation — Instead of being a year round pool, close during the winter season. This is not a realistic alternative as it does not allow for College of the Desert to utilize the facility during a major portion of the academic year and also cannot support a year round swim team. There would also be a signiticant loss of revenue with this approach. Possible Annual Cost Savings: $150,000 to $200,000 (net) Kevenues In addition to cutting expenses, there is also the possibility of increasing revenue. These options include: Recommended • Fee Increases— Increase the admission and pass fees by 25�% across the board. This will result in the highest fees of any public ayuatic center in the region. If the rate of use remains constant�with the proposed numbers in this study (this may not be realistic), then this could result in a significant revenue increase. Possible Revenue Increase: $68,500 • lncrease in Rentals —� If the center could inerease the number of rentals to organized aquatic groups as well as the general public, this could result in additional revenue. However, an increase in the number of rentals may not be possible considering the level of rentals that is already being projected. Possible Revenue Increase: $7,000 Not Recommended • Higher Level of Markel Penetration— Increasing the projections for daily use by 10% and 25 admission and 3 month passes from 1.7% of households to 2% (in the Primary Service Area) would result in a revenue increase. It�should be noted that this option cannot be Ir �I v .;��1� i BAI,I�RD�I�IN(, I'a�e 47 AQLIATIC CENT:ER tJPERATION� STUDY Crt � � 'Pal�� Desert Calr or ' �� ti .f , .f nru paired together with the "Fee Increase" option as both would place too much pressure on the market. Possible Revenue Increase: $33,000 If the first two expense savings options are combined with the first two revenue increase options then the expense/revenue gap would be closed by $173,500, resulting in a 60% cost recovery rate in the first year of operation. However, implementing these options will not be easy and may not result in the exact forecasts that have been presented. Comparison of Original Budget to Budget with Adjustments Cate o Ori inal Bud et Bud et Ad'ustments Expenditures $1,274,844 $1,176,844 � Revenues $631,997 $707,497 Difference {642.�=�7} (�(�9.;347� Recovery % 50% 60% '�� 'AI�I.�IRD�I�ING Page 4$ ��___� & A S S U t: I ,1 "I' I? ,ti I. '1' U AQUATIC CENTER nP�RATIONS STi1D1' �+ C'rt � r� �Paln� Desert Calr own'r �"�" .ti .f , .f �r Fees and Attenda�ce Projected Fee Schedules: The following fee schedules have been figured utilizing an approximate 50% fee differential for non-residents of Palm Desert on the admission rates. Revenue projections and attendance numbers were calculated from these fee models. Admissions Resident Non-Resident Adult Daily $4.00 $6.00 Youth Daily (5-12) $3.00 $4.50 Adult 25 Admiss, $94,00 $140.00 Youth 25 Admiss. $65.00 $97.00 Adult 3 Month $120.00 $180.00 Youth 3 Month $84.00 $125.00 Rentals Resident Non-Resident Recreation Pool Under 50 $150/hr $175/hr 51-75 $175/hr $200/hr 76-100 $200/hr $225/hr 101-125 $225/hr $250/hr Competitive Pool � 25 yard/per lane $6/hr $8/hr 50 meter/per lane $10/hr $12/hr Full Pool - 50 $100/hr $125 Full Pool 51-75 $125/hr $l 50 Full Pool 76-]00 $150/hr $175 Full Pool 101-125 $175/hr $200 Splash Ponl or $75/hr -- -- ---- $95 Iherapy Pool Umbrella- $20/2hrs $24/2hrs Reserved ��%�►j B�LI�IRD�I�INC> >��age �y � �� l� _�� :1 s ,�; i� r� i ,� �r t�; �, i, 'r u AQUATIC CENTER t�PERATi01`'�1S �►TUD� Cit � o �Pc�lm Desert a ' � �� .ti .f , �` ltforr�ur Admission Rate Comparisons: The above rates were determined based on the rates paid at similar facilities in the Coachella Valley (2010). Palm Springs Swim Center Cate o Dail 25 Visits Adults $2.00 $49.00 Youth (2-12) $1.00 $49.00 Pawley Aquatic Center Cate o Dail Adults $4.00 Youth (2-17) $3.00 Fritz Burns Community Pool Cate o Dail Adults (12 & older) $3.00 Youth (under 12) $2.00 Adult Lap Swim $2.00 � � I �"�I_;I.��.l:�'D�ILIN(; ��a�e �o ',�'1� l �� , „ ,: � � r �� . �� , AQUATIC C:ENT:ER CJPERATIUNS STUDY City of`Palm Desert Cali o�ni�i �� .f AtYendance Projections: The following attendance projections are the basis for the revenue tigures that were identified earlier in this report. "The admission numbers are affected by the rates being charged, the faeilities available for use, and the competition within the service area. These are averages only and are based on 355 days of operation. Paid Admissions Daily Winter- 110 Days x 30 a Day 3 300 Spring/Fall Weekdays— 106 Days x 45 a Day 4,770 Spring/Fall Weekends—44 Days x 140 a Day 6,160 Summer— 95 Days x 175 a Day 16 625 25 Admissions— 550 Sold x 25 Admissions 13,750 3 Month Passes—670 Sold x 24 Admissions 16,080 Total Yearly 60 685 , The number of daily admissions are based on approximately 65% coming from within the City of Palm Desert and 25% coming from the Primary Service Area (non-residents) and 10% from outside the Primary Service Area (includes visitors and seasonal residents). The number of 25 admissions and 3 month passes are based on selling a total of 1,050 passes to approximately 1.7% of the households in the Primary Service Area and one-fourth of one percent (an additional 170) from outside the Primary Service Area (this area includes Palm Springs through Indio). � �__. __� - �� j b � .�'A.III:.IARD�I�IN(:> >�a ge �l I: �� _; �� 1 s ,ti �� : i a �r r�: ,�; i. �r u � AQUATIC CENTER QP�RATIONS STUDY City� oJ'Pcrl�n Desert, Cali orni�r �� • .f Hours of Operation: The projected hours of operation of the aquatic center are as follows: Competilive Pool Only (no recreational pool, slides, no splash pool) -- November /hru February (16 weeks) Da s Hours Monday-Friday 5:30am-7:OOpm Saturday-Sunday 7:OOam-S:OOpm Hours per Week g�.s C'ompetitive/Recreational Pool Only (no slides, no s�lash pool) — September thru October and March thru May (22 weeks) Da s Hours Monday-Friday 5:3 Oam-7:OOpm Saturday-Sunday 7:OOam-S:OOpm Hours per Week 87,5--- --- Recreational Pool wilh slides and splash pool—Sepiember thru October cP� March lhr�u May WEEKEND�S ONLY(22 weeks) Da s Hours Saturday-Sunday l0am-S:OOpm Hours per Week 1 g Full Aquatic Center—June thru A�gust (14 �n�eeks) Da s Hours Monday-Saturday 5:30am-7:OOpm Sunday 7:OOam-S:OOpm Hours per Week 87.5 Note: Seasons and hours will be adjusted based on use and demand. �___ � � ��' � BALLARD�1�INr:s �>�„;�: sz '1�_ � � � ,5 �, �: � .a ,� F: , �, �� AQUA.TIC CENTER UFERA�'IONS STUDY Ci/y� o�"Palm Desewt, Cali ornia �� • .f Section V - Appendix Part-Time Staff Hours Revenue Worksheets Demographic Information and Participation Statistics� jr�)�! ��_��`i.