BOARD OF REGENTS BRIEFING PAPERsystem.nevada.edu/tasks/sites/Nshe/assets/File/BoardOf... · 2016....

BOARD OF REGENTS BRIEFING PAPER

Agenda Item Title: University of Nevada, Reno Mackay Stadium Improvement Project Meeting Date: December 4 - 5, 2014

1. BACKGROUND & POLICY CONTEXT OF ISSUE: The University of Nevada, Reno, proposes to substantially renovate Mackay Stadium at an estimated project cost of $11.5 million. Construction includes new premium seats and boxes, a full-service Stadium Club, additional public restrooms and limited renovation of the existing west and east side boxes. While much preliminary planning has already been completed, final design work would commence upon receipt of bond proceeds in March of 2015. Construction bidding would take place in the fall of 2015 and actual construction would commence immediately following the 2015 football season to be ready for the 2016 season. Marketing of the new premium seats and boxes, which are the primary sources of debt service, will take place throughout much of 2015 and 2016. Background The original lower bowl of Mackay Stadium, built in 1967, has not been significantly improved or updated since initial construction. The last stadium improvements, the addition of west side skybox suites and press box, occurred in 1996. The stadium requires significant renovation to improve safety, increase ADA access, enhance fan amenities and offer new revenue opportunities for Intercollegiate Athletics (ICA). Mackay Stadium currently ranks in the lower half of the Mountain West Conference football stadiums in terms of fan seating and revenue generation. In September of 2012, ICA commissioned a feasibility study, conducted by a national stadium marketing firm, CSL International, to determine the northern Nevada community’s interest in supporting a major stadium improvement project. Over 2,600 individuals responded to the survey. Additionally, CSL held a series of fan focus groups to confirm the findings from the survey. Overall, the feasibility study found there was significant community interest in financially supporting a stadium improvement project that would materially improve the game day experience.

In addition to enhancing fan days, the new premium seating model will generate an increase in incremental seating revenue that will strengthen the athletic program’s financial position to help meet the fiscal challenges of the future. While ICA’s current plan to reduce and eliminate its accumulated operating deficit remains rooted in guaranteed revenue through Mountain West Conference distributions, new revenue from the stadium improvements may provide additional sources to hasten the elimination of the deficit. Project Scope The major elements of the Mackay Stadium Improvement Project will include the following (Exhibit 1):

Bleacher excavation, widening of aisles and handrails in the seven lower bowl sections Installation of 4,062 chair back seats 30 new Club Level suites 192 new Club Level seats Expansion of existing east side suites to include new patio seating Limited renovation of existing west side skyboxes

(INVESTMENT AND FACILITIES COMMITTEE 12/04/14) Ref. IF-5, of 28

New 8,500 square foot Stadium Club (full service kitchen with year-round rental potential) Installation of additional public restroom facilities (exact location and fixture count to be finalized

during design) Installation of additional ADA ramps and enhanced seating

Project Cost Estimate The estimated cost of the total project is $11.5M (Exhibit 2). Financing Plan The University worked with NSHE’s financial adviser (JNA Consultants, L.L.C.) and its bond/tax counsel (Sherman & Howard, L.L.C.) to help structure the appropriate financing for this project. The proposed financing is for a tax-exempt 15-year revenue bond, in an amount not to exceed $12.0 million (Exhibit 3), with annual debt service payments of approximately $1,030, 000. The primary sources of repayment are two-fold:

1. ICA has secured two $1 million cash gifts from two longtime University foundation

benefactors and Wolf Pack supporters. Payments are to be received over 6 years, beginning in 2015. These gifts will be applied to the 2016 - 2020 bond debt service payments, and represent nearly one-half of the total bond payments for those years.

2. Ongoing incremental revenues generated from the new premium seating inventory and the new pricing structure, (Exhibit 4) which commences in 2016.

