1989 economic feasibility study

8/12/2019 1989 Economic Feasibility Study

1/31

\t

THE

INTERIOR

DIVISION

BRANCH

,, DENVER

pnrhsst

JUNE 19&9'


2/31

I

CONTENTS

INTRODUCTION

].

Purpose

1

Methodology

1

BACKGROUND

2

History

2

Visitation

3

Surveys

3

Chamber

of

Comrnerce

3

Winter

Use

SurveY

6

Local

Interviews

I

ANALYSIS

L2

Current

Operation

L2

Profitability

Factors

L2

Loca1

Assistance

L4

other

Comparabl-e

Ski

Areas

in

Colorado

IV.

CONCLUSIONS

]-6

PPENDIXES

L7

1: Letter

of

Request

''' B

2z Breakdown

of survey

Answers

20

3: .List

of Inteiviews'

26

4z

Pro Forma

of

Current

OPerations

II.

III.

L4

30


3/31

I

INTRODUCTION

PURPOSE

The

Concessions

Branch,

Denver

Service

Center

(DSC),

received

a

memorandum

dated Aug ust

23,

l-988, from

the

Acting

Chief

,

Division

of

Concessions,

Rocky

Mountain

Region,

reguesting

an

economic

feasibility

study

for

the

Hidden VaIIey

Ski

Area

(now

call-ed

Ski

Estes

Park), t

Rocky

Mountain

National

Park

(See

appendix

1)

-

The concessions

services

at this

area

were authorized

by

a

Special

Use

Pernit

which

expired May

31, 1989.

METHODOI-oGY

Representatives

from

the

Rocky

Mountain

Regional

Office

and

the

Denver

Service

Center

rnet

three

times

with

park

staff at the

park

in

the early fatl

to

determine

the

scope

of

the work for

the

feasibility study.

A

profile of the visitor

was

not

avail-able

so

the

DSC

designed

a

survey

(see appendix

2) to help identify

the

visitor at Ski

Este-s

Park.

Volunteers

at

ski

Estes

Park

administered

the

survey.

A representative

from

the

DSC

Concessions

Branch

participated

in

the

survey

in January

and

March.

This

representative

was

in

Rocky

Mountain

National

Park

and

Estes Park

March

22

throu_ch

March

28,

1989,

interviewing

city

officials,

NPS

employees,

Estes

Valley

Recreation

and

Park

District

employees

and

local

business

people

and

private

citizens. Pertinent

studies,

correspondence,

documents

and

history of the concessions

operation

were

reviewed.

A DSC

Concessions

representative

made several

on-site

visits

to observe

operations.

I


4/31

II. BACKGROUND

HISTORY

Hidden

VaIIey has

been

the site of winter recreation

since

1913.

lthough no

special faciLities

stere

available at that

tirne,

activities

such as

snowshoeing,

tobogganing and skiing occurred.

In

1939 there were

a

few

very

narrow slopes

with

rope tows

available.

That

year,

the

French

International

ski tryouts were

held

at Hidden

VaIIey.

By

l-955, the facilities

at

Hidden

VaIIey

consisted

of

two

platter

lifts,

the

parking

lot

and

the building

that

presently

houses

the

Child Care

Center

and

the

National

Park

Service

(NPS)

office.

Mr.

Ted Janes vas the

concessioner at that

time, but the NPS

provided

manpower for

the

ski

patroJ-s

and

first

aid.

The NPS

also

maintained

the skating rink,

the

lifts and

did

the

plowing.

A ranger lived

on

the

premises

In the

mid 1960 s,

the ice

skating rink

was

abolished

to

make

room

for the

new

lodge

building

which

currently

houses

the

concessionerrs operation.

The NPS began

gradually

to turn

responsibility for

aII

services and naintenance

over to the

concessi.oner.

ski boorn

occurred

in

Col-orado

during the late L96O

t

s

and early

1970ts. Many

nev areas

vere developed

with

larger

facilities and

onger

runs.

Skiers from

the

Denver netropolitan

area could

easily

get

to the new

areas where the

development

and

the

snov

was

rnuch

better

than

the

situation at

Hidden

Valley. This,

of

course,

began to erode

the

vj.sitation

and revenues

at

Hidden

Valley.

The

concessioner

put

in a

chair lift, but

even

that

did

not

make

the

area cornpetitive

with the larger areas.

The

concessioner

was

released

fron his contract in L977.

Because

the

NPS

could

not

purchase

the chair lift along

with the

possessory

interest in

the

ski area, Mr.

James

removed

it

so he

could seII

it for

salvage.

In 1978, the Estes

VaIIey

Recreation and

Park District

took over

management of the area.

Although the first

year

of

operation

(1977-78)

was

a

good

year,

subsequent

years

have shown

a

decline

in

profitability.

The

ski

area has

approxirnately

6o

skiable

acres.

Eevation rises

fron

9r5OO ft. to

LlrsOO

ft.

ccess

to

the

slopes

consists of

two

poma

lifts,

two T-bars

and

a shuttle

bus

to the

upper

mountain. ski terrain is classified

as

2ot beginner,

40*

intermediate and

4o*

expert.

