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HomeMy WebLinkAbout2005 - Golf Board - Annual ReportCultural, Library, and Recreational Services Golf Division GOLF BOARD 2005 ANNUAL REPORT The City of Fort Collins Golf Advisory Board normally meets on the third Wednesday of each month at 7:00 p.m. October through April, and at 7:30 p.m. May through September. In 2005, the Golf Board held eight Regular monthly meetings, and primarily met at the Collindale Golf Course Clubhouse in the H.R. Phillips Room; however, the March meeting was held at the SouthRidge Golf Course Clubhouse, with the May, September, and November meetings being held at the City Park Nine Golf Course Clubhouse, and the August meeting was held in the SouthRidge Cart Building. The Regular Meetings scheduled for February 16, June 15, and October 19 were cancelled due to the lack of pertinent business at the time, and the December 21 meeting was cancelled due to the holiday season. In 2005, eleven citizens were appointed by City Council to serve on the nine -member Golf Board. They were Larry Buckendorf, Lauren DeRosa, Deron Grothe, Shane Houska, David Johnson, Vanessa Kabel, Jay Kammerzell, Mindy Markley, Dan Preble, Grant Sherwood, and David Thilmany. Vanessa Kabel resigned from the Board in January because of job relocation, and Council appointed Deron Grothe to replace her effective February 1, to a term that will expire December 31, 2008. Mindy Markley resigned from the Board in March because of family considerations, and Council appointed Shane Houska to replace her effective April 19, to a term that will expire December 31, 2006. The regular terms of Larry Buckendorf and David Johnson expired on December 31, and Council reappointed both of them effective January 1, 2006, to new four-year terms that will expire December 31, 2009. Mindy Markley served over 8 1/2 years total on the Golf Board in two different terms, originally from July 1, 1994 until December 31, 2000; and then again from January 1, 2003 until her resignation on March 17, 2005. The main reason she resigned was family considerations following a tragic accident, as she felt she needed to focus more on doing things for her family and close friends. Mindy was the founding creator and mentor of our "Fort Collins Fore Kids" Junior Golf Program, and she served as a Board Officer during most of her time on the Board, including serving as Board Chairperson from September 1996 until September 1999. Mindy contributed leadership and innovation to the Board, and was especially supportive of Staff during many difficult fees and charges issues, accepting a great deal of unfair personal criticism for her opinions. She was truly an outstanding Golf Board Member. At the March meeting, the Board unanimously re-elected David Johnson for another term as Board Chairperson for 2005/2006. The Board then elected Larry Buckendorf as Vice -Chairperson, replacing Mindy Markley, and re-elected Lauren DeRosa as Board Secretary, for 2005/2006... Councilman Bill Bertschy served as City Council Liaison to the Golf Board, a position he held for most of his eight -year tenure on Council, until the April City Election, when City Councilman Diggs Brown was appointed as the new Council Liaison. Bill Bertschy was a City Park Nine Golf Course • 411 South Bryan Avenue • Fort Collins, CO 80521 • (970) 221-6650 Collindale Golf Course • 1441 East Horsetooth Road • Fort Collins, CO 80525 • (970) 221-6651 SouthRidge Golf Course • 5750 South Lemay Avenue • Fort Collins, CO 80525 • (970) 226-2828 Golf Administration • 215 North Mason Street, 3rd Floor • F.O.Box580 • Fort Collins, CO80522-0580 • (970)221-6350 FAX (970) 221-6586 • www.fcgov.com/golf wonderful and supportive liaison to the Board over the years, and deserves our thanks for a job well done!... Manager of Golf Jerry P. Brown provided administrative support to the Board, and Administrative Aide Dawn Worth provided clerical support. The most significant issues/action items that the Golf Board dealt with in 2005 were as follows: Golf Play and Revenues/Financial Status - Since 2002 the City of Fort Collins Golf Fund has been metaphorically on life-support systems as golf play and revenues decreased and have remained nearly flat. This trend will probably continue for the near -term as there are few positive signs that things will get substantially better as the economy has not returned to previous positive levels, and the popularity of golf has not shown any significant growth of new golfers entering or returning to the game. In addition, there is currently an over -supply of golf courses, which simply put means there is more supply than demand, which is great for golfers, but not good for golf courses. To cope, we have been managing our expenditures to remain within our revenues and reserves in the Golf Fund by reducing expenses, and we have delayed or postponed almost all capital outlay purchases or improvements. The Golf Board has been following this issue closely and has expressed their concern and support, and has provided some suggestions and input to Staff. Through the first half of 2005 golf play and revenues showed no improvement over 2004, which was the worst year on record, however, the second half of 2005 actually showed some gains that we had not seen since May, 2002. Our 2005 Golf expenditure budget had been severely restructured downward to match the circumstances and conditions of the realities of our situation, and we were able to remain fully self-supporting, which is required of us as a City Enterprise Fund operation. We ended 2005 achieving 99.37% of Projected Operating