During the initial 5 years of the project, the University projects average annual revenue of $2.6M (Exhibit 5) from revised ticket/premium seating revenue and foundation donations. The foundation donations cease by the end of CY 2020 at which time ticket/premium seating revenue becomes the sole source for debt retirement. With the enhanced seating and other improvements, season ticket prices will essentially double in the renovated sections under this proposal, but will remain below the average for the Mountain West Conference (Exhibit 6). Projected ticket revenues also include a 3% annual price escalation. A total of 4,062 chair back seats will be available in the sections undergoing renovation. Currently, there are 4,600 season ticket holders in these sections. ICA will need to sell just over 3,000 season tickets at the higher pricing structure to achieve its 75 percent sell-through goal. A 75 percent sell-through is estimated to generate net revenue of $8.3M over the 15-year life of the financing. It is also very important to note that over 15 years the project breaks even with just a 59 percent sell-through. (Note: Ongoing discussions with Sherman & Howard L.L.C. indicate the potential for some amount of taxable bonding with this project depending upon their final determination of the percentage of ‘private use’ involved in the project. However, given the amount of any potential taxable financing and the current low borrowing rates, any additional amount to debt service payments would be small. The uncertain but potential need for such taxable bonds is included in the requested Bonding Resolution.) Premium Seat Marketing Plan (Exhibit 7) A project of this scope requires a tremendous amount of planning and marketing including pro-active messaging so that current and prospective Wolf Pack fans have a solid understanding of the project and its features and impact. A comprehensive campaign will communicate and promote the renovation project to current, previous and potential customers in order to generate as much understanding and enthusiasm as possible to drive sales, while also dispelling any misperceptions surrounding the project and campaign.


Subject to Board of Regents’ approval at the December 2014 meeting, ICA will begin to meet extensively with focus groups of donors, season ticketholders and key influencers to present the project in advance of developing the final messaging. Doing so will allow ICA to refine its process and identify potential questions and methods of messaging. ICA will begin in earnest its overall marketing and messaging plan in early 2015, paving the way for the ensuing sales efforts that will take place later in 2015 and throughout much of 2016. 2. SPECIFIC ACTIONS BEING RECOMMENDED OR REQUESTED: University of Nevada, Reno President Marc A. Johnson requests approval of 1) The Mackay Stadium Improvement Project and 2) a Bond Resolution for a tax-exempt, 15-year revenue bond, in an amount not to exceed $12.0 million.

3. IMPETUS (WHY NOW?):

If approved now, ICA has an opportunity to enhance revenue generation through the Mackay Stadium Improvement Project in time for the start of the 2016 football season.

Interest borrowing rates are extremely low and the University would like to take advantages of the current interest rate environment.

In order to share in any cost savings associated with a single, larger NSHE bond issuance (underwriting costs, issuance costs, etc.), the University would like to join with another NSHE institution seeking project bonding and with NSHE seeking a bond refunding, all to be considered at the December 2014 Board of Regents meeting.

4. BULLET POINTS TO SUPPORT REQUEST/RECOMMENDATION:

Responds to longstanding requests from alumni, fans and the community at large to upgrade

safety, ADA access, hospitality options and other amenities at Mackay Stadium events. Increased revenue opportunities to help support ICA programs and operations.

5. POTENTIAL ARGUMENTS AGAINST THE REQUEST/RECOMMENDATION: Excluding any allowance for new premium ticket sales, nearly one-half of the annual bond debt service payments have already been secured through 2020 from Foundation gifts alone. Longer term, however, it is impossible to know what ticket sales alone may be and any material shortfall in revenue projections after 2020 may require the use of other institutional resources in order to make the required bond payments. 6. ALTERNATIVE(S) TO WHAT IS BEING REQUESTED/RECOMMENDED: The alternative would be to maintain MacKay Stadium in its status quo, sub-standard condition which would adversely impact both the fan experience and the ability of ICA to generate a new revenue source to help fund and grow its programs and operations in the future.


7. COMPLIANCE WITH BOARD POLICY: X Consistent With Current Board Policy: Title #4 Chapter #10 Section #25 Amends Current Board Policy: Title #_____ Chapter #_____ Section #_______ Amends Current Procedures & Guidelines Manual: Chapter #_____ Section #_______ Other:_____________________________________________________________________ X Fiscal Impact: Yes X__ No_____ Explain: Issuance of up to $12 million in tax-exempt, 15 year revenue bonds with annual debt service payments of approximately $1,030,000.