Snowmaking

capacity at

present

covers

16

acres. The

main

lodge has

a

lounge,

cafeteria,

rental,

repair

shop,

gift

shop,

ski

school, and first aid room.

The

smaller

building

has a childrenrs

center

and

NPS offices.

The NPS owns the lifts

and

the buildings

and has been

paying

for

the

repairs

and maintenance

for

those

facilities.

Policy

2


5/31

requires

that the NPS turn

over

the expenses

for repairs

and

maintenance

to

the

Recreation

District.

The additional

expenses

are

estimated

to

be

$20rOO0

per

year.

The

current

operating

agreement

would be terminated

and

replaced

with a concessions

contract.

When that occurs

the Recreation

District will

incur

additional

expenses

for building

insurance.

The

Final

Master

Plan,

January,

L976,

states thatrr...as the

only

area

reasonably

accessible

to

nearby

conmunities

in

northeastern

Coorado,

Hidden VaIIey

does

offer definite

social

values,

and

thus should

continue

in

operation

until alternative

facilitj.es

become

available.

"

The

only spatial

expansion

that

would

be

allowed

would

be

"...Iimited

to

minor improvernents

that

would

contribute

to the safety

of

beginning

skiers."

The

NPS has

stated

that the

Recreation

District

rnay

put

in aerial

chair lifts

if it is

economically

feasible

and

wiII contribute

to

increased

revenues

for the area.

The

Recreation

District

is now faced with

naking

some decisions about whether

or

not more

development

at

the area

would

increase

the opportunity

for a

profit

or

if it is

even

feasibLe

to

continue operation.

VISITTION

Ski

Estes Park

is located

within

Rocky Mountain National

Park

about

L0 miles west

of

Estes

Park.

ft is a

one

to

two hour

drive

from

several

large

population

centers

such

as

Boulder,

Ft. Collins,

Loveland, Longrmont

and Greeley.

Rocky

Mountain

National Park

has over

2.5 million

visitors

a

year.

In

1988

only

10.33

of

those

visitors came to the

park

during the

months

the ski

area

was

operating

(see

table

1).

Skier

visits

dropped 32.seo during

the

1988-89

season.

Days

of

operation

ere

also down

because

of

poor

snow

conditions

(see

table

2).

SURVEYS

Chamber

of

Commerce

The

Charnber

of Commerce

conducted

a

survey

of

local businesses in

March

1989.

There

were

224 respondents. When asked

if

they

.ere

in favor of

continuing operation

at Ski

Estes

Park,

2L9

responded

in the following

manner:

Yes

L66 No 27

Undecided

26

3


6/31

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7/31

TABLE

2

OPERATTONS

SIATISTICS

SKI

ESTES

PARK

Days of

Toal

Skier

Visits

Average

1988-89

I987-88

l9

86-87

l

985-86

t9

84-85

1983-84

l,ifc

Price

$16.00

12.

00

14.

00

12.

00

10.

00

1

erecion

88

100

lr5

Ir3

rt6

135

21,964

41,405

44,482

25

'

838't

34,540

41,665

Skiers

D

318

414

387

229r,

298

309

Income

$609,492

74L,202

760,286

558,117

5Og,697

619,944

Lri

*Does

not

include

feason

pase

holder,

eo

data is

invalid.

From

eeason-end

audic

gateoent.


8/31

ACCOMMODATIONS

BEFORE

VISITING

SKI

ESTES

PARK

RESI

DE

NT/PERMANEN T

51

CAMPGROUNO

.

O

HOTEL/MOTEL

24

OTHER 5

YMCA

5

SHARE CONDO

3

RESIDENT/VISITING

8

RESIDENT/SECOND

HOME

5

TABLE

3

TRANSPORTATION

WHAT

TYPE OF

TRANSPORTATION

OWN

VEHICLE

329

I

6

37

1

1

10

MOTOR HOME

BORROWED

VEHICLE

RENTAL

CAR

RENTED MOTOR HOME

TOUR BUS

50 100 150

200

250 300 350

400

TABLE 4.

OTHER

o

7


9/31

one

hundred

thirty-eight

records

showed

that

the

respondents

were

repeat

visitors,

and

L47

records

showed that the

respondents

had

learned about

the

ski

area from

friends.

one

hundred

thirty-seven

learned

of

Ski

Estes

Park from other

media and

ski

information

sources.

(See

tabJ-e 5.

)

For

150

records, this

visit was their first visit to the area.

Eighty-one

records

indicate that the

respondents

come

to the

area

at l-east two

to

three times a

year.

sixty-three

come once

a

year

and

49 come four to nine times a

year.

(See

table 6.)

Thirty-six

percent

of the

records

indicate that the

respondentsl

permanent

horne

is in

the

Ft.

CoIlins/Loveland/Longrmont/creeley

area

and 16.L? from

elsewhere

in

Colorado

(this

does

not

include

Estes

Park)

.

only

7

.i,Z

live in

the

Estes Park area and L4.52 are

frorn Wyoming,

Kansas or Nebraska.