��1�N�, Ya►e 53 , 1� _.� v ,� � ,5 u c i � �i� F: .� i. �r i� � � AQUAT'IC CENTER QP�RATIONS STUDY City� o�`P�xCm Desert, Cali orni�r �� . .f Part-Time Staff Hours: � Winter—November thru�February (16 weeks) � Title Da s Time Hours Em lo ees Da s TotaWVk Head Lifeguard Mon-Fri 5:30A-1:00P 7.5 1 5 37.5 (16 weeks) Mon-Fri 4:OOP-7:OOP 3 1 5 15 Sat-Sun 7:OOA-S:OOP _ 10 1 2 2p ___ TOTAL 72.5 Title Da s Time Hours Em lo ees Da s Total/Wk Cashier Mon-Fri 5:30A-1:OOP 7.5 1 5 37.5 (16 weeks) Mon-Fri 1:OOP-7:OOP 6 1 5 30 __ _ Sat-Sun 7:OOA-5_OOP __10 1 2 2p - _ TOfI'AL 87.5 Title Da s Time Hours Em lo ees Da s Total/Wk Custodian/Grounds Mon & 1:OOP-4:OOP 3 1 2 6 (16 weeks) Thurs — _ __ TOTAL 6 Ti#le Da s Time Hours Em lo ees Da s Total/Wk Lifeguard Mon-Fri 5:30A- 6.5 4 5 130 (16 weeks) 12:OOP � � Mon-Fri 12:OOP- 4 3 5 60 4:OOP Mon-Fri 4:OOP-7:OOP 3 4 5 60 Sat-Sun 7:OOA- 5 3 2 30 12:OOP Sat-Sun 12:OOP- 5 4 2 40 S:OOP __ TOTAL 320 �� AIlI1ARU�1�ING ��a e 54 � �� _ I .� � 5 , �� : � � �� F � � -�� c� � AQUATIC C�NTER t�PFRATIONS STUDY C�ty� o 'P�cln� De,sert Cali or ' �� . f , .f nc�r. Spring c� Fall—September thr�r October and March thru May (22 weeks) Title Da s Time Hours Em lo ees Da s Total/Wk Head Lifeguard Mon-Fri 5:30A-1:OOP 7.5 1 5 37.5 (22 weeks) Mon-Fri 4:OOP-7:OOP 3 1 5 15 Sat-Sun 7:OOA-10:00 10 1 2 2p Sat-Sun -- --_-_—- TOTAL 72.5 -- Title Da s Time Hours Em lo ees Da s Total/Wk Cashier Mon-Fri 5:30A-I:OOF' 7.5 1 5 37.5 (22 weeks) Mon-Fri I:OOP-7:OOP 6 1 5 30 Sat-Sun 7:OOA- 3 � 2 6 1 O:OOA Sat-Sun 10:00A- 5 2 2 2p S:OOP -- TOTAL 93.5 Title Da s Time Hours Em lo ees Da s Total/Wk Custodian/Grounds Mon, 1:00P-4:OOP 3 1 3 q (22 weeks) Thurs, Sat � TOTAL 9 Title Da s Tirne Hours Em lo ees Da s Total/Wk Lifeguard Mon-Fri 5:30A- 6.5 5 5 162.5 (22 weeks) 12:OOP Mon-Fri 12:OOP- 4 3 5 60 4:OOP Mon-Fri 4:OOP-7:OOP 3 5 5 75 Sat-Sun 7:OOA- 3 3 2 1 g l 0:00A Sat-Sun 10:00A- 5 10 2 100 S:OOP --- ---- --- TO"t'A L 415.5 ;— -- �1� � BiAI��I�T)�I�TNC� Pa�e SS l � ,� .w � �, �. � � �� H: 5 r, �� AQUATIC C:�NTER (3PERATIONS STUDY City� �� PuCn� Descrrt C,'ali orni�r �� . f , f � Title Da s Time Hours Em lo ees Da s Total/Wk Concession Sat-Sun l 0:00A- 7 1 2 �q Su ervisor(22 wks) S:OOP TOTAL 14 Title Da s Time Hours Em lo ees Da s Total/Wk Concession Cashier Sat-Sun 10:00A-S:OOP 7 2 2 2g (22 wks) —__------ - TO"TAL 28 -- Surremer—June thru August(14 weeks) � Title Da s Time Hours Em lo ees Da s Total/Wk Head Lifeguard Mon-Fri 5:30A-1:00P 7.5 ] 5 37.5 (14 weeks) Mon-Fri �1:OOP-7:OOP 3 1 5 15 _ ______ Sat-Sun 7:OOA-S:OOP 10 1 2 20 T— __------ ---- — -- TOTAL 72.5 Title Da s Time Hours Em lo ees Da s Total/Wk Cashier Mon-Fri 5:30A- 4.5 1 5 22.5 (14 weeks) l 0:00A Mon-Fri 10:00A- 9 2 5 90 7:OOP Sat-Sun 7:OOA- 3 1 2 6 1 O:OOA Sat-Sun 10:00A- 5 2 2 2p S:OOP __, TOTAL 138.5 Title Da s Time Hours Em lo ees Da s Total/Wk Custodian/Grounds Mon-Sun 7:OOP-9:OOP 2 1 7 14 (14 weeks) -- � — - TOT'AL.. 14 �� BAI II.ARD�KIN(� �� E� ss I � d l� ..i & � S y t) t, l q 'P F; 8 I, 'I' U AQUATIC CENTER OPERATIONS STUDY Cify� o 'Palrrr Desert Cali orn' �� . .J� , ,f ccr Title Da s Time Hours Em `lo ees Da s Total/Wk Lifeguard Mon-Fri 5:30A- 4.5 5 5 112,5 (14 weeks) l 0:00A � Mon-Fri 10:00P- 9 ]0 5 450 7:OOP Sat-Sun 7:OOA- 3 3 2 �g l 0:00A - --_---__ Sat-Sun 10:00A- 5 10 2 100 S:OOP _ TOTAL 680.5 Title Zaa s Time Hours Em' lo ees Da s TotaUWk Concession Mon-Fri 10:00A- 9 1 5 45 Supervisor(1�1 wks) 7:OOP Sat-Sun 1 O:OOA- 7 1 2 �4 _ S:OOP ----- ---- ------- TOTAL 59 Title Da s Time Hours Em lo ees Da s Total/Wk Concession Cashier Mon-Fri 10:00P-7:OOP 9 2 5 90 (14 wks) Sat-Sun 10:00A-S:OOP 7 2 2 2g TOTAL 1 18 �_%�� II�AI�LARI)�I�TN(:� , ��1� � d�;� s� ,' � ,, � �� , �� < � � �� , AQUATIC C:ENT�R OPERATI(JNS �TL1DY � Cit�� o 'Palm Desert Calr` or " �� . .f , .f nctr Program Staffing Costs Winter Swim Lessons Title Classes Staff Pay Sessions/ Total Cost Weeks I,earn to Swim 2 classes/2 days $7.00/cl. 2 sessions $224 Mon.-Wed. 4 weeks Private Lesson.s 2 classes/wk $]0.00/cl. 16 weeks $320 _ TOTAL $544 Other Title Classes Staff Pay Sessions/ Total Cost Weeks Wuter Exercise _ 2 classes/3 days _ $15.00/cl. 16 weeks $1,440 I,i e ucrrd Traini�_ 33hours_ $15.00/hr. 1 session $495 CPR Trai�ring Shours $15.00/hr. 1 session $75 Stroke Clinics 2 hours $15.00/hr. 2 sessions $60 Misc. 2 classes/3 da s $15.00/cl. 16 weeks $1,440 TOTAL $3,510 Spring & Fa11� Swim Lessons Title Classes Staff Pay Sessions/ Total Cost Weeks Inf'ant& Preschool 4 classes/2 days $7.00/cl. 4 sessions $896 Mon.-Wed. 4 weeks Learn to Swin2 6 classes/2 days $7.00/cl. 4 sessions $1,344 Mon.-Wed. 4 weeks Private 1 essons 5 classes/wk _ $10_00/cl._ _22 weeks $1,100 TOTAL $3,340 �-- --� � ;� , �'ALI_,I�RD�I�INC� � ��a�e ss I �� _� h 1 � �; i r ��. � ,> �r l�: �; �. ��' u AQUATIC CENTER OP'ERATIONS STUDY � C'it � o `Pcclm Desert a ' ` �� L ,f , C Icfnrnta Other Title Classes Staff Pay Sessions/ Total Cost Weeks Water Exercise 3 classes/3 da s $15.00/cl. 22 weeks $2,970 Jr. Li e uard ]class/8 days $15.00/cl. 1 session $120 Li eguard Training 33hours $15.00/hr. 2 session $990 CPR Trainin Shours $15.00/hr. 2 session $150 Stroke Clinics 2 hours $15.00/hr. 2 sessions $60 Birthda Parties 6 week $15.00/hr. 22 weeks $1,980 Special Events 6 hours $12.50/hr. 3 events $1,350 � 6 staff Misc. 2 classes/3 da s $15.00/cl. 22 weeks $1,980 TOTAL $9,600 Surrimer Swim Lessons (weekday classes meet four days a week for two weeks) Title Classes Staff Pay Session�/ Total Cost Weeks Infant& Preschool 10 classesl8 days $7.00/cl. 4 sessions $2,240 Mon.-Thurs. Learn to Swim 16 classes/8 days $7.00/cl. 4 sessions $3,584 Mon.