4

Exhibit1

Enhanced Chair Back Seating - West Side


West Side Chair Back Seating (Cont.)


5

New Club Level Seating


West Side Club Boxes


6

New Stadium Club


8

New ADA Accessible Ramps and Seating


East Side Chair Back Seating


East Side Chair Back Seating (Cont.)


East Side Club Box and Patio Seating


Exhibit 2


Preliminary, subject to change

JNA Consulting Group, LLC 10/21/2014

Nevada System of Higher EducationUniversities Revenue Bonds, Series 2015A

(UNR Mackay Stadium Improvements)Sources & Uses of Funds

Sources of Funds:Par Amount $10,785,000.00Original Issue Prem/(Disc) 1,249,620.30Cash Contribution 0.00

---------------Total Sources of Funds $12,034,620.30

Uses of Funds:Construction Funds $11,502,734.77Capitalized Interest 1/ 353,021.53Initial Escrow Deposit 0.00Unrestricted Escrow Cost 0.00Restricted Escrow Cost 0.00Net Underwriting 107,850.00Insurance 0.00Issuance Costs 71,014.00Miscellaneous 0.00

---------------Total Uses of Funds $12,034,620.30

Bond StatisticsTIC 2.78457%Bond Yield 2.66982%Arbitrage Yield 2.86307%Weighted Average Life 9.455Underwriter's Spread 1.000%Costs as % of Par 1.658%

1/ Capitalized interest through January 1, 2016.

EXHIBIT 3



JNA Consulting Group, LLC 10/21/2014

Nevada System of Higher EducationUniversities Revenue Bonds, Series 2015A

(UNR Mackay Stadium Improvements)Debt Service Schedule

Capitalized Semi-Annual AnnualDate Principal Rate Interest Interest Debt Service Debt Service

03/12/201507/01/2015 $133,146.53 ($133,146.53) $0.00 $0.0001/01/2016 219,875.00 (219,875.00) 0.0007/01/2016 219,875.00 219,875.00 219,875.0001/01/2017 219,875.00 219,875.0007/01/2017 $585,000 4.000% 219,875.00 804,875.00 1,024,750.0001/01/2018 208,175.00 208,175.0007/01/2018 610,000 4.000% 208,175.00 818,175.00 1,026,350.0001/01/2019 195,975.00 195,975.0007/01/2019 635,000 4.000% 195,975.00 830,975.00 1,026,950.0001/01/2020 183,275.00 183,275.0007/01/2020 660,000 4.000% 183,275.00 843,275.00 1,026,550.0001/01/2021 170,075.00 170,075.0007/01/2021 685,000 4.000% 170,075.00 855,075.00 1,025,150.0001/01/2022 156,375.00 156,375.0007/01/2022 715,000 4.000% 156,375.00 871,375.00 1,027,750.0001/01/2023 142,075.00 142,075.0007/01/2023 745,000 4.000% 142,075.00 887,075.00 1,029,150.0001/01/2024 127,175.00 127,175.0007/01/2024 775,000 4.000% 127,175.00 902,175.00 1,029,350.0001/01/2025 111,675.00 111,675.0007/01/2025 805,000 4.000% 111,675.00 916,675.00 1,028,350.0001/01/2026 95,575.00 95,575.0007/01/2026 835,000 5.000% 95,575.00 930,575.00 1,026,150.0001/01/2027 74,700.00 74,700.0007/01/2027 880,000 4.000% 74,700.00 954,700.00 1,029,400.0001/01/2028 57,100.00 57,100.0007/01/2028 915,000 4.000% 57,100.00 972,100.00 1,029,200.0001/01/2029 38,800.00 38,800.0007/01/2029 950,000 4.000% 38,800.00 988,800.00 1,027,600.0001/01/2030 19,800.00 19,800.0007/01/2030 990,000 4.000% 19,800.00 1,009,800.00 1,029,600.0001/01/2031 0.00 0.0007/01/2031 0.00 0.00 0.0001/01/2032 0.00 0.0007/01/2032 0.00 0.00 0.0001/01/2033 0.00 0.0007/01/2033 0.00 0.00 0.0001/01/2034 0.00 0.0007/01/2034 0.00 0.00 0.0001/01/2035 0.00 0.0007/01/2035 0.00 0.00 0.00

