Facing Enrollment Decline, Inver Grove Heights Hockey Association Struggles For Survival

Jim Rauschnot knows exactly how expensive youth hockey can be.

Rauschnot, whose three children were enrolled in the Inver Grove Heights Hockey Association for a grand total of 23 years, estimates that he was paying as much as $2,500 to $3,000 a year to buy hockey equipment, pay association fees and send his kids to weekend tournaments.

And when the economy hit the skids, Rauschnot  said, the financial pressure on his family grew even greater.

“I think about it every time I write a check [for hockey expenses],” Rauschnot said.

Rauschnot and Inver Grove Heights Hockey Association President Ed Steele are quick to admit that hockey is an expensive sport — Steele estimates he pays as much $5,000 a year for his children to play hockey. And that expense is one of the reasons that the once-robust hockey association is now struggling for survival.

Steele and Inver Grove Heights Hockey Association Registration Coordinator Shane Peterson estimate enrollment in the association has dropped by 50 percent over the last several years. Between last season and this winter alone, more than 30 players have left the program — bringing the association’s total enrollment from 277 to 244 players, Steele said. If the decline continues unabated, Steele believes the association will be forced within five years to merge with another community association, or fold.

The factors behind the decline, Steele said, are myriad.

Even in healthy years, the program was never large. But now, the poor economy has put an increasing strain on student athletes and their families, who frequently pay thousands of dollars annually in fees and equipment purchases. Inver Grove Heights is also becoming more racially diverse, which means fewer students are interested in playing hockey. Finally, many up-and-coming hockey players are choosing to open enroll to other, nearby school districts with stronger hockey programs, Steele said.

To breathe new life into the program, Steele and Peterson say they must find a way to lower the association’s annual fees — which range from $250 for younger players to as much as $1,050 for members of the older Peewee and Bantam teams.

Lower fees would make youth hockey more financially accessible for local families, and draw in a new crop of players to bolster the association. But accomplishing that task won’t be easy for the hockey program.

Since 2008-2009, the association has been forced to raise its fees for certain teams by as much as $200 to cover its own expenses, which are largely driven by the cost to rent ice-time in local ice arenas.

Inver Grove Heights city officials currently charge $190 for an hour of ice-time on one of the two sheets at Veterans Memorial Community Center. That number will climb to $195 an hour in 2012, Parks and Recreation Director Eric Carlson said.

The city, Carlson said, is loathe to lose the hockey association, which is a significant financial partner in the community center. Last year, the group purchased more than 600 hours of ice-time. As part of a lease agreement struck when the city built the community center, the association also pays $14,000 annually to the city.

But ice rental rate hikes, Carlson said, are largely unavoidable. The community center has a $2.6 million budget, but only makes $2.2 million annually in revenue. Lowering ice rates would only increase that margin of loss for the city, Carlson said.

Steele and other members of the hockey association met with Carlson last week to discuss how the city could assist the struggling organization.

The city already allows the association to run the community center’s concession stand during hockey games and to keep a portion of the revenue generated through sales from the stand. Several years ago, city officials also decided to lower the association's annual lease payment to bolster the struggling group.

Now, the city is considering allowing the group to run an ice-sharpening stand in the community center and keep a portion of the revenue generated through “dasherboard” advertising — ads placed on the walls around an ice rink, all to keep the hockey association alive.

But even that might not be enough for the association. Due to low turnout, Inver Grove Heights’ association and the South St. Paul’s youth hockey association share several teams, Steele said. If the drop-off in enrollment continues, the two organizations may consider a complete merge, Steele said.

The woes facing Inver Grove Heights youth hockey aren’t unique to the community.

In spite of the economy, the number of students enrolled in youth hockey across the state continues to rise, according to Minnesota Youth Hockey Association President Dave Margenau. Despite the statewide growth, it’s not unheard of for local chapters of the organization to suffer from periodic, even cyclical downturns, Margenau said.

Merging two programs is a relatively common solution for local hockey associations that are being hit by an enrollment decline, Margenau said. Many times, he added, a merge can significantly benefit both groups.

Steele doesn’t expect local hockey enrollment to come back around any time soon. While he considers merging with South St. Paul to be a last ditch effort, it may be inevitable for Inver Grove youth hockey.

 “We’re sitting here watching the numbers die,” Steele said. “We’re not going to be around in five years, if we don’t figure something out.”