Twenty-four

percent

come from

states/countries other

than Colorado,

Wyoning, Kansas

or

Nebraska.

See

appendix

2 .or a

complete

breakdown of the survey

ansvrers.

The

ansv/ers do

not total

1003, because only

385

respondents

answered

this

question.

(See

tables 7

and 8.)

There vere

proportionately

more

destination visitors

during

the

holiday

sarnpling

periods

than

there

\^ere during the

other

periods.

The

largest

number

of

users

in a1l sample

periods

was

from

the Ft.

Collins/loveland/Longmont/Greeley

area.

The average

group

sizes

for

each

sample

period

htere:

),2/28-Or/ 02

ot/2o-or/23

02/rL-oz/)-3

03/2s-o3/27

3 Adults 2 Children

2tt3rl

2

|

1 Child

3illil

The

most

frequent request

for additional

services

was

forskating

(59

respondents).

The

second

largest

request

was

chair

lift

(52

respondents).

ICL

INTERVIEWS

ppendix

3 is

a complete

list

of aII entities interviewed in

March

1989.

The

following is

a

summary

of

those interviews:

Most

of the use at Ski

Estes Park

is day-use. Very

few

of

the

skiers

stay

overnight

at

lodges

in

the

area.

verage

annual

occupancy

is 4ot for

overnight

accommodations

in

Estes

Park.

The Recreation District

sel-l-s

ski

packages

to the motels

and

hotels

in the

area. This

allows

them to offer

discounted

Lift

tickets

to their

overnight

guests.

The YMC,

the Stanley Hotel

and

the

Holiday Inn

purchase

the

most

ski

packages

from

the

Recreation

District.

a

ice

for

8


10/31

SOIJRCES

LEARN

ABOUT

SI(I

ESTES

PARK

RADIO

TELEVISION

NEIfSPPER

SKI

SHOWS

CHA}IBER

OF

COTIMERCE

VISITOR

CENTER

PARK

PROGR.AMS

PARK

PUBLICATIONS

OTITER PUBLICATIONS

FRIENDS

REPEAT

VISITOR

OTHER

ll

tz

tt

42

6

6

3t

25

23

B4

02040

r3B

147

60 B0 lo0 t20 140

160

lB0

TABLE 5.

r50

63

81

49

17

51

1ST

TIME

ONCE

A YEAR

2_3

YEAR

4-9 YEAR

lo-

1 5

YEAR

1

6

OR

MORE

120

1

40 1 60

180

o204060

80

100

TABTE

6.

SKI ESTES

PARK

HOW OFTEN

SKI

9


11/31

HOME

WHERE

IS

YOUR

PERMANENT HOME

ESTES

FT.

COLLINS,

ETC

BOULDER/DENVER

OTHER CO

IlYOTIING

KANSAS/NEBRSKA

OTHER

STATES

0204060 B0

r00

TBLE

7.

t20 t40

160

28

7

TB

44

43

t

l4t

LOCATIOI\

BY

STATE

ESTES PARK

FT.

COLLINS, ETC

BOULDER/DENVE

OTHER

COLORADO

lYOTIING

KANSAS/NEBRASKA

50

lo0

I ABLE

B

173

r64

3

5

4

4

I

TlER STATE/COUNTRY

0

150

200

IO


12/31

Most businesses

felt

that

the

ski

area

contributes either

directly

or

indirectly

to their businesses.

Many

fett

that

the

ski

area

gives

the

impression

that

Estes

Park

is a ski resort

and

therefore

attracts

people

even

if

they

are not skiers. Many

people

just

want

to stay at a ski

resort.

The

businesses that benefit

most from

the ski

area

are

the

motels,

hotels

and

restaurants.

The

Iargest

number

of

people

come

during

the

Christrnas holidays and spring

breaks.

Many

felt the area should be

expanded and

a

chair fift should

be

installed.

Most

of the

businesses would

like

to

have

a

long-terrn cornmitment

that

the ski

area

will

remain

open.

They

could then

advertise

for winter

use based

on ski operations.

They

also felt that

the

ski area

itself

should

do

more

in the

way

of advertising.

They

rnentioned

that there

should be

more consistency in the

operating

schedule

of the ski

area.

There

j.s a perception

in the

cornmunity

that the ski

area

would

be

more

successful

under

pri-vate

managernent.

Even

those

who said that the ski

area had

no effect

on

their

business stated

that

they wanted

it

to

continue

to

operate

for

the

good

of the community.

11


13/31

III. ANALYSIS

Current

Operation

This

year

ski

operations

declined

32.52

during

the

l-988-89

season.

Skier visits

represent

)-2.52 of the

total

park

visitation for the

months

the ski

area

sras

open.

The

1987-88

season

represented

L5.8t of the total

park

visitation

for

those

same

months. lack

of

snowfall

was

the reason

cited for

the

decline

in skier visits.

The Recreati-on

District suffered a

l-oss

of

1231836

this season.

(See

appendix

4 for

pro

forma.)

Labor expenses

for the ski

department

(including

ski

lift,

ski

patrol,

slope

maintenance, snowmaking,

ticket

desk and

shuttle

bus) were

65.46

of ski lift revenue. National ski

industry

averages

indicate

that labor

for

that

department shoul-d

be around

2OZ.