--------------- --------------- --------------- --------------- ---------------$10,785,000 $4,174,196.53 ($353,021.53) $14,606,175.00 $14,606,175.00


EXHIBIT 4

Section Quantity Price* Required Donation* Total Cost Tickets Revenue Donation Revenue Total Revenue

East Side Boxes 12 $4,000 $25,000 $29,000 $48,000 $300,000 $348,000

Club Suites 26 $800 $7,200 $8,000 $20,800 $187,200 $208,000

Club Seats 234 $200 $1,000 $1,200 $46,800 $234,000 $280,800

D 594 $200 $350 $550 $118,800 $207,900 $326,700

C 550 $200 $300 $500 $110,000 $165,000 $275,000

E 550 $200 $300 $500 $110,000 $165,000 $275,000

B 550 $200 $200 $400 $110,000 $110,000 $220,000

F 594 $200 $200 $400 $118,800 $118,800 $237,600

J 612 $200 $325 $525 $122,400 $198,900 $321,300

K 612 $200 $325 $525 $122,400 $198,900 $321,300

Total $928,000 $1,885,700 $2,813,700

100% Sell Through

UNIVERSITY OF NEVADA, RENO - MACKAY STADIUM RENOVATION

TICKET REVENUE PROJECTIONS


*Ticket prices and required donation amounts have not been finalized. These numbers are presented for the purpose of revenue projections.


EXHIBIT 5

75%

Sell Through 75% 75% 75% 75% 75% 75% 75% 75% 75% 75% 75% 75% 75% 75% 75%

Calendar Year > 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030

Revenue: Tickets + Seat Donation $2,110,275 $2,173,583 $2,238,791 $2,305,954 $2,375,133 $2,446,387 $2,446,387 $2,595,372 $2,673,233 $2,753,430 $2,836,033 $2,921,114 $3,008,748 $3,099,010 $3,191,980

Cord Foundation $250,000 $250,000 $250,000 $250,000

Hart Foundation $250,000 $250,000 $250,000 $250,000

Total Revenue $250,000 $2,360,275 $2,673,583 $2,738,791 $2,555,954 $2,625,133 $2,446,387 $2,446,387 $2,595,372 $2,673,233 $2,753,430 $2,836,033 $2,921,114 $3,008,748 $3,099,010 $3,191,980

Less Current Revenue 1,203,325 1,203,325 1,203,325 1,203,325 1,203,325 1,203,325 1,203,325 1,203,325 1,203,325 1,203,325 1,203,325 1,203,325 1,203,325 1,203,325 1,203,325

Net Lift $250,000 $1,156,950 $1,470,258 $1,535,466 $1,352,629 $1,421,808 $1,243,062 $1,243,062 $1,392,047 $1,469,908 $1,550,105 $1,632,708 $1,717,789 $1,805,423 $1,895,685 $1,988,655

Less Staffing $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

Less Marketing $0 $100,000 $25,000 $10,000 $10,000 $10,000 $10,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000

Less Debt Repayment $0 $219,875 $1,024,750 $1,026,350 $1,026,950 $1,026,550 $1,025,150 $1,027,750 $1,029,150 $1,029,350 $1,028,350 $1,026,150 $1,029,400 $1,029,200 $1,027,600 $1,029,600

Net Revenue $250,000 $837,075 $420,508 $499,116 $315,679 $385,258 $207,912 $210,312 $357,897 $435,558 $516,755 $601,558 $683,389 $771,223 $863,085 $954,055

15 Year Revenue Total $8,309,381

Average Annual Net Rev $553,958.76

59%

Sell Through 59% 59% 59% 59% 59% 59% 59% 59% 59% 59% 59% 59% 59% 59% 59%

Calendar Year > 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030

Revenue: Tickets + Seat Donation $1,660,083 $1,709,885 $1,761,182 $1,814,018 $1,868,438 $1,924,491 $1,982,226 $2,041,693 $2,102,943 $2,166,032 $2,231,013 $2,297,943 $2,366,881 $2,437,888 $2,511,024