-Thurs Private Lesson,s 10 cfasses/wk $10.00/cl. 14 weeks $980 TOTAL $6,840 Other Title Classes Staff Pay Sessions/ Total Cost Weeks Water Exerci,se 4 classes/3 da s $15.00/cl. 14 weeks $2,520 Youth Water Polo 1 class/8 da s $20.00/cl. 2 sessions $320 � Jr. Lifeguard lclass/8 da s $15.00/cL 2 sessions $240 Li e uard Trainirrg 33hours $15.00/hr. 1 session $495 CPR Training Shours $15.00/hr. 1 session $75 Szrnke Clinics _ 2 hours $I5.00/hr. 6 sessions $180 Bir�hda Parties _ 10 week $15.00/hr. 14 weeks $2,100 Special Everrts 6 hours $12.50/hr. 3 events $1,350 6 staff Misc. 2 elasses/3 da s $15.00/cl. 14 weeks $1,260 TOTAL $8,540 �-- -� ' ' �'►�I.I_IARD�I�IN(; Pa�e 5� b1�. _ � � � � ,� �, � � �� r: � �. �� AQUATIC CENTER (JPERATICIN� STUDY C'it � �� 'Palnr Desert Culr o �� ti .f , f rnccr Total Aquatics Programs $32,374 Program Revenues � Wirtter Swim Lessons Title Classes Fee Sessions/ Total Weeks Revenue Learn to Swim 2 classes/4 per class $50.00/Res 2 sessions $800 _ 2 classes/1 per class $60.00 NR $240 Private Lessons 2 classes/wk $15.00/cl. ]6 weeks $480 TOTAI_, $1,520 � Other � Title Classes Fee Sessions/ Total Weeks Revenue Water Exercise 6 classes/8 per class $5.00/cl. 16 weeks $3,840 6 classes/2 er class $7.00/cl. $1,344 Lif'eguard Training 1 class/10 per class $150.00 1 session $1,500 _ _ 1 class/5 er class $180.00 $900 CPR 7raining 1 class/5 per class $30.00/Res 1 session $150 1 class/3 er class $35.00/NR $105 Slroke Clinics 1 class/5 per elass $20.00/Res 2 sessions $200 1 class/3 er class $24.00NR $144 Misc. 6 classes/5 per class $5.00/Res 16 weeks $2,400 6 classes/2 er class $7.00NR $1,344 _ __ TOTAL $11,927 r�%�I �i'AI1I�-�RU%�I�IN(� ��age �,o 1� ; �- :15 ; nt�� i -� 'ri� �, i. 'ru AQIIATIC CENT:ER QPERATIONS STUDY C'ify� of"Prxlm Desert, Culi orni�x �� • .f Spring& Fall Swim Lessons Title Classes Fee Sessions/ Total Weeks Revenue Infant& Preschool 4 classes/3 per class $50.00/Res. 4 sessions $2,400 4 classes/1 er class $60.00 NR $960 Learn to Swim 6 classes/4 per class $50.00/Res. 4 sessions $4,800 6 classes/1 er class $60.00 NR $1,440 Private Lessons 4 ctasses/wk $15.00/c I. 22 weeks $1,320 1 class/wk $18.00/cl. $396 ---- ------ —_--- TOTA L $l 1,316 Other Title Classes , Fee Sessions/ Total Weeks Revenue Water F,xercise 9 classes/8 per class $5.00/cl. 22 weeks $7,920 9 classes/2 er class $7.00/cl. $2 77� Jr. Lif'eguard 1 class/5 per class $40.00/Res 1 session $200 lclass/2 erclass $48.00 HR $96 I.if'eguard 7raininK 1 class/10 per class $150.00/Res 2 session $3,000 ____ 1 class/5 er class $180.00 NR $1,800 � CPR 7raining 1 class/5 per class $30.00/Res 2 session $300 ____ 1 class/3 per class $35.00 NR $2�p � Stroke Clinres� 1 class/5 per class $20.00/Res 2 sessions $200 1 class/3 er class $24.00 NR $144 Birthc�ay Parties 5 week $75.00/Res 22 weeks $8,250 1 week $90.00 N R $1,980 Special Events 30 per event $5.00 Res 3 events $450 15 er event $7.00 NR $315 Misc. 6 classes/5 per class $5.00/Res 22 weeks $3,300 _ _ 6 classes/2 er class $7.00 NR _ $�,848 --__ TOTAL $32,785 I ; � Br1I�I�ARI)�I�IN(r ,. ��)1� � 1 a�e 61 �'� ,1 .5 ; ir �; � .1 �r P: ,5 �, �r ��) AQUATIC C:ENTER C�PERATIONS STUDY C'ity c�f'Pcilm Desert, Calr` ornra �� • .f Summer Swim Lessons (weekday classes meet four days a week for two weeks) Title Classes Fee Sessions/ Total Weeks Revenue Infant c� Preschool ]0 classes/3 per class $50.00/Res 4 sessions $6,000 l0 classes/1 er class $60.00NR $2,400 Learn to Swim 16 classes/4 per class $50.00/Res 4 sessions $12,800 Mon.-Thurs 16 classes/1 er class $60.00 NR $3,840 Private Lessons 7 classes/wk $15.00/cl. 14 weeks $1,470 3 classes/wk $18.00/cl. $756 ---- ------------ --- --- - ------______---��n'I'AL $27,266 Other Title Classes Fee Sessions/ Total Weeks Revenue Water Exercise 12 classes/8 per class $5.00/cl. 14 weeks $6,720 12 classes/2 er class $7.00/cl. $2,352 Youth Water Polo 1 class/15 per class $60.00/Res 2 sessions $1,800 I class/5 er class $72.00 NR $720 Jr. Lifeguard 1 class/5 per class $40.00/Res 2 sessions $200 -- ----- _ _ 1 class/2 per class _ $48.00 NR __ $96 Lif'eguard Truinrng 1 class/10 per class $150.00/Res 1 session $1,500 1 class/5 per class $180.00 NR $900 C'PR Truining 1 class/5 per class $30.00/Res 1 session $150 _ 1 class/3 er class $35.00 NR $105 Stroke Clinics 1 class/5 per class $20.00/Res 6 sessions $900 1 class/3 er class $24.00 NR $432 Birthday Parties 8 week $75.00/Res 14 weeks $8,400 2 week $90.00 NR $2,520 Special Events 30 per event $5.00/Res 3 events $450 _ 15 er event $7.OQ/NR $3]5 Misc. 6 classes/5 per class $5.00/Res 14 weeks $2,100 ___ 6 classes/2 er class $7.00 NR $�,�7C, __ TOTAL $30,836 Total Aquatics Program Revenue $115,650 '�"�� i BAIlI1f�I)�KIN(� ��a�e �,z I_ ��_ _i .� 1 w ,5 �� . i � 'r i�: ,5 i 'r i� � AQIIATIC CENTER OPERATIONS �TUDY C'itv �T Pcrlm Desert, C'u/r orni�r �� • .f Admission Revenue Winter Daily Fees (16 weeks) � Cate o Dail Fee # er Da Revenue Adult $4.00 Zp �gp Youth $3.00 10 $30 TOTAL 30 $110 DAYS per SF,ASON 110 Non-Residents (35% x 50% higher fee) $2,118 _ GRAND TO"I'AL $14,218 Spring & Fall Daily Fees (22 weeks) Cate o Dail Fee # er Da Revenue Adult-WkDay $4.00 30 $120 � Youth-Wk Day $3.00 15 $45 ---- ------------ -— . u Total 45 $165 __ _ --- - -------___----------- ---- ------ DAYS per SI;ASON 106 rI�O"TAL $17,490 Adult-WkEnd _ $4.00 (p $240 - � Youth-WkEnd $3.00 80 $240 Sub Total 140 $480 DAYS per SEASON 44 'TOTAL $21,120 Non-Residents (35% x 50% higher fee) $6,757 GRAND TOTAL $45,367 Summer Daily Fees (14 weeks) Cate o Dail Fee # er Da Revenue Adult ___ _ $4.00 75 $300 Youth $3.00 100 __ ---- $300 TOTAL 175 $600 DAYS per SEASON 95 Non-Residents (35% x 50% hi�her fee) $9,975 GRAND TO"TAI, $66,975 � _._ ;��1� � `b"AI,IIA_T�I��I�IN(., I'age 63 , � i � i i. . i, �r n AQUATIC CENT:�R CJPERATION� STUDY Citti� c?f'P�alnr Desert, Ca/i �rnia �� • .f 25 Admissions Cate o 25 Admissions # Sold Revenue Adult $94.00 250 $23,500 Youth $65.00 300 $19,500 _ "I'OTAL 550 $43,000 _ Non-Residents (25% x 50% higher Cee) $5,375 GRAND "I'OTAL $48,375 3 Month Passes � • Cate o 3 Month # Sold Revenue Adult _ $120.00 435 $52,200 Youth _ $84.00 235 $19,740 TOTAL 670 $71,940 Non_Residents (25% x 50% higher fee) $8,993 __ GRAND TOTAL $80,933 Total Admission Revenue Cate o Revenue Daily $126,559 25 Admission $48,375 3 Month $80,933 � GRAND TOTAL $255,867 Note: "l'hese work sheets were used to project possible revenue sources and amounts. 'These figures are estimates only, based on very basic market information and should not be considered � as guaranteed absolutes. This information should be utilized as a representative revenue scenario only and to provide possible revenue target ranges. f ,!��l �f�l.T.f��..