SmaII

areas

would

have a

larger labor

percentage

simply

because

there are

fewer

skier visits

and

therefore, less overall

revenue.

However,

when

labor

expenses exceed 35

there is

cause

for concern. In interviewing

some

of the other smalI ski

areas

in

Colorado,

it was

learned

that they

had l-abor

expenses ranging

from 372

to

55.

t this

point

in

time,

all

of

those areas are

either

operating

with

a net loss

or

just

breaking

even.

In a

study

done

by

the

Business

Research Division,

Graduate

School of

Business

Administration,

University

of Colorado

at

Boulder, Economic

Analvsis of

North

American

Ski

Areas

L987-88

Season,

financial

data

is

broken down into characteristics by

size:

day

use,

weekend use,

vertical

transport feet

per

hour

(WF/hour)

and

length

of season. None of the

percentages

shown

exceeded

23*

for ski

department Labor

costs.

Food/beverage

costs

were

running 40.03t

at Ski

Estes

Park.

The

highest

costs

shown

in the

breakdowns

mentioned above vlere

food,

34.9t

and beveraget

26*.

cornbination

of the two

should

not

run

more than

30-322.

cift

costs were 60.92t.

were

52.9*.

The highest

costs

frorn

the

above study

Even making those changes to

the current

year

pro

forma

does

not

give

a

positive

net

profit.

The net loss is, of

course,

decreased.

Prof

itabil-itv

Factors

is

important

that

the

area

have

a variety of ski terrain so

that

it

can serve

the

entire

range

of skier ability. Ski

Estes

Park

is

guite

lirnited

in terrain. NPS constraints

prohibit

the

area

from

expanding

except

for

beginner

terrain.

L2


14/31

The

snow

conditions

are not consistent

in

the area.

For example,

this

season snowfall

was off approximately

3ot

and skier visits

were

down a

proportionate

amount.

The number

of skier days

are

also lirnited

by this factor.

Industry

statistics

estimate

that

an area must

receive a

minimum

of

200

inches

per year

falling at

regular

intervals

throughout

the

season. If this

does

not

occur,

snowrnaking facilities

must

make

up the deficit. Ski

Estes

has

snowmaking

ability for only

L6

acres.

The

snowmaking

is further

Iinited

by the availability

of

water in the area.

The

NPS allows

use of

only L08 of

the

water from

the Hidden VaIIey

Creek

because

it shelters

a threatened

species.

Before

the

area can

become

financially

viable, it

will

be necessary

to

expand

snowmaking

capabilities. It

may

be necessary

to incur

debt

service

in

order

to

purchase

additional

snowmaking

equipment.

Utility costs

are

a

very

expensive

part

of

making

snow.

SnowfalI

directly

affects

another

irnportant

profitabitity

factor

Iength

of

season. The typical

ski season runs

fron

Thanksgiving

to Easter.

The

season is

being lengthened

in

many

areas by rnakinq

snow as

early

as

weather

perrnits.

Some areas

have

opened.

in rnid-October.

The 88-day

season

this year at

Ski

Estes

Park had a

detrimental

effect

on

profitability.

Unless

the

season can

be

significantly

lengthened,

total

revenue

wilI be

negatively impacted.

Extreme winds

can discourage

skiers. It

was also

cited

as one of

the factors

for

rernoving

the

previous

chair

lift.

Wind can

blow

the existing

snow

avray, rnaking

skiing

difficult.

Industry

experts have

said that

operating

a

ski area

with

less

than

60,OOO skier

visits is

very challenging.

lthough

this

year

was not typical

with

only

27,964

skier

visits, the

highest

number

of skier visits in

the l-ast

six

years

occurred

in the

l-986-87

ski

season

which had 44,482

skier visits. It is

irnperative

that

an

aggressive rnarketing

strategy

be conceived

that

will drastically

increase

the

nurnber

of

skier

visits.

The

NPS

pl-ows

the

road from

Many Parks

Curve

to

Upper

Hidden

VaIIey

in

order

to

provide

shuttle bus

access

to

the

upper

Iift.

The

cost of this

service is

approxirnately

12,000.

This expense

should

ultimately

be borne

by the

concessioner.

The NPS

wiII alLow the

Recreation

District

to

put

in

two chair

lifts. Capital costs

for

purchase

and

installation

are

estimated

at

1,5oorooo.

The Recreation

District

plans

to

get

at least

half of the

money

from

County

matching

funds

for

economic

redevelopment.

Even

if

those

funds

are

available,

debt

service

may

be

incurred for

750,000.

one chair Lift

would

open

up

more

beginner

terrain

since

the

lower

portion

of the

existing

Columbine

Trail

could

be

used

as

a

beginner

run.

The other chair

Iift

would

replace

the

existing

T-bar

that

services the

Aspen

slope.

The

chair lift

would

rep)-ace

the

use

of the

shuttle

buses.

The

expense

of

plowing the road,

and of

operating

and

replacing

the shuttle

buses

would

be

discontinued.