Cord Foundation $250,000 $250,000 $250,000 $250,000

Hart Foundation $250,000 $250,000 $250,000 $250,000

Total Revenue $250,000 $1,910,083 $2,209,885 $2,261,182 $2,064,018 $2,118,438 $1,924,491 $1,982,226 $2,041,693 $2,102,943 $2,166,032 $2,231,013 $2,297,943 $2,366,881 $2,437,888 $2,511,024

Less Current Revenue 1,203,325 1,203,325 1,203,325 1,203,325 1,203,325 1,203,325 1,203,325 1,203,325 1,203,325 1,203,325 1,203,325 1,203,325 1,203,325 1,203,325 1,203,325

Net Lift $250,000 $706,758 $1,006,560 $1,057,857 $860,693 $915,113 $721,166 $778,901 $838,368 $899,618 $962,707 $1,027,688 $1,094,618 $1,163,556 $1,234,563 $1,307,699

Less Staffing $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

Less Marketing $0 $100,000 $25,000 $10,000 $10,000 $10,000 $10,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000 $5,000

Less Debt Repayment $0 $219,875 $1,024,750 $1,026,350 $1,026,950 $1,026,550 $1,025,150 $1,027,750 $1,029,150 $1,029,350 $1,028,350 $1,026,150 $1,029,400 $1,029,200 $1,027,600 $1,029,600

Net Revenue $250,000 $386,883 -$43,190 $21,507 -$176,257 -$121,437 -$313,984 -$253,849 -$195,782 -$134,732 -$70,643 -$3,462 $60,218 $129,356 $201,963 $273,099

15 Year Revenue Total $9,691

AVERAGE Sell Through %

ANNUAL CASH FLOW - MACKAY STADIUM RENOVATION

Minimum Sell-Through Percentage at Proposed Pricing Structure

Assumption

AVERAGE Sell Through %

Assumption


EXHIBIT 6

School Price Point Ticket Price Required Donation Total Price Primary Seating StyleFresno St High 230.00$ 1,230.00$ 1,460.00$ Chairback

Boise St High 390.00$ 465.00$ 855.00$ Chairback

San Jose State High 210.00$ 500.00$ 710.00$ Chairback

Wyoming High 198.00$ 500.00$ 698.00$ Bench

Utah State High 175.00$ 500.00$ 675.00$ Chairback

Colorado St High 225.00$ 400.00$ 625.00$ Chairback

UNIVERSITY OF NEVADA, RENO - PROPOSED High 200.00$ 350.00$ 550.00$ Chairback

New Mexico High 180.00$ 250.00$ 430.00$ Bench

Hawaii High 145.00$ 230.00$ 375.00$ Chairback

San Diego State High 210.00$ 150.00$ 360.00$ Chairback

University of Nevada, Reno - Current High 170.00$ 125.00$ 295.00$ Bench

UNLV High 215.00$ -$ 215.00$ Bench

Air Force High 200.00$ -$ 200.00$ Temp Chairback Provided

Conference Average (excluding UNR) 600.00$

MOUNTAIN WEST CONFERENCE

SEASON TICKET PRICES, HIGHEST PRICE POINT

FISCAL 2015


MACKAY STADIUM IMPROVEMENT PROJECT OUTREACH PLAN

Campaign Elements Once the public communications phase begins, athletics will incorporate the following elements to be

used to communicate and promote the Renovation Project in an effort to create excitement and

ultimately drive sales.

Brochures & Direct Mail: Athletics will design a brochure piece that highlights the project and price

points and will be sent directly to both current and previous ticket purchasers. Additionally, these

brochures would be used for:

Use in sales meetings with customers

Leave behind at events, meetings, etc.

Additional direct mail pieces may be utilized as well and will be sent to additional zip codes starting with

89511 and moving down the list accordingly.

Print Advertising: A print advertisement highlighting the new seating renovations, price points and

features will be created for use in local newspapers. Depending on funding, additional local magazines

and print media may be included.