��1�N(� I'a�;e 64 �� I � l �; � 1 i �. I -A "f I? `+ L 'I� I) AQUATIC �ENTER C)PERATIONS STUDY City oj`Palnr Desc��l, Calr ornia �� .f Demographic �Information and Swimming Participation Statistics Table A - Service Area Statistics & Comparison Po ulation Com arison��: ' 2000 Census 2009 Estfrnate 2015 Pro'ection City of Palm Desert 41,155 51,509 59,588 Po ulation Com arison��: 2000 Census 2009 Eatimate 2014 Pro'ection Primary Service Area 99,304 140,750 164,374 Number of Households Com arison19: 2Q00 Census 2009 Estimate 2014 Pro'ection City of Palm Desert 19,184 21,775 23,518 Primary Service Area 45,087 62,215 72,061 Number of Families Com arison20: 2000 Census 2009 Estimate 2014 Pro'ection City of Palm Desert 11,405 12,709 13,573 Primary Service Area 28,497 39,393 45,459 Average Household Size Com arison��: 2000 Census 2009 Estimate 2014 Pro'ection City of Palm Desert 2,13 2.15 2.16 Primary Service Area 2.19 2.25 2,27 United States 2.59 2.59 � 2.59 "Riverside Country 2009 Progress Report. '� U.S. Census Bureau and ESRI. ��'U.S. Census Bureau and ESRI. 20 U.S. Census Bureau and ESR1. '' U.S. Census Burea�i and ESRL � --- , � B�I�TIA.RI)�KIN(T �>a�;e t,s �'k � �� „ �: � � -�� .: � �, �� AQUATIC CENTER (JPERATION� STUDY City> ��f'P�rxlnr Dc�,serf, CaCi ornia �� .f Map A—Citv of Palm DesertZ2 o�r,�r,sn�� x � � � � �� c � � � � � � � ��i�� .� W _ �' � �`� �� ,r� Cha R4t➢r�� G�u�ta^y C4tirb�4r � � � � FFa�r1��r�.�a� �,� �� . �, � � ; � � � ,,».��„ fi�a �n��V rdkv� ��•12 B 1,+r .��7�r> w� . . . � . , .atr�rty' � � �P't�#t'I"1!,I7'Q��tT# � �� .,� � T"s 9Rre�rirtg�.'i+` � ..�• �r ...._._�•,rkva,-- 4t�lh ' � ' [3 � � �r� � ._ . �� w �,��..e�� ,.�1�1{.�. ._ � �_ �� -- ��"',;;,i �� ..�.m. � ��eiarw�'� --^*�""',�.��-�»� u.�„ � p i :� . ....�m . . . � . � � � � � ��tli��o�� i.*��5 � r`Y �' I4�q�x�'4!'i+�w C}r e �� °� � �'�fl'�� Sinalaa��'� .� ��. �:_:. � ,r�. � � � � � � s,� , . ,, z'`This map is based upon what was provided in the Riverside County 2009 Progress Report and should reflect most recent boundaries of the City of Palm Desert. ,_— --, � � I�� BAIII�RD�KING I�d�E �� . i & 1 5 .5 r i t�, � .a 'r P: 5 �. T �) A+Q►i1ATIC CENTER t)PERATIONS �TUDY Ccty" of�Paln� Desert, CaJi orni�r �� • .f Population Distribution by Age: Utilizing census information for the City of Palm Desert, the following comparisons are possible. Table B—2009 City of Palm Desert A�e llistribution (ESRI estimates) A es Po ulatian % of Total Nat. Po ulation Difference -5 2,266 4.4% 7.0% o -2.6/o 5-17 4,739 12.0% 17.4% -5.4% 18-24 4,790 6.5% 9.9% o -3.4/o 25-44 11,435 22.2% 26.9% -4.7% 45-54 5,769 11.2% 14.6% -3.4% 55-64 6,336 12.3% 11.4% 0.9% 65-74 7,005 13.6% 6.6% 7.0% 75+ 9,169 17.8% 6.2% 11.6% Population: 2009 census estimates in the different age groups in the city. % of Total: Percentage of the city population in the age group. National Population: Percentage of the national population in the age group. Difference: Percentage difference betw�en the city's population and the national population. Chart A—2009 City of Palm Desert A�e Group Distribution 30 25 �. e .. r._. . _� _..m_ �� e ..M �. ._�� 20 . __._._ _.. ... ..: _..__.:.__._.. ...., �.�..,,�.�... 15 _ __ . __ 10 _ � _ 5 __. .. _ ., ,__ -_ �_ � p � _.�� __ ..�..,�. �� ,_...._ � _._._ ,.__, -5 5-17yrs 18-24 25-44 4�-54 55-64 65-74 75+ �PalmDesert �National - - — �I ��l_.T��•T`�11INt, Page (7 .�� _ & A S 5 �r (; I A 'i' 1? �; I, 'I' I) AQUATI� CENTER OPERATI4NS STUDY City nf'P�xlm Desc�rt Cali orni�x �� • � .f The demographic makeup of the City of Palm Desert, when compared to the characteristics of the national population, indicates that there are significant differences with a lar�er population in the 55-64, 65-74 and 75+ age groups and a smaller population in the -5, 5-17, 18-24, 25-44 and 45-54 age groups. The largest positive variance is in the 75-+- age group with +1 �.6%, While the greatest negative variance is in the 5-17 age group with -5.4%. These demographic characteristics would point to a significantly older population made up of seniors and retirees. I��; b'AT,I1f�RT)��IN(; l>a�;e t�K ' `�-_.J 4 9 .5 ; U i: I .1 9' f? F I, 'f I) AQUATIC' C:ENTER OP:�RATIONS STUDY � City of'PaCm Desert, Cali ornicr �� .f Population Distribution Comparison by Age: Utilizing census information from the City of Palm Desert, the following comparisons are possible. Table C—2009 City of Palm Desert Population Estimates (U.S. Census Information and ESRI) —� Ages 20Q0 2409 2014 Percent Percent Po ulation Po �lation Po alatron Chan e Chan e Nat'l 5 1,849 2 266 2,622 41.8% 14.4% , 5-17 5,281 4,739 7,151 35.4% 4.7% 18-24 2,553 4,790 3,873 51.7% 16.2% 25-44 9,323 11,435 13,229 41.9% 0.6% 45-54 5,283 5,769 6,674 26.3% 16.2% 55-64 5,527 6,336 7,�29 32.6% 64.�% 65-74 6,023 7,005 8,104 34.6% 41.3% 75+ 5,316 9,169 10,607 99.5% 19,1% Chart B —City of Palm Desert Population Growth 14,000 12,000 . _ _ . ' . 10,000 __._ .. � 8,000 _ _ ` 6,000 _. ._._. . _,.._.,.. . � ' 4,000 _ �.... __ 2,000 _... �.� �. ' _ 0 �, _ -5 5-17 yrs 18-24 25-44 45-54 55-64 65-74 75+ �w2000 �2009 �w2014 Table-C, looks at the growth or decline in age group numbers from the 2000 census until the year 2014. It is projected that all of the age categories will see an increase in population. It must be remembered that the population of the United States as a whole is aging and it is not unusual to find negative growth numbers in the younger age groups and net gains nearing 45% in the 45 plus age groupings in communities which are relatively stable in their population numbers. i�� _� I3AI�IlA1�D�KTNG ,. , � � � _�I � :1 s s u �; i n �r F: ., t. �r i� � a�� b� AQUATIC C:ENTER (�PERATION� STUDY City o 'P�ln� Desert Carli o�n' �� . .f , .f ca Below is listed the distribution of the population by race and ethnicity for the City of Palm Desert based on 2009 population estimates. Table D— City of Palm Desert Hisnanic Pouulation and Median A�e (Source—U.S. Census Bureau and ESRI) Ethnici Tatal Po ulatian % of Po 'ulation Median A e Hispanic 11,332 22.0% 28.0 Table E — City of Palm Desert Ethnic Population and Median A�e (Source —U.S. Census Bureau and ESRI) Ethnici Total Po ulation % of Po ulation Median A e White 42,804 83.1% 58.4 Black 721 1.4% 35.1 American Indian 258 0.5% 42.0 Asian 1,700 3.3% 38.6 Pacific Islander 52 0.1% 30.5 Other 4,327 8.4% 26.1 Multiple 1,700 3.3% 28,8 2009 City of�Palm Desert Total Population: 51,509 Residents Chart C —Citv of Patm Desert Ethnic Population s000 , 4000 _ . .. . .. �.��W,., ,, ,w,. ._, _ ,��,a __ 3000 �� __ _� _. ..�__ �. _ _ __ r _ _ . __. _ _. .. _ ___ I 700 �y 2000 _ .. _. _. __. ... ._ _ � � �. . `,s �� 1,700 . _ 1000 721 �," ` , ... __ _.. .��.�� ._ _ __ _._ ..._ , � �� ._. .__..._. .�.. �� ..._ ,� � ...__. � , , 0 � _„ ' S2 � E31ack American Asian Pacific islander Other Multiple Indian �. �Total Population � I----- —� f�,� � BA[1LARD�KTN(� },a�;E �o i �w :� ss �� ci �, eh: ,�; i, �ro AQU�iTIC C:ENTER C�PERATIONS STUDY Citti� o `A�rin� Desert Cul" '� �� . .1 , tf�r-ncu Map B—Primary Service Area £;t��r,�� _, , �W '�J .