It

would

I3


15/31

replace some old and tired

equipment.

chair

lift

is

more

acceptable

environmentalJ-y since

it aIlows

little

disturbance

to

the terrain

and trees.

There

is a

large

population

frorn

which to

draw

day-use skiers.

The

population

centers

of

Boulder,

Loveland,

Longmont,

Ft. Collins

and

Gree.ey

are within

an hour drive.

There

is

already

high

use

coming

from

this area.

The

bedroom

community

of

Estes

Park

offers

arnple

overnight

accommodations

fgr any

destination

skiers. Marketing

shou)-d target both

of

these

user

types

in

order to increase skier visits.

Local

Assistance

The

town

of

Estes Park

is very

supportive

of the ski

area and has

even

providd

financial

support

through

various

protrams

like

rrTake

Stock

in Ski

Estes

Park.rr

This

particular

program provided

an

additional

44r000

for

operation

of the ski

area

this

season.

It

is

estirnated

that

if

this

progran

is handled

correctly it

can

provj-de

as

much

as

8O,OOO.

The

torn

feels that if the

ski area were closed.

it

would

greatly

cut

into

sales

tax

and have

a ripple effect

throughout

the

cornrnunity.

The

winter

economy

is

so

fragile in

Estes Park

that

any

cuts

in

business would

have

severe ramification.

If winter

ernployment

is

cut,

people

would

have

to

move away

to find

work

and would

therefore

not

be

in

Estes

park

to

work

in the summer.

The

town

saved

the Recreation District

2O,OOO

a

year

in

utilities

and the town manager

feels that the

savings

can

be

increased.

The town

spent

SlO,OOO

for

advertising

on

radio, oD

T.V., and

in college

town

nevspapers.

eS A S

Some

operators

at

small

Colorado

ski

areas

see

low

snowfall

and

wind as

the biggest

problems

at Ski Estes

Park,

while

its biggest

strength

is its

proxinity

to

)-arge

population

centers.

The srnall areas

are really struggling.

Capacity

at

many

of the

najor

ski

areas

is

expanding

faster than the market

is

expanding.

Everyone

j,s

scramblingT

for

more skier visits.

Proximity

to

the Front

Range

is

important,

but

those

skiers are

very picky

about

the

snov

conditions.

They

will not ski at

one

area

unless

conditions

are

right,

and

they

have

several

areas

from which

to

choose.

Some

areas

have had

to

increase

revenue by charging

higher

rates

in other

departrnents such

as

ski

rentals.

In

that

case, however,

the

quality

of the equipment

must be very

high.

t4


16/31

reas are narketing

to

groups

like

colleges

businesses and

recreation clubs.

They offer

special racing

packages.

They feel

it is

critical that the area

have

at least

one employee involved

in

and responsible

for

marketing.

One

area estimates

that

they

must have

at least 75 OOO

skier

visits

a

year in

order

to

break

even.

one

operator with experience

working

in

areas

that

have been

run

by both

private

and

public

entities

said that it is

easier to

make a

profit

with

private

management.

t5


17/31

IV.

CONCLUSIONS

As currently

operated

Ski Estes

Park

is

not

financially

viable.

The

proposal

to

transfer

costs from

the NPS

to

the

operator

for

repairs and

maintenance

of the lifts

and buidings

will

add

to

the net

loss.

In order for

Ski

Estes

Park

to

become

viable

it

would be

necessary

to

increase

the

length

of

the

season

with

snowmaking

capability to

increase

the

number

of

skier visits.

However

inreasing

snowmaking

capability

would

Iikety

add

debt

service

and increase

utility

costs

vhich

would have

to be offset

by

increasing

revenue.

The Recreation

District

is

considering

install-ing

a chair

lift.

This

would also incur

additional

debt

service

and

utility

costs.

Some

of that

cost

could

be

offset

by discontinued

use

of

the

shuttle

buses.

The

chair

lift

wil-I

create

more

beginner

terrain

and

replace

old

equipment.

There is

considerable

competition

for skier

visits

as

skiing

capacity has

increased

faster

than

demand.

It is

essential

that

th ski area

employ

an

individual

or finn

to

aggressively

narket

the

area

in order

to

increase

skier

visits.

A survey done

by

the

Estes

Park

Charnber

of

Commerce

and

interviews

with local

businesses

and

town

officials

indicated

that

closing the

ski

area

would have

an

adverse

affect

on

business

employment

and

perceptions

of the

town.

Hal-f

of the

people

who

use

the ski

area

ar

day

users

from

the

Ft.

Collins/f.ovtand/Longmont/Greeley

area.

They

drive privately

owned

vehicles to the area.

The average

group

consists of

three

adults

and two

children.

Most

are

downhill

skiers. It

was

a

first visit

for

most

of the

respondents.

There

are

more

destination

visitors

during

the

Christmas

hoJ iday

and

spring

break.

The

greatest

number

of

requests

for

additional

services

were

for ice

skating

and a

chair

lift.

The Local businesses

would

Like

to

see more

consistency

in

the

ski

area operation

and

a

long-term

commitment

to

keeping

it

open.