Revenues, which is roughly only $15,200 short of 100%, and we saved over $50,000 in budgeted expenditures, meaning we showed a "profit" of about $35,000 in 2005. We did not need to utilize Golf Fund Reserves for the first time since 2002. Also, 2005 golf play ended up at 123,182 total rounds played, up from the 118,781 total rounds played in 2004. This remains well short though of the 145,000 total rounds annually we averaged from the mid-1980's until 2002. Golf Fees and Charges - In January the Staff provided its suggested 2006/2007 Golf Fees and Charges to the Board for initial discussion. Options presented for 2006 included raising the Surcharge Fees .50 cents on 9-Doles and $1.00 on 18-Holes to increase the revenues dedicated to pay our Debt Service, increase our 18-Hole Green Fee rates by $2.00 and $1.00 to create a larger differential between Prime Time and Non -Prime Time Green Fee rates, no increases to most 9-hole Green Fee rates or to Annual Pass Base rates, increase selected Golf Cart Rental rates by $1.00, and eliminate the Medical Golf Cart rates as being unnecessary since Single Golfer rates had been introduced in 2005. The Board was generally supportive of these suggestions and voted unanimously to approve them.... In March, the Board discussed and refined the Staff Proposed Fees and Charges, including reducing Annual Pass Per Play Fees for folks Age 75+ from being with Adults to now being with golfers Age 17-, saving them .50 cents on 9-hole Rounds and $1.00 on 18-Hole Rounds in 2006. After further discussion, the Board voted unanimously to approve the Recommended 2006 Golf Fees and Charges for Public Input.... The Board then held a Public Input/Comment meeting on the Proposed 2006 Golf Fees and Charges in April. At that time Staff suggested modifying the original recommendation by adding a third -2- Annual Pass Base Rate for golfers Ages 60-74 which would be consistent with our existing Green Fees (changing the age from 62 to 60), at a fee ($338) half way between the other two Annual Pass Base Rates. After public input and Staff and Board Member discussion, the Board voted unanimously to approve the revised 2006 Golf Fees and Charges as discussed, and recommend them to the City Manager who approved them as submitted. Prime Time/Non-Prime Time Modifications - Throughout the year the Board and Staff discussed various marketing ideas and ways to hopefully attract and re -attract golfers to our golf courses. Finally, in November, the Board voted unanimously to recommend modifying the structure of various Prime Time and Non -Prime Time hours at the courses by making several major changes and user friendly improvements. Historically, Prime Time has been on weekends (including Friday) during the main golf season of April through September. Because of the increasing competition, we need to encourage more play during lesser demand hours during this period. The most significant change made was that effective 2006 City Park Nine Golf Course will become Non -Prime Time all of the time, meaning that discount Green Fees rates and Annual Passes can be used all day, everyday. Also, 2006 Non -Prime Time will begin on September 16 rather than October 1 at Collindale and SouthRidge, and Collindale will become Non -Prime Time every Sunday afternoon beginning at 2:00 p.m., meaning that Annual Passes can be used and discounted Green Fees will be offered. We previously had expanded Non -Prime Time hours at SouthRidge from first Tee Time until 2:30 p.m. Monday through Thursday. Finally, normal Twilight Rate discounts begin 1 1/2 hours prior to posted sunset, but from November through February the discounted Twilight Rate will be effective at 2:00 p.m. daily. Extending the Term of the Agreement with the SouthRidge Golf Professional - The existing agreement at SouthRidge Golf Course with contractual Golf Professional Dale Smigelsky, PGA, was scheduled to expire on December 31, 2005. The agreement was entered into on December 19, 2000, after being awarded through Request For Proposal (RFP) # P-777. The agreement may be extended annually beyond the original five-year term until December 31, 2010 if performance is satisfactory, subject to public input, negotiations, and City Council approval. At the July meeting, the Board thoroughly discussed consideration of extending the agreement. Most Board Members commented favorably about his performance, and then unanimously voted to recommend extension of the agreement until 2010 with 4% annual Service Fee payment increases, and to schedule a Public Input/Comment meeting... In August the Board held the Public Input/Comment meeting on the extension, receiving much positive e-mail in advance and hearing only positive public comments. After further discussion, the Board voted unanimously to recommend to the City Director of Purchasing and City Council to extend the agreement for up to five years with the 4% annual Service Fee payment increases. Council then unanimously approved Ordinance No. 109, 2005, on October 4, authorizing the Purchasing Agent to enter into annual extension options with Dale Smigelsky through 2010, with the new agreement signed on November 8. Marketing - The Board and Staff discussed marketing issues throughout the year, beginning in January, and culminating at the September 21 meeting with a round table discussion. The Board and Staff also conducted a Marketing Brainstorming Committee Meeting on September 15 where many ideas were shared and suggested by those in attendance, including potential discounting options. One result of all the discussions is the modification of Prime and Non -Prime Times. -3- We