Website: Athletics will construct a website dedicated to the renovation. This website will include, at

minimum:

Animated drawings/fly-throughs of the renovated stadium

In depth looks at what the new sections/suites will look like

Video interviews with key people talking about the importance of the renovation

Pricing information

Opportunity to sign up to purchase

Pricing tool, allowing fans to see what their seats will cost

Digital & Online Advertising: Digital ads will be created for use in various online media outlets dedicated

to promoting the renovation project and driving fans to the website in order to inform them of the

project. These ads would include:

Email

Social Media (Facebook, Twitter, Instagram)

Purchased ads on Facebook

Ads/pieces for use on the MW Network

Potential Retargeting Campaign across numerous sites

EXHIBIT 7


Paid Media/Broadcast Advertising: Both television and radio spots will be created highlighting the new

seating renovations and its benefits, driving fans to call or visit the website for more information.

These ads will run on 2-3 local stations, depending on available funds.

Free Media: Local media will be utilized to help create interest around this project and to help us

effectively communicate OUR message in a positive manner to the community. We will be transparent

in these efforts and will communicate via the following:

Press Conference announcing the project

Press Release announcing the project

Group Informational Interview with the media in which we will go in-depth into how the

reseating process will work, share how we arrived at pricing, etc.

Schedule Key Personnel to do appearances on local TV and Radio throughout the campaign.

Town Hall Meetings: Athletics will conduct group meetings with current season ticketholders

(segmented by current seating section) so that we can walk them through the changes and

communicate our messages in a controlled environment, ensuring they understand the through process

and options. We want them to be able to express concerns in this environment, but must also work to

change any negative feelings to positive feelings by being transparent about our objectives and also be

communicating how we arrived at decision (through exhaustive research and fan feedback).

Key Influencers: Set meetings with groups of major influencers within the community. The purpose of

these meetings will be to inform these influencers of our messaging so that they can help communicate

the message, generate excitement and answer questions (or squash negative buzz). Groups included in

these meetings will be:

AAUN

Business Leaders Group

Athletic Department Staff

Key Campus Constituents

Ambassadors

Chamber of Commerce

EDAWN

RSCVA

Speaking Engagements: Senior Athletic Officials will seek speaking opportunities to larger groups,

including Service Organizations (Rotary, Kiwanis, Lions) and other public gatherings.

Current Target Markets Data collected from previous ticket sales indicate that two zip codes encompass the majority of ticket

sales and are shown below. Also shown is the next eight zip codes that have significant ticket sales. Due


to this disparity, the majority of marketing activities will be directed to these specific zip codes and

areas.

Zip Code # of Tickets

89511 1104

89509 886

89502 469

89436 443

89523 430

89557 400

89521 374

89431 352

89503 344

89519 332

89434 259

New Markets Other than the selected 10 zip codes, new opportunities may arise to expand to new areas that were not

previously targeted. Due to the increased price structure of the newly renovated seating sections, areas

with a higher income level may need to be targeted. Expanded targeting of the Tahoe basin and the

surrounding areas could increase ticket sales of the seats in the higher end of the pricing structure.

Alumni Nevada has a strong Alumni base living in the area and they represent a strong market to target for

ticket sales of the newly renovated seats. Although Nevada ranks 9th in the Mountain West conference

in terms of number of living alumni, that rank is misleading. When compared to the total area

population, Nevada has one of the largest percentages of living alumni in the conference.

The Alumni in the area are best reached through the same channels that are currently being used by the

university and the athletics department. Alumni specific advertisements will be created and distributed

through these channels.

Corporate Base The corporate base in Nevada serves as an opportunity for increased sales of the renovated seating

sections. As seen by previous ticket sales, corporations in the area typically buy multiple tickets per year


to give to employees or for owners/managers and key customers. Nevada ranks 4th in the conference

for corporate base in its respective region.

The corporate base is best first reached by creating a corporate specific advertisement highlighting the

business benefits of entertaining clients and rewarding employees with Nevada Wolf Pack tickets. This

appeal will be sent first to current sponsors through Wolf Pack Sports properties, then to previous

corporate ticket purchasers, followed by other large corporations in the area who have not previously

purchased tickets. By increasing the marketing emphasis on Reno’s corporate base, athletics can

increase its sales of multiple tickets and expand its long term customer relationships.