I6


18/31

PPEN IXES

T


19/31

PPENDIX

LETTER OF

REQUEST

t8


20/31

United

States

Department

of

the Interior

E?LY

9fFfR TO:

NATIONAL

PARK

SERVICE

ROCKY MOUNTAIN

REGIONAL

OFFICE

2795

W.

Alamcda Parkway

P.O. Box 2528?

Denvcr, Colorado 80225{287

U6

z

3

tssa

Acting

Chicf,

Dlvlelon

of

Coneessfone

Roc

l'lor:ntafn

Region

ct8

(RHR-trc)

l{emOrandrtrn

To:

&rlef,

Conceeel_ons

Blanch,

DSC

Fron:

subjcct:

Rcguest

for Econonfc

Feasiblrrq/uarketrng

s:dy,

Hidden

varrey

ski

Arca,

Roc

t{o.ntain

Natlonar

park

Thc

Hldden

varley

Skl

Arca

locatcd

ln

Roc

t{orntaln

Skt

Arca

is

cugently

authorlzed

by

a

speciar

uec

Pernit

whlctr

crpte

llnitatlon

of

tlne

on

llaV

31

-

lqAq^ Tt {o am +t^^r L^ -- ----

trys

ssv

vte

.,utu.rc

olxrratl-ons

f:-ll

e

authorized

rrder

a concccELon

contract.

lle

aek

that

your

organlzatLon

conduct

an

econonlc

fcaslblllty/narketing

sh-rdy

at

your

carrfcet

convenience,

but

hopefurry

ttrfe

farr.

should

you

need

rnformation

or

aeeletancc,

preaee

contact

ue.

19


21/31

PPENDIX 2

BREAKDOWN

OF

SURVEY

NSWERS

2


22/31

Date

QIJESI

IONNA

IRE

SKI

ESIES

PARK

ROCKY

HOUNTAIN

NATI(}.IAL

PARK

HELP

US

HELP

YOU

-

The

purpose

of

this

questionnaire

is to

coll.ect

data

regerd-

ing

Ski

Estes

Perk

at

Hidden

Veley.

Please

complete

this

eurvey while

et

Ski

Estes Park and

return it to

the

Ski

Host

desk near the

nain

entrance.

l{e

esti-

mate thet

it will take

you

1.0

minutes

to

answer

the

questionnaire.

Thank

you

for

your

cooperation.

PLEASE

CIRCLE

THE

LETTER

BEFORE

YOUR

ANSI{ER

I

Where

did

you

stay

Last

night

before

visiting

Ski Estes

Perk

today?

l{hat

type

of

transporta-

tion did

you

use

to

get

to Ski Estes Park?

t.

How many

dults

and

children

are

in

your family

or

group

visiting Ski

Estes

Perk?

How nuch

did

overnighb

accommodations cost Last

night

for

your

fsmily/group?

lrhere

will.

you

stay

tonight

after

leeving

Ski Estes

Park?

ACCOMHODATIONS:

Hotel./motel

U

Developed campground/RV

0

Private

residence-permanent

198

Private

residence-second home

18

Pivete

residence-visiting

tt

Time Share

condominium

10

YI,ICA

2I

0ther

(please

A

B

c

D

E

F

G

H

neme)

18

2

GEOGRAPHICAL

LOCAT

ION :

A.

Estes

Park

area

I75

B. Ft.

Collins/Loveland/Longmont/GreeJ.ey

I64

C.

BouLder,/Denver

area

t9

D.

Other

Coloredo

5

E. l{yoming

4

F

.

Kansas./Nebraska

4

G.

0ther

Stetes./Countries

I

A.

Own

private

vehicle

t29

B.

Owr

rotor

home 9

C.

Borrored

private

vehicle

6

D. Rental car t7

E.

Rented

rnotor

home

I

F.

Tour Bus

I

G.

Other

(Please

name) l0

A. Adul.ts

1.068

B.

Children,

l8

and

under

640

4

5

A.

B.

c.

D.

E.

A

B

c

D

E

F

G

H

I

o

5

-r9

F.

50-59

c.

60-7e

H.

80-99

I.

f00+

s20-?9

r0-19

Information

was

incompl.ete

40-49

ACCOHHODAI(NS

Undecided

7

Hotel/moteL

86

Developed cempground./RV

I'

Pivete

residence-permanent

2Ol

Privete lesidence-second

home

17

Private

residence-visiting

SS

Time-Shsre

condominium

I

Yr{cA 2t

Other

(pl.eas

e

name)

0

GEOGRAPHICAL

LOCAI

ION

:

A.

Undecided

5

B.

Estes

Park

area

161

C.

Ft.

Collins/Loveland/Longmont/Greeley

t6l

D.

Boulder/Denver

srea

l8

E.

Other Colorado

1l

F.

l{yoming 4

G. Kanses/Nebraska

6

H, 0ther

States/Countries

2

CONTINUED

.

OTHER

SIDE

2l


23/31

6

2

Informatlon

wes

incomplete.

