TASK 7 – FINANCIAL PLAN & PROJECTIONS [A]

This Task commenced in Task 5 and will be finalized in this Task (Task 7). It will consider the initial work done by all parties and will result in finalized financial projections, considering revenue, expenses and profit from each business element as well capital improvement assumptions prepared by HPI.

Based on the market data and demand projections, working closing with the Executive Management Team and the Audit Consultant, the Consulting Team will prepare a 10-year operating pro forma for the proposed OCFEC initiatives discussed in the previous tasks. The model will list all revenues and fixed and variable expenses in line-item detail throughout the period of the projection, and include data for each individual type of business use initiative.

The analysis will document OCFEC’s approach to delivery of services, such as staffing, food and beverage, parking, and other major line items affecting the operation, thus providing the District with a clear understanding of how the initiative will earn and spend money, fit into the broader operations of the OCFEC, and what the expected financial picture will be at the end of each year. To the extent that public dollars are to be used to support operations, capital improvements, or other items, these sources will also be considered and integrated into the financial analysis.

We will also offer a specific discussion regarding revenue sources that are available to public assembly facilities, including benefactor naming rights and other specialized revenue streams, such as advertising, and based on market conditions.

The Team will outline potential funding sources that could be considered for the proposed OCFEC business initiative, as well as for ongoing operating support, that will consist of a detailed analysis for each option. These approaches may include private investments, incentives, sales, meals and room taxes, Tax Increment Finance Districts, revenue bonds, empowerment/enterprise zones, tax-exempt bonds, and taxable bond revenue streams, among other tools.

[A] The documents regarding the work performed may have been disposed of or in the custody or control of another unnamed state or local agency or may not be able to be located according to CEO Kathy Kramer.