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HomeMy WebLinkAboutGolf Board - Minutes - 09/17/2003City of Fort Collins Cultural, Library, and Recreational Services Golf Board Minutes: Regular Meeting of September 17, 2003 Council Liaison to the Board: Councilman Bill Bertschy Staff Support to the Board: Jerry P. Brown, Manager of Golf at 221-6350, and Stacy Kelley, Administrative Aide at 416-2265 Call Meeting to Order: Chairperson Dave Johnson called the meeting to order at 7:30 p.m. The meeting location was moved to the Collindale house at 1341 E. Horsetooth Road due to a scheduling conflict at the Collindale Clubhouse. Agenda Review: Jerry requested adding to the printed agenda an item entitled "Termination of City Park Nine Golf Professional Agreement/New RFP", and the Board concurred. Items of Note: ❖ Regular Golf Board meetings will begin at 7:00 p.m. starting in October. ❖ Jerry advised the Board Members that applications for Board Membership are now available. There will be at least one position on the Board open. ❖ Jerry informed the Board that the City Manager and City Council removed drought water restrictions. He said that City Park Nine and Collindale still has a good supply of raw water but SouthRidge is having some difficulty. ❖ Jerry mentioned that Recreation Sports Secretary Kim Vondy had a seizure, went into coma, and passed away September 16. Also, Megan McGrew who was a finalist for the Golf Administrative Aide position recently passed away from a Pulmonary Embolism. Approval of Minutes: On a motion by Larry Buckendorf, seconded by Claire Nelms, the Board unanimously (9:0) approved the Minutes of the August 20, 2003 Regular Meeting. Citizen Participation: Rich Wolny asked the Board why SouthRidge isn't fully included to use Annual Passes. Claire Nelms said this issue has been brought up in the past. Jerry said the debt was the main reason, but after the debt was paid it was because of financial and business reasons. It has been proven that golf courses without annual passes make more money than those courses that offer passes. SouthRidge made over $1 million last year alone and Collindale only made $779,000. Both courses played around 51,000 rounds. Jerry said there is no good reason to expand the substantial discount of Annual Passes to SouthRidge and lower their revenues, and there is no rule anywhere that says that Golf Board Minutes September 17, 2003 the fees and policies need to be the same at all three courses. Mike Sanders explained the break down of the three courses. Claire asked if the reason SouthRidge makes more revenue is because they get more tournaments? Jerry said that was partially the reason. Financial Condition of the Golf Fund Jerry said this is the worst year for the status of the Golf Fund due to many factors including drought conditions, construction at or adjacent to City Park Nine and SouthRidge, the popularity of golf has declined, and the bad economy in general. Revenues are down $255,000 projected to date. There is a downfall almost everywhere in Colorado and nationally as golf courses have taken a hit to their revenue and rounds. Jerry said this could also be the result of the over -budding of golf courses. In the 1980's there was a shortage of courses so consequently in the 90's there were 300- 400 courses built annually. The Denver Metro has really had a boom of courses. The last 10 years has been "gold" for courses as golfers have been playing more, but that all changed this year. Jerry mentioned that because of so many lay-offs and the unstable and poor condition of the economy, golfers are being more selective with their discretionary income and playing less at various courses. Also, this summer has had more hot weather than years past. There were several 98+ degree weather days this summer and most golfers don't play in the middle of the day. Jerry also said that our courses have taken a hit because of the West Nile Virus as some golfers are afraid to play early mornings or evenings. Due to construction City Park Nine is down 16.88% in rounds played, and at SouthRidge many players didn't know the course was even open. Jerry said Aurora courses are down 14% or $800,000. Urban areas of Denver are competing for golfers. More courses are trying to obtain the same golfers by using incentives such as 2 for 1 coupons. We don't offer coupons because the people who would regularly play would use the coupons. There is some positive news though. The Storm Water Utility originally said they would pay us back for the rounds and revenue lost at City Park Nine, but because of City Policy they are not allowed to reimburse anyone for projected lost revenues. The way they decided to get around this is to pay us $60,000 for the drainage easement at City Park Nine. Also, Brauns Bar & Grill will make twice as much money as they originally anticipated. In addition, he said that typically fall months have done pretty good in the past. Jerry said his guess is the Golf Fund will probably be around $130,0004150,000 short at the end of the year. He has asked the Superintendents to cut expenditures and only spend money that is absolutely needed. Jerry said that in 2004 and 2005 there have also been budget cut backs. Jerry explained that the Golf Professionals at the three courses have also lost at least 15% of their revenues. Manny Jimenez said it is good to have discussions about the future of the Golf Fund now. He doesn't want to see the Golf Division have to ask the City's General Fund for money. Mindy Markley noted that in 1995 the Golf Fund was only 3% more in lost revenues to date and asked how that will compare to this year? Jerry said the reason why it was down in 1995 was because of the big rains and losses in May, but from June to December revenues remained good. Compared to last year, City Park Nine is well below anticipated mainly due to construction. Grant Sherwood wanted to know the comparisons between the expenditures and the revenues, and if they were different at each course. It would help to have the individual comparisons. He also asked where the impact was coming from? Jerry answered that City Park Nine rounds are down the most (16.88%) primarily because of the construction, Collindale