Additional Proven Target Markets In addition to the newly defined demographics below, it will be important to also focus on audiences

that have previously demonstrated an interest in purchasing football and other sport tickets in the past:

Football Season Ticketholders who may want to upgrade their seats to the newly renovated

areas.

Football Partial Plan Buyers

Football Single Game Buyers

Football Alumni

Non-Football Athletic Department Lists

All other sports ticketholders

All other sports donors

Varsity Club

Campus Lists

Campus donors (not involved in athletics)

University Faculty/Staff

Community Lists

NSHE Faculty/Staff

Community Groups (Chambers, Clubs. EDAWN, etc.)

SEAT RELOCATION The Seat Renovation project is designed to begin a long-term effort to upgrade Mackay Stadium and offer fans better amenities and an improved game day experience. In order to accomplish this however, it will require the removal of approximately 4,000 seats within areas of the stadium. This is a significant amount of attrition. We truly value our season ticketholders and will work hard to provide them with every opportunity to renew in their current section, or, have options to upgrade or relocate. The following process will be implemented to ensure a fair approach to seating options.

1) Season ticketholders seated in sections to be renovated will have first right to renew within their current section. For example, a ticketholder in section C will have first right to seats in that section prior to any other ticketholder.


2) Assignment of renovated seats will be done using Wolf Pack Loyalty Points. The person with the highest priority points in each section of the stadium will get first access to choose the seats of his/her choice. Then, we work down the priority point list till each season ticket holder in that section has access to seats. Or, it is sold out.

3) Once each current season ticketholder, in priority point order, gets access to seats in that section, and there are still open seats available, people with the highest priority points in other sections get access to that section and can choose the seats that they want.

4) If, during priority point seating in a particular section, the customer desires to move to another section, they must wait till seating of current season ticket holders is done in that section before they can choose seats.

Rationale:

1) It allows us an order and system to give access to certain seats. 2) It gives customers a good description of the process. 3) It allows us to give each customer the chance to keep their seats, based on priority points, so

they do not have to move to another location if they do not want to (unless demand exceeds supply).

Requirements:

1) Need as up to date a priority point system as possible when the seating system is announced. 2) Priority points need to be organized by customer in each section of the stadium. 3) May restrict access to seats in section D.


STADIUM SALES PLAN

Sales Campaign Phases and Structure Phase 1: Club Seats and Loge Boxes (not existing inventory…no current seat holders to seat)

a. First Access - Highest priority point holders regardless of current season ticket locations. Top 100 donors should get first access

b. Second Access - Highest priority point list that is not top 100. c. Third Access- Next tier of donors d. General Public

Phase 2: East Side Suites

a. First Access - Current suite holders will have first right to renew their current box. b. Second Access – Current season ticketholders from other sections in loyalty point order. c. Third Access – Non season ticketholders in loyalty point order d. General Public

Phase 3

1) Sections will be sold in the following order: Section D, Sections C and E, Sections J and K, and Sections B and F

a. First Access - Current season ticketholders in this section (in loyalty point order). b. Second Access –Season ticketholders from other sections who were displaced (previous

section sold out before they were seated) in loyalty point order c. Third Access – Current season ticketholders from other sections. d. Fourth Access – Non season ticketholders in Loyalty Point Order e. General Public

Rationale:

1) It allows us an order and system to give access to certain seats. 2) It gives customers a good description of the process. 3) It allows us to give each customer the chance to keep their seats, based on priority points, so

they do not have to move to another location if they do not want to (unless demand exceeds supply).

Requirements:

1) Need current/accurate priority point system when the seating system is announced. 2) Priority points need to be organized by customer in each section of the stadium.

Staffing There will be a fully dedicated sales and marketing Team consisting of seven individuals. Additionally,

the Development staff, made up of five individuals, will work closely with both the sales and marketing


team and the donor base to ensure strong communications and a smooth transition in the messaging,

seat relocation and seat sales processes.


BOARD OF REGENTS BRIEFING PAPERsystem.nevada.edu/tasks/sites/Nshe/assets/File/BoardOf... · 2016....

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