6(S)

SKI ESTES

PARK

6(b) ESTES

PARK

AREA

f

you

are

not

a resident

of

Estes

Perk,

how much money

do

you

anticipate

your

family,/

group

spending today

for food,

beverages,

gasoline,

gifts

and

other

non-lodging

expenses?

Do

not include

park

entrance fees.

Seperate

money

spent

at

the ski

area

(inc-ude

lift tickets)

from

money

spent

elsewhere in

the

Estes

Park area.

l{hat type

of activities

A.

did

you

and

your

family,/group

B.

participate

(or

antici-

C.

pate

perticipating)

in

today

at

Ski Estes

Park?

Mark

as

many

answers

as

appropriate.

tlhet

other activities

woul.d

you

and

your

famiJ.y,/group

Like

to

do

at

Ski

Estes

Park

if fecilities

or

services

were

evailable?

People

learn

about

5ki

Estes

Park from

different

aources.

Cen

you

tell. us

which

of

the

following

infomation

soulces

you

used? Hark

as

many

answers

as

appropriate.

A.

0-9

A.

B.

r0-t9 B.

c.

s20-29

c.

D.

10-19 D.

E.

t40rr9

E.

F.

50-59

F.

c. 60-69

G.

H. 70-79

H.

I.

80+

I.

J. Iemaresident.

o-e

r0-19

2o-29

10-19

40-49

50-59

60-69

70-7e

80+

7

Downhill

skiing

160

Cross-country

skiing

18

l{inter

play

(eledding,

tubing,

etc.)

24

Guided snonshoe

trips 5

Food,/beverege

service

16l

Ski

rentals

129

Cttild care 15

Ski

team

2

Observe

107

0ther 52 See

Attachment

I

l.

See Attachment 2

A.

Redio

22

8.

Tele

vis

i.on

tI

C.

Newspaper

42

'

D.

Ski

shows

6

E.

Charber

of

Corrnerce

25

D.

E.

F.

G.

H.

I.

J.

8

2.

t

4

9

I

J

K

L

Rocky

F-

v

G. Park

programs

6

H. Perk

pubJ.icetion

I?

Other

publications,

brochures

Friends

147

Hountain

NationaL

Park

isitor

Center 2t

repeat

visitor tl8

Ut

ll.

Ama

0ther

t

10.

How

often do

you

come

to

Ski

Estes

Park during

the

winter

each

year?

A. This is my

first

time

190

8.

Once a

year

6t

C.

2-l tlmes

8t

D.

4-9 times

49

E.

10-15

times

t7

F.

16+

tmes

ll

A.

Estes

Park

erea

28

B.

Ft.

Cotlins/Loveland/Longmont,/Creeley

l4l

C. Boul.der./Denver

area

U

D.

0ther

Colorado 19

E. hyoming

7

F. Kansas/Nebraska

50

G.

Othet state/country

See

Attachment

f

Where

is

your

permanent

home?

22


24/31

30

Ski

School

8

Snowboarding

3

Photography

I

Fishing

I

Hiking

1

Biking

I Ski

Parol

Training

I Visit Friends

I

Blank)

ATTACHMENT

I

47 RECORDS

23


25/31

Accivity

for

Non

Skiers

/

4

Animal

Park

Backpacking

Baske

bal

I

Beginner Slopes

/

4

Better Access

Handling

Better

Tubing

Bigger

Deck

Early

Boards

Bobs

led

Bowl

ing

Chair

tf.t

/

SZ

Clock at

Lifts

Cross-Country

Skiing

/

L2

Comfortable

Furniture

Date Service

Downhill

Skiing /

2

Dressing

Roorns

/

2

Entert.ainmen

Existing

Activities

Farnily

Photographs

Faster

Rental

, tt

r

lne

/

r

Fireplace

/

6

F ireworks

Food Service

a

the

Top

FuII

Bar

/

3

HaIf

Pipe

Hayride

Hiking /

3

Horse

Riding

/

3

Ice

Skating

/

60

Lift

is

Dangerous

l,ift

Ticket

Fee

Local

Advertising

Lockers

/

2

Lodging

More

Intermediae Slopes

/

6

More Lifts

/

L2

More

Runs

/

14

More

TV

Mus

ic

Nightclub

Night Skiing

No

Liquor

No Ski

Scealing

Nonsnoking

Area

Overnight

Camping

Pracice

Area

Programs

During

the

Holiday

Roller

Skating

/

2

ATTACHMENT 2

Sauna/I,lhirlpool/Hot

Tubs

I

S

Open

Longer

for the

Seasos

/

2

Shops

/

2

Shuttle

Bus

/

6

Skating

Rink /

2

Skiing

Sledding

/

15

Sleigh

Ride

/

9

RenEal

too

SIow

Ski

Lifts

too Slow

Slopes too

SIow

Smoking

Area

Snormaking

Machine

Snowshoein1

/

2

Snowboardng

/

Z

Snormobile

/

17

sPa

Tennis

Court.s

Tissue

at Lifts

Toboggan

/

5

Tour

for

Kids

Tour

Guides

/

2

,-L:- I

J,

IJU

J-

rg

/

O

Van

Service

VCRrs

Warming

Hut

/

Z

24


26/31

20

Blank

I9

Texas

l0 Illinois

6

lowa

4

Oklahoma

3

California

3

Florida

3

Minnesota

3

Missouri

3

Neru

York

3

tli scons in

2

Georgia

2

Oregon

I

Arkansas

I

Indiana

1

Louisiana

I Nevada

I New

Jersey

I

Ohio

I

Tennessee

I l lashington

I

Massachusetts

Oher

Staces

Other Countries

I

Canada

I

England

I

Gernany

I

Japan

I Neherlands

I

Poland

ATTACHMENT

3

25


27/31

APPENDIX

3

LIST

OF

INTERVIEWS

6


28/31

Aspen

Lodge Ranch

Resort Conf.