�^�^"'�".�.."`°,�,:.,.,;,�, � �Q��i�� s��/ � �� .�� .w..�� '" . ��,"*"b�,n�M .� � �� ,�� .� �' �, r�.:"; C�&�'r`�ran�$i9 Fi��saj�rPti�t��' qU��gr'1� P«il1'Yt� ��i��at a�a! ``�`� �� . � � � �� . � ` �� ,,�r�,. � � ,� ��E.,b�. �,,, � � ��:.. � ( �t�t�chx+ �Ilrz��'', � t�.cr�ar+�.��i�i � � ; ��:� ��... �t _ ��#��y�.�� ro�<. �i�r�t1 C�•a� ��tr��ii�A Du»i#ffi "� � ��tY#:��d�#4��"t `� ��,;. � r'�s c x �� x,�!`r f�,4 y, �� . .�� l"��3bR`�� «*, �.'�.a� ' �CC1 JfAWk3 +'�C�1{4h'� �.. „�zi� �� Ir � � � �r�i�� «�i�rrr�y� � _� � � " �.�.. � �� . lnt�f�arC YV��1s .'� �;� ,�� . ; +��* ,�j =��,s ��ry :"�F s 4#:«8 i:�&! � ��J`4d�;A4Y8R�' �,�� { ?,,Xf'$i� .. . r'W'y�. g5� �'��7� �f r :.,,�, .. . �,..�"''� a"'9 '� '� ��,..�*""' «� -w.�,�, , . «�� ,� � �� .w�,M .w�„., ..s,��....�+,� i�n > .a9 %�i 8,:��I1I,ARD�I�IN(; �, �,1� � a�e �r� � _.i � , � � „ ,� � ., �� : 5 � �� AQUATIC C:ENTER C�P:�RATIONS STUDY l'.'ity o 'Palni Desc�Yt Cu/i orni�x �� . .1` � .f Population Distribution by Age: Utilizing census information for the Primary Service Area, the following comparisons are possible. Table F—2009 Primary Service Area A�e Distribution (ESRI estimates) A es Po ul�tion °Jo of Total Nat. Po ulation Difference -5 6,286 4.6% 7.0% -2.4% 5-17 15,962 � 11.2% 17.4% -6.2% 18-24 7,775 5.6% 9.9% -4.3% 25-44 24,037 17.0% 26.9% -9.9% 45-54 16,766 11.9% 14.6% _2.��/0 55-64 22,272 15.8% 11.4% 4.4% 65-74 23,325 16.5% 6.6% 9.9% 75+ 24,330 17.3% 6.2% 11.1% Population: 2009 census estimates in the different age groups in the service area. %� of TotaL• Percentage of the service area population in the age group. National Population: Percentage of the national population in the age group. Difference: Percentage difference between the service area population and the national population. Chart D —2009 Primary Service Area Age Group Distribution z t;� �; �'. �ii 1'` _ ; _ 1 i,) _ _ . � �y : ..�i �_j^��;; 1`i-.�'.�4 ��»_}.} .}�_�.} ��_(�-4 f4�_".} ^�.+. , _,... ��.., a... _. � . _ ... ___ . � _� � ' iiKt�r� tic�c•ic�„ �Nnti�,rr;il � ,' i��, i �A IlI�RD�I�ING ►�a�e �2 � �'� � .4 :1 h ,� t� (�, � A 'r [�: s (. 'r u A�UATIC CENTER OPERATIQNS STUDY City o 'P�lrrt Desert Cali orni�z �� . .f , .f The demographic makeup of the Primary Service Area, when compared to the characteristics of the national population, indicates that there are considerable differences with a larger population in the -55-64, 65-74 and 75+ age groups and a smaller population in the -5, 5-17, 18-24, 25-44 and 45-54 age groups. 7'he largest positive variance is in the 75+ age group with +11.1%, while the greatest negative variance is in the 25-44 age group with -9.9%. These demographic characteristics would point to a significantly older population made up of seniors and retirees. The population characteristics are almost identical to that of the City of Palm Desert proper. �__ _ � I'a�e 73 ''�� BAI�IIARD�I�IN(v �i _� �w �� ,�; .5 u �: i � 'r t�; :, I 'i' i� AQUATIC CENTER OPERATIONS STUDY City of P�xlm Desert Cali ornirx �� .f Population Distribation Comparison by Age: Utilizing census information from the Primary Service Area, the following comparisons are possible. Table G —2009 Primary Service Area Population Estimates (U.S. Census Information and ESRI) Ages 2000 2009 2014 Percent Percent Pa ulation Po trlatio�n Po ulation Char� e Chan. e Nat'1 -5 4,688 6,286 7,080 51.0% 14.4% 5-17 13,015 15,962 17,529 34.7% 4.7% 18-24 5,262 7,775 8,817 67.6% 16.2% 25-44 21,039 24,037 26,860 27.7% 0.6% 45-54 11,642 16,766 17,455 49.9% 16.2% 55-64 13,451 22,272 26,475 96.8% 64.3% 65-74 16,104 23,325 31,678 96.7% 41.3% 75+ 14,103 24,330 28,482 102.0% 19.1% Chart E—Primary Service Area Population Growth 1(j,(j('il) .i�.iiC1U i�j.t.�f,)f) _ � . _ .'.; (:i(}{) :f,�.(�(')�� _ '�� l�_(lilC� � ` l(�.OriO � ! ! ; �'; '�� .t)f,��1 '�, : ; � �� ") ' � � ' �� '; »^' �«��?V'f'ti ��,.��} ?4._}� ..�'Sm'S.� 1fi,.(l-� 4Y�.'"..� ""4-M �_.. _ al"'fYll(�, ,, ��(11)� �� a�1!wfl�� . _ ..� � , t � Table-G, looks at the growth or decline in age group numbers from the 2000 census until the year 2014. It is projected that all of the age categories will see an increase in population. It must be remembered that the population of the United States as a whole is aging and it is not unusual to find negative growth numbers in the younger age groups and net gains nearing 45% in the 45 plus age groupings in communities which are relatively stable in their population numbers. !��I BAIII.ARD�KIN(� �>a � �.� I k ._, �� n s �5 �� : � a �r ,�: ,5 �. �r u � AQUATIC CENTER OPERATION� STUDY City of Pcr.lm Desert, Ca/i orni�r �� • .f Below is listed the distribution of the population by race and ethnicity for the Primary Service Area based on 2009 population estirnates, Table H — Prim_ary Service Area Hispanic Ponulation and Median A�e (Source — U.S. Census Bureau and ESRI) Ethniei Totat Po `ulation % of Po ulation Median A e Hispanic 38,342 27.2% 29.1 Table I—Primary Service Area Ethnic Population and Median A�e (Source— U.S. Census Bureau and ESRI) Ethnici Total Pc� ulation % of Po ulation Median A e White 112,785 80.1% 60.0 Black 1,943 � 1.4% 39,1 American Indian 712 0.5% 38.9 Asian 3,897 2.8% 40.9 Pacific Islander 145 0.1% 32.0 Other 16,568 11.8% 26.4 Multiple 4,696 3,3% 2g 4 2009 Primary Service Area 7'otal Population: 140,750 Residents Chart F—Primary Service Area Ethnic Population 1�+ftUfi 1 r;C)p(� _. _ . . l��(ii)i.l _ . �M1:< . 1 W(�r}tj _ ^�;;: li��it1(� _ � / `;�lO0 _ ��, _ _ �� ' (i�)(1(') _ _ _ f., �.!i4)� _ �-��' , -�Ci�)ls �i)(,p 1 �� x __ � �`t)6�t) n, '��. � �'� , , � �i , 1�5 � ` � �: (:i �Y= F:il��c�: :�nrrr�c��ntTitdi�� ;Ls�<n� ��'��crfic�I�l;rniler �,7tlrcr 11lulhple i ��.,r��lx'u�,ul,�t�4r�� I i�%�� 'i�1IlI�.l�1)��IN(; ,, �T � 1� } a�,e 7� _ __�I � �� s s u c i -, �r r: ,�; r. �r n AQLIATI� ��NTER OP�RATIONS STUDY City of'Arxln: Dc.�sert Cali o�nia �� • � .f Next, the median age and household income levels are compared with the national number. Both . of these factors are primary determiners of participation in swimming, The lower the median age, the higher the rate of participation. The level of participation also inereases as the income level goes up. Table J - Median Age: ZOOQ Census 2(}U9 Estimate 2014 Pro'ection City of Palm Desert 48.1 54.1 55.8 Primary Service Area 50.0 54.7 56.8 Nationally 35.3 36.9 3�,2 Chart G — Median A�e 60 48.1 50 �,»,,��., ,,��. . 50 _ . .._. _ _� �„ � __�. �. .. _� _ � 40 �- --35.3��_ �. _ :�� _:' 3��9 _ _��. ____� 37.