rounds are down 7.9%, and at SouthRidge overall rounds are down 10.41%. Jerry said leagues are a big money maker, and he is also looking at ways to recruit a dozen or more new tournaments at Collindale. He also said that City Council generally isn't Golf Board Minutes September 17, 2003 concerned about the Golf Fund so long as we pay our own way. Claire Nelms said she is hopeful that next year will be better. Jerry said we have postponed almost all Capital Improvements and Equipment purchases in 2004. He also said he had to put into the budget the possibility of increasing the amount of Employee Salary and Benefits that probably won't be spent so he does have some wiggle room Mindy said it is wise to be cautious. Mike Sanders said we shouldn't make decisions in a crisis mode. Jerry also mentioned that the Golf Fund might not have to pay the City's General Fund Transfer until we are out of the red in a given year. Larry Buckendorf asked if the Transfer savings are a waiver or deferral. Jerry said it was a deferral and we would just carry it. Don Braun, a Fort Collins Resident, asked what kind of shape Loveland was in? Jerry said Rod Chapman, Loveland's Golf Manager said his revenue isn't necessarily up but with their coupons their rounds are steady. Jerry mentioned there is going to be a Golf Administrators Conference on October 8 and the Golf Administrators would be able to get an idea how other golf courses in Colorado are doing. Jerry also provided an update of CLRS Service Area cuts and impacts. Don Braun mentioned about his tournament in Loveland. Jerry said we now need to be more liberal and look for ways to increase play on our courses. Jerry said we may add more leagues at City Park Nine and at Collindale. Also, the Golf Division has made a video tape for commercials and corporations. He has contacted the Fort Collins Convention and Visitors Bureau and he is impressed with their response. He said we are trying to advertise in ways we haven't done before. Bill Rutledge made the comment that we should try something like the way the Mad Russian advertises. The Board will continue to monitor this issue. Investigating Further Options to Extend Golf Opportunities for Youth Jerry reminded the Board that the City Council has put on the Work Plan to Investigate Further Options to Extend Golf Opportunities for Youth in Fort Collins. Jerry said he thinks this topic is a very important one because the youth of Fort Collins are the future of Golf rounds played in Fort Collins. He noted that Councilman Bertschy mentioned virtually everyone from last year's Golf Board Applicants wanted to see more for opportunities for the youth of Fort Collins. Jerry said that there are already many golf programs in place for youth in the community and maybe we need to look at how to reach and inform those folks who are unaware of our programs. He did say however due to the cost of the program that "Fort Collins Fore Kids" might be eliminated next year. The Board made it clear that they would like to be involved with the decision making if this was the case. Mindy Markley asked if there could be a brochure that would include all the programs we offer for youth? Claire Nelms asked if Sean Duff could outline our youth programs in his column in the Coloradoan? Jerry answered that Sean makes his own decisions about what to write about in his columns. A brochure is very possible. Claire asked if the youth have to pay for the lesson program? Collindale's Golf Professional Jim Greer said yes and there are group lessons. He has never seen any youth turned away due to financial situations. He said that he would like to see all the PE coaches in the School District called to inform their youth of Golf programs. Mindy said there are issues that face youth to be able to join these programs including transportation. Jim Greer said the fees aren't unreasonable, and Bill Rutledge said we should continue to let the High Schools and Junior High Schools play at our discounted rates. Everyone concurred. Jerry also mentioned that in the past some under -privileged kids have been brought over to the courses from the Northside Azdan Center. Mike Sanders said • Golf Board Minutes September 17, 2003 he thinks we are very reasonable as far as youth are concerned. Mindy said the best way youth could learn the game of golf is to play with their parents. Jim said the three Pros have always hired kids for help with the driving ranges. Larry Buckendorf suggested that the youth programs be included on the Golf Website and also in a brochure as well as ads in the Kids section of newspapers. Termination of City Park Nine Golf Professional Agreement/New REP Jerry informed the Board that Mike Goff has decided not to renew his contract for City Park Nine Golf Course in 2004. Mike has had some difficult health issues and he told Jerry that if he can't do business like is expected he doesn't want to do it. Jerry said he needs 2 Board Members to be on the RFP Review Committee. Grant Sherwood and Claire Nelms volunteered to be on the committee and Larry Buckendorf volunteered to be the alternate. There were no objections from the Board. Other Business ❖ Jerry explained to the Board about the Fossil Creek Trail situation. There are currently three options. There was a City Council Public Hearing last evening and it was discussed whether or not the trail should be located through the SouthRidge Golf Course. Park Planning and Development Manager Craig Foreman strongly discouraged this to City Council. Mike Sanders made a motion to send correspondence to Council not to approve the trail on the golf course. Mindy Markley seconded the motion. The Board approved the motion unanimously (9:0). ❖ Mike Sanders requested that the Board send a "Thank You" to Mike Goff. Adjournment: The Board unanimously (9:0) approved the motion made by Mindy Markley, seconded by Larry Buckendorf, to adjourn at 9:00 p.m. Respectfully submitted, Stacy`Kelley Administrative Aide Meeting Attendance Board Members Staff Guests Larry Buckendorf Claire Nelms Jerry P. Brown Don Braun Lauren DeRosa Bill Rutledge Jim Greer Pat Finnegan Manny Jimenez Mike Sanders Stacy Kelley Shane Houska Dave Johnson Grant Sherwood Tom Salt Mindy Markley Rich Wohry