Center

6L2O

CoIo. Hny

7,

Longs

Peak Route

Estes

Park,

CO

80517

Inn

at

Estes

Park

LTOL Big

Thornpson

ve.

P.O.

Box

l-408

Estes

Park,

CO

80517-1408

The

Village

The

Downtowner

Motel

1-75

Spruce Street

P.O. Box L879

Estes

Park,

CO

80517-1879

Holiday

Inn

Resort

101

So.

St.

Vrain

P.O. Box 1468

Estes

Park,

CO

805l-7-1468

The Stanley

Hotel

333

Wonderview venue

P.O.

Box L767

Estes

Park,

CO aO5L7-I767

Fawn

Valley

2760

Fall River

Road

P.O. Box

22O

Estes

Park,

CO 8O5L7-0220

Ponderosa

Lodge

1820

FaIl River

Road

Moraine

Route

Estes

Park,

Co

80517

La

Casa

DeI

Estorito

222

E. Elkhorn

venue

P.O.

Box 2385

Estes

Park,

CO

80517-2385

The

Big Horn

Restaurant

401

W.

Elkhorn

venue

P.O.

Box

3186

Estes

Park,

CO

80517-3186

Donut

Haus

342

Moraine

Avenue

P.O.

Box 3763

Estes

Park,

CO 80517-3763

28


29/31

n

Ed's cantina

362

E.

Elkhorn

venue

P.O.

Box 733

Estes

Park, CO

805L7-0733

Safeway

Stores,

In.

45L

8.

l{onderview

venue

P.O.

Box 472

Estes

Park,

CO

aO5I7-O472

Clever

Crafters

Glassworks

Studio

Gallery

456

Moraine

venue

P.O. Box

4206

Estes Park, CO

8OSL7-42O6

Twisted Pine

Fur

Leather Company

450 140

Moraine

Avenue

P.O. Box

3408

Estes

Park,

CO

80517-3408

City

Manager

Black

Canyon

Inn

8OO McGregor

P.O.

Box 4654

Estes Park, CO 8O517-81L3

National Park Service

29


30/31

tJ)

PPENDIX 4

PRO

FORM OF CURRENT OPERTIONS

30


31/31

SKI ESTES

PARK

1989

FINANCIL

STTEMENT

NET

SLES

SKI

LIFT

RENTLS

SKI

SCHOOL

CFETERI

LOUNGE

GTFT

SHOP

NTJRSERY

OTHER

TOTAL

NET

SALES

COST

OF GOODS

SOLD

CFETERIA

LOUNGE

GIFTS

TOTAL

COST

OF

GOODS

SOLD

GROSS PROFIT

I,BOR

SKIING

SKI

LIFT

SKI PTROL

SLOPE

SNOWMKING

TICKET

DESK

SHUTTLE

BUS

TOTL

SKIING

LBOR

OTHER

LBOR

RENTALS

SKI SCHOOL

CFETERI

LOUNGE

GIFT SHOP

NT'RSERY

TOTAL

ALL

I,BOR

OTHER

DIRECT

EXPENSES

DMINISTRTTON

SAL

E TXES

OPER. SUPPLIES

DVERTISING

OFFICE

SUPPLIES

Lrc.,

DUES,

TRV.

.

PROFESSIONL

FEES

R M

609, 492.OO

100.

OO

27O,4L2.OO

,

825.

OO

,998.00

,372.OO

,

9l_0. 00

,457.OO

,518.00

44.372

19. OOU

9.352

r.3. s18

9.992

r..393

2.382

t_15

56

82

60

I

L4

32

,974.OO

37

,l_06.00

40. 03

60.922

70

,080.

o0

539, 4t2.OO

,652.OO

,

o48.

O0

,828.00

,768.

Oo

,422.OO

20,303.

O0

l_oo.

o03

88. s03

30.s72

L6.662

6.222

L.762

2.742

7.51t

82

45

L6

4

7

L77

,021.

O0

100.

OOt

25,633.OO

40,830.

O0

25,086.00

8,580.

OO

I,635.

OO

22.L32

7L.632

30.4st

14 . O98

102.10t

285

,785.00

100.

OO8

4

2

1

o

,762.OO

o,Lt9.oo

2

,436.OO

5,787

.OO

5,986.

OO

2

r

841.

OO

1,919.

OO

6.692

3.30t

2.O42

0.95?

0.98

o.472

3.60t

2

1989 economic feasibility study

Documents