� .. 30 _ _ 20 _ 10 ' _ ' 0 ' 2000 2009 2014 �Palm Desert �Primary �National With the median age in the City of Palm Desert and Primary Service Area being well above the National number it would indicate an older population. Howaver, it will still be important to focus on facility components that will address the needs of youth and families while at the same time having an appeal to an older generation that will undoubtedly be encouraged to use the facility on a regular basis. � �) - �-- � �ALI_1A.RD�I�ING 1'a�;e 76 , 1� J � ,� s .� uci ,a �rH: s i. �ri� AQUATIC CENT�R OF�RATIONS STUDY C'ity ��J'Palni Desert, C'ali or�nia �� . f Map C - Median A�e by Census Tract ,:,g. „ ,r,�,, �, . .3 �, � '^p� °' ; yr ( � i� ` a Y�� a3 ri �;,�'+ �, 3 �e��„u �, � ��.,.� +�v �I. - �e t�5-,�� .i!'= k � -f- (� p! '.:,¢ �'� ,�;d>�. 3�r �,,.,,,�,3 t u,,�. N;� _� �' � � P sf S- j f ' A5'� S � z ^�? rC„ �'�/:.� �u�� " �4�' �"�r,r- �4 �� ,�� t � .?.=, . s ";'.�' A,. "�".�; � a��+� � . pf� � r" l". � � ,�F �� s,� � � y a� € '��,�, t I �r�; »r��'� ,� '�'a`� :��,�p"�` : a. . y�R ,� �� ,'-� ��K�. ��i;�' �� ¢ � ` ,�,: ,r U,��(�7 3�e� b '�. 3 = '� a� �� /3��'' � � ��, �? ..�� , �.� g'f„� 3 �x � �`�- �;;� � � �� f� 'i�� ,r' s$ 1GVV.'i��"wSl2��'1w ��"�w`ri�� 7�.«� - ��,� �`''� +.�.� * ��.� ; 'JJ.+3 . +�'�.� . El.�,� �5.� . «S.�- 1;7.3 �)1• B�_T.,�1f�R.��1�N�' Pa�e 77 , 1� ._ & A 5 S O c t a �f I? 5 L 'I' u AQUATIC CENTER ppFRATIQNS STUDY City o f P�xlnr Desert, C a/i orni�x �� • .f Table K - Median Household Income: 2000 Census 2009 Estimate 2014 Pro'ection City of Palm Desert $48 144 $60,345 $62,708 Primary Service Area $49,001 $60,398 Nationally $42 164 $62,904 � $54,719 $56,938 Chart H—Median Householc� Income 70000 60000 _ . __ _._..�_. �,.,�,w.� ___ 50000 -�_ __ _ . . .._ _._��..�,; � ' �.�� _ _.._ .mo.m�� 40000 tl - �m.w_ .. 30000 °--__ . _____ ____._ 20000 _ . .'' 10000 _ . _ __ 0 , ; 2000 2009 2014 �Palm Desert �Primary �National In the City of Palm Desert the percentage of households with median income over $50,000 per year is 58.6% compared to 54.6% on a national level. Furthermore, the percentage of the households in the city with median income less than $25,000 per year is 16.6% compared to a level of 21.0% nationally. In the Primary Service Area the percentage of households with median income over $50,000 per year is 58.9% compared to 54.6% on a national level. Furthermore, the percentage of the households in the Primary Service Area with median income less than $25,000 per year is 16.3% compared to a level of 21.0% nationally. These statistics indicate that there probably is a higher level of discretionary income for recreational purposes, but this must be balanced with the cost of living in the area. �-- —I � �►AI�I��D�I�IN(> >�a�;e �x hl� ' ; � 4 A �� S U ��, 1 ,1 'i' h: ti L 'I' U AQUATIC CENT�R OPERATIONS STUDY City of'P�xlm Dc�sewt, Cali ornia �� • .f Map D - Median Household Income by Census Tract � ,� � f � � � �91 QI� �� d�� w Iq��' ,� G,jr 3 � ��ir �t � ��' ty°j ��"�'y�a �,�9� w q +r'r y a 3 @9�''��. r, { � q. ; �;� � 2 �D i��u. gl�, 'fr" + �S' `�:,,,r.,�ir �� t � . �., ��...'� 3 :� dtS � : ,,y� �„::�4 � ��,'3'�"�t�:; � Ct �� .� � �� ,�'�. $ �� l � . �g`4 � . . . �''� ��.Eg L '.�� 'C � �� r . . �`,t� { '',. ! ��. �Yy � �Y � Zt7�L19 Nledinri hli# Incam� t�ry C�rtsv�c"1"ract� � SS"�.7�7• �88,b�9 � 5�9,�'��- ��9,°7�� : 5�3,3�C�- 3�9,�:�� . 5:3�>5�t3�y #�a,31�} . ��3,ttC7�- ��.�L�p � — -, ! BAI�L�A I�.I)�KIN(:� �, , � ��e �� , ) � f __ �v ,� .5 :5 �� c i a �r i�: �5 i. �r u AQUATIC CENT:ER OP�RATIONS STUDY City o 'Palnt Desert Ca/i or ' �� . .f � ,f /?lfJ In addition to taking a look at Median Age and Median Income, it is important to examine � Household Budget� Expenditures. In particular looking at housing information; shelter, utilities, fuel and public services along with entertainment & recreation can provide a snap shot into the cost of living and spending patterns in the services areas. The table below looks at that information and compares the Primary Service Area to the State of California. Table L - Household Budget ExpendituresZ3 Prima Service Area SPI Avera e Arnount S ent Percent Housing 1 19 $24,048.00 29,7% .Shelter 119 �18,548,81 22.9/ Utilities> Fuel, Public Service 122 � $5,499,19 (�.g/ Entertainment & Recreation 121 $3,913.64 4.8�/� California SPI Avera e Amnunt S ent Percent Housing 122 $24,547.06 31.0% � Shelter 126 $19,630.27 24,8/ Utilities, Fuel, Public Service 109 $4,916.79 (.2/ Entertainment & Recreation 117 $3,784.85 4.8% SP1: Spending Potential Index as compared to the National number of 100. Average Amount Spent: The average amount spent per household. Percent: Percent of the total 100% of household expenditures. Note: Shelter along with Util�ties, Fuel, Public Service are a portion of the Housing percentage. �3 Consumer Spending data are derived from the 200�1 and 2005 Consumer Expenditure Surveys, Bureau of Labor Statistics. ESRI forecasts for 2008 and 2013. I -.-- ___. � BAI.LARD�KTN(� r�a�;� so �'1� _ 1 .� � � , �, <: � , �r ��: �5 �. ��, �� AQUATIC C:�NTER C)P�RATIONS STUDY City of Ptrlm Desert, Cali ornia �� .f Chart I — Household Bud�et Expenditures Spendin� Potential Index 1�4 Cl 11�) 1�'" !l� `' l"M 1'0 �, 12J �� l�?C) l t,)U !(.7c� I t)(�a 14�� ;1(�i.7 �C) G 0 = �� (:i , _'0 (:i '. T��I�,u�ui<w Slilete�� [.rtilit�ir�.Frirl.I'�rl�lic� F'irtcrt�ininc��t,��. � _.. _. .. `+c�4°�cc ��i�E�lt��:r�� Y l�ltt'�Ill:l ��al�liy�� .. ��I'1I11tI1t` �I�,; � ,,, � Q"1 � •' 111 j r Looking at the Median Household Income, it is above the national level, and when examining the Household Budget Expenditures it would indicate that the cost of living in the primary service area is comparable to the State of California and the National Spending Potential Index (SPI) Number of 100. Additionally, it would appear that the Spending Potential Index (SPI) for Entertainment & Recreation in the primary service area is higher than the State of California and the National Spending Potential Index of 100. � It will be important to keep this information in mind when developing fee structure and looking at an appropriate cost recovery philosophy. � - - � _ !��1� � �'AI.ILI�R.I)�I�IN(; ��a�;e sl I _I � A 5 �� . r .� �r i�; ,, i. �r u AQUATIC CENTER UPERATIONS STUDY C'rty ��f'P«Cm Desert, Cali orni�r �� • .f Table M - Service Area Comnarison Chart24 '��, " , �.`�t ' r�f P��m l�es�ri� Frili�� . �errrxce Are� Po ulation: 2000 41,155 99,304 2009 51,509 2014(15) 140,750 59,588 165,374 Households: 2000 19,184 45,087 2009 � 21,775 20 I 4 62,215 23,518 72,061 Families: 2000 1 ],405 28,497 2009 I 2,709 2014 39,393 13,573 45,459 Avera e Household Size: 2000 2.I 3 2009 2'�9 2014 2.15 2.25 2.16 227 Eth�icit : His anic 22.0% 27.2% White 83.1% 80.1% Black 1.4% 1.4% American Indian 0.5% 0.5% Asian 3.3% 2.8% Pacific Islander 0.1% � 0.1% Mulhple g.3% 1 1.8% Median A e: 3.3/o 2000 48.1 2009 50.0 54.1 54.7 2014 55.8 56.8 Median Income: 2000 $48,144 2009 $49,001 2014 $60,345 $60,398 $62,708 $62,904 Household Bud et Ex enditures: Housing 29.6% 29.7% Entertainment& Recreation 4,90�0 4 8o�o '4 Sources of information are; US Census, ESRI and Riverside County 2009 Arogress Report. i��i BALI.ARD�I�IN(_a 1'age 82 I i � w �1 s �5or. i ,i �r• i�: �, i, �ri� AQU�T��' C�NTER OPERATI4NS ST UDY City ofPrrinr Desert, Califnrnia �� Recreation Activities Partici ation On an annual basis the National Sporting Goods Association (NSGA) conducts an in-depth study and survey of how Americans spend their leisure time. This information provides the data necessary to overlay rate of participation �in swimming onto the Primary Service Area to determine market potential. Comparison With National Statistics: Utilizing information from the National Sporting Goods Association and comparing them with the demographics from the Primary Service Area, the following participation projections can be made (statistics were compared based on age, household income, regional population and national population), Table N— Swimmin�Participation Rates Activi ' ' A e Income Re ion Swimming 1 g 90�0 o Nation Avera e 26.3/0 23.7% 23.7% 23.1% Age(median): Participation based on individuals ages 7& Up of the Primary Service Area. Income: Participation based on the 2009 estimated median household income in the Primary Service Area. Region: Aarticipation based on regional statistics(Pacific). � National: Participation based on national statistics. Average: Average of the four columns. � %�;� BALI�,4R_D�kI�IN(� ��}l� J .v :� ; s �� c i ,� �r H:� .5 i, �r o 1'age 83 AQUATIC �.�NTER C)PERATI4NS STUD Y City o f Palm Desert, (ali �rnia �� .f Participation Correlation: Utilizing information provided by the National Sporting Goods Association's 2008 survey, the following correlation between people who participate in swimming and other recreational activities is possible. Table Q —Participation C'nr.-elation Activi ofo of Swimmers % of Activi Partici ation Aerobic 21 4% Basketball 37.5% Exercise Walking 23'S% 50.2% Exercise w/Equipment 48��0� 32.1% Runnin /Jo 36.2/0 36.5% g gging 24.2% Weightlifting o 42.8% 21.7/0 36.7% Percent of Swimmers: The percentage of swimmers who would participate in the given activity. `% of Activity Part.: The percentage of the listed activity participants who would also participate in swimming. These correlation statistics indicate the strong relationship between those people who participate in aquatics and other activities. Participation by Ethnicity and Raee: Participation in sports activities is also tracked by ethnicity and race. The table below compares the overall rate of participation nationally with the rate for Hispanics and African Americans. Utilizing information provided by the National Sporting Goods Association's 2008 survey, the following comparisons are possible. Table R— Com arison of National African American and His anic Partici ation Rates Primary National African ��i'�'»e Partici ation Hispanic P Ameriean Participation Partici ation Partici ation Swimming 23.1% � 23.7/0 12.9% 22.2% Primary Service Part: The unique participation percentage developed for the Primary Service Area. National Rate: The national percentage of individuals who participate in the given activity. Afriean American Rate: The percentage of African Americans who participate in the given activity, Hispanic Rate: The percentage of Hispanics who participate in the given activity. Based on the fact that there is a significant Hispanic population in the Primary Service Area the overall rate of participation could be affected. � ;��k � $ALLARD�I�IN(� , <4 ,� ss �� ; i ., �ri< ,�; i �rn Page85 AQUATIC CENTER C)PE:RATIUN� STUDY City of'p��lm Desert, Californiu �� Summary of Sports Participation: The followin 7 sports and leisure activities utilizing information�fromrtthe 2008�Nat�iorticipation in various Association survey. nal Sporting Uoods T'able S — Sports Participation C».,,.,,� __ aL{■ �p°� Nat'1 '' Nat'1 Participation Prirna Rank i'S' PrYma Service (in millions A a /o as ) �ervice o Exercise Walking 1 ` �tank Partici ation Swimmin 96.6 1 37,4% 2 63.5 Exercising w/Equipment 3 3 23.1% Work-Out at Club 63.0 2 24 1% g 39,3 Weight Lifting 10 4 15.2% Aerobic Exercising 1 j 37'S 6 13.8% Runnin /Jo 3�''2 5 14.1% � g�ing 12 35.9 Basketball 14 � 13.3% Soccer 29'� g 10.1% 20 15.5 Baseball � 21 10 5.4% Softball 15'2 9 5.8% 23 12.8 12 Tennis 24 4.6% Volleyball 12.6 11 5.3% 25 12.2 Skateboarding 30 14 4.0% 9.8 12 3.6% Nat'I Rank: Popularity of sport based on national survey. Nat'1 Participation: Percent of population that participate in this sport on national survey, Primary Serviee %: Ranking of activities based upon average rates of participation in the service area. Primary Service Rank: The rank of the activity within the service area It is important to note that swimming is the second most popular sports activity nationally and the third in the Primary Service Area. This creates a very strong market for an aquatic center in Palm Desert, 'S This rank is based upon the 41 activities reported on by NSGA in their 2008 survey instrument. �ki ,�i BAI�I:IA�D�I�IN(� � ��__i v � �; ,� �� : � ,� �,� ,.; , �, �r �� I'a�e 86 A'�v-� T,��, �-- . C��rT� __„_______.-�._'----. R pp��A,�.,� �If�� f�P�`��NS sr��,� l�c's•ert �� , Ca/ifornirr Comparison of State Nationa� S Statistics selected s p��ng Goods Associati n�tb Nationa� � p��s in the , the follo � tatistics: Utilizin State of Ca��fornia, �'�ng charts �]�ustrate rhe g �nfor State of mation frorn the C'alifor Participation numbers in reported by the Na iona]Sticipation po�1n numbers in se�ected g Goods Association in �ndoor and outdoor s or Table T—California P 2008. � ts - As artici ation Rates Sport Catifornia p articiparion Ag� Grou Exercise Walking in thousands Swimmin 11,957 p Larg�st�ru��er Exercisin 7,360 45-54 g�'�Equ�pment �_11 � 45-54 Work-Out at Club g�034 35-4q Weight Lifting 4,551 25-34 25-34 25-34 Aerobic Exercising 5'268 25-34 25-34 Running/Jogging 5,289 25-34 5,516 18-24 25-34 Basketball 25-34 Soccer 3,088 1z 17 25-34 1,867 12-17 Baseball �-11 7-1 1 Softball 2,161 7-11 7-11 Tennis 1,710 7-11 2,416 25-34 Vol leyball 12'1� 12-17 1,525 ]2-17 12-17 Skateboarding 1,528 12-17 25-34 California Participation: "The number of people (in thousands) in California who participated more than once in the activity in 2008 and are at least 7 years of age. Age Croup: The age group in which the sport is most popular or in other words, where the hig�hest percentage of the age group participates in the activity. (Example: The highest percent of an age group that participates in exercise walking is 55-64.) This is a national statistic. Largest Number: The age group with the highest number of participants. Example: The greatest number of exercise walkers is in the 45-54 age group. (Note: This statistic is driven more by the sheer number of people in the age group than by the popularity of the sport in the age span.) This is a national statistic. �-- ,, ,�� BAI,I�RD�I�ING� l _ i �� 1 s ,� u c, t a 'r lt s i, 'I' » Page s� ----._--.__ _ . a Q��;T��, �,E . _ _ _ N-��R pp `_``------_. ER�,Tj��-S S C'ity� of�J'<rini DE�s�ert �U�Y , Califo�-nia �,� Californ�a s the United �°rr P�rcentagE o f part��i States; pat�on �� mpared witb the Aopulation California's population re percenta estirnates fro Presents ]2.I% �e of m ESRI and the Census B �f t�e �'Opulation ureau), of the United States Table U_Ca��fornia P �based on 2009 artici ation Correlation �port �'�rtic�A an Tennis percenta es Skateboarding 19.1% Running/,1ogg�n� l 5.6% Aerobic Exercising 15.4% Baseball 14.6°�0 Weight Lifting 14•2% Softball 14.�% Exercising w/Equipment 13•30 0 Volleyball 12'g/° 12.5% Exercise Walking 12.4% Soccer 12 1% Swimmin 11.6% Work-Out at Club 11.6% Basketball 10.4% Note: Sports participation percentages refer to the total percent of the national population that paI�lClpateS lri a Sport that comes from the State of California's population. The fact that the rate of participation is slightly lower in swimming than the percentage of the population indicates a possible lower rate of use of an aquatic center when using overall state numbers. Page 88 - IA�D�K.tNtT , `� � ��- � � �, �� _�� + A `+ y u �', I � '(' N'. S 1, -. AQUATI� CENTER OPERATIONS STUDY �� City of'P�clm Desewt, Cu/if'orn��x California sport percentage of participation compared with the population percentage of the United States: California's population represents 12.1% of the population of the United States (based on 2009 estimates from ESRI and the Census Bureau). Table U — California Participation Correlation Sport Participation Percenta es 1'ennis 19.1% Skateboarding l 5.6% Running/Jogging 15.4% Aerobic Fxercising 14.6% Baseball 14.2% Weight Lifting 14.0% Softball 13.3% Exercising w/ F_,quipment 12.8% Volleyball 12.5% Exercise Walking 12.4% Soccer 12.1% Swimmin 11.6% Work-0ut at Club 11.6% � Basketball 10.4% Note: Sports participation percentages refer to the total percent of the national population that participates in a sport that comes from the State of California's population. The fact that the rate of participation is slightly lower in swimming than the percentage of the population indicates a possible lower rate of use of an aquatic center when using overall state numbers. _-- -� �) _ i �iAI1.A�1)�I�N�, 1'a�e S$ . 1'� _l .v 1 s � u �; i � 'r H: ,5 i 'r n AQUATIC CENTER QPERATICIN� STUDY City� o f PaCn� Desert, Cali orni�r �� • .f Recreation Expenditures Spending Potential Index: In addition to participation in recreation activities, ESRI also measures recreation expenditures in a number of different areas and then indexes this against national numbers. The following comparisons are possible. Table V—Recreation Expenditures Spending Potential Index Prima Service Area SPI Av�ra e S ent Fees for Participant Sports 136 $150.71 Fees for Recreational Lessons 102 $133.37 Social, Recreation, Club Membership l37 $234.58 Exercise Equipment/Game Tables 78 $78.00 Other Sports Equipment 104 $11.39 State of California SPI Avera e S ent Fees for Participant Sports � 121 $134.32 Fees for Recreational Lessons 127 $165.48 Social, Recreation, Club Membershi 120 $204.78 � � Exercise Equipment/C'lame Tables 85 $84.54 Other Sports Equipment 120 $13.09 Average Amount Spent: The average amount spent for the service or item in a year. SP1: Spending potential index as compared to the national number of 100. �--� - _; I�� B'A.T.�I.IAR.D�I�TN(;� �a�e sy � � _l .c� �� suc�. � a 'rH' � �, 'ri> AQUATIC CENTER OPERATIONS �TUDY City of Palnz Desewt, (,�ali ��nia �� • .f Chart J—Recreation Spendin� Potential Index i(Sil . l,�C r j-� i-+�, �,i _. �� , l,c� 1�t� tQ:� _ Z_o 1�� 1 f'llti �If3 �1d.7 .E ClU 1 f�-4 1()t7 wf.) '� _�'i , ,, _ f.i(.! ; ' ` �Il : e, �il ' i1 Fce,�;fnr Fs��rticap,7i�k Fce��foa P.�eci�e,itioii�il �;c�c ial.Retr�:iti�,u. E�,erc i�,c c}tlier�:��it�� "�pi,��r�� L�,�ou� f''I��ly hieitrber��l�ip E��tripnreait��(:.}atrre Ei�iii�7nre��t ( Tal71e� I �F"i�irnsriti tierc��ic� a�� 7lrf�,i�iia �N,�tif,�a��l __� � __._........................_............................................................_................................: The SPI index indicates that in all areas the rate of spending is higher than the state average and the National Spending Potential Index (SPI) of 100. This information is very important when determining a price point for activities and cost recovery philosophy. It is also important to note that these dollars are currently being spent, so the identification of alternative service providers and the ability of another facility to capture a portion of these dollars will be important. , '�) . I B�I�I�l-�.ZiU�I�NG 1'a�e 90 . � l�__ �4 ,� .5 .5 o c i .a �r r,: s r. �r u AQUATIC �FNT�R tJPFRATI(�NS STUDY C.ity of'Pal�rt Desert, Ca/i ornra �� .f Map E - Entertainment/Recreation Total Dollars Spent bv Census Tract � } � �� -� � �: � �;�� l � V "�il!i��i li I�I ��,i , ,I a 7i I I I � I, �i �r �I II `� I� II� �� li' III � ...,,. +r,:��,�; i . ';y�t,: "�n � '�, i�I I� � �, A �`,,. �, � �- 3 � � 3 J A , � �,`�N,e � � , a��,.,c A- �m � � �� , �� ,,;:�,; ' �; � �� .�. ��,• �.�� W ''�'� �, ,� �'I, �I �, , � 3 3V ��3�� M,. ��: � ��.,��. Er°,t�rt;�rin�wxcnt/Reex�+aat�r�«trrt by��rry�sua�"Crt�is , 5+�,5�6.6�i7 � �3�.�29.5t7� �`': S�,3fi3��5 . ��.Sf+�s.66� '•_ fi�,383.�79- SS,3fs3,t7S4 . �3,:i�3,��3 � ��t3�:3,31t3 . �i.:.:�i,��'J'• 3;3.,1'iJ,I�U ib%�j BAI�I�IRD�I�IN(T ,. 1� �I v � s ,� u c i ,� �r ��: .5 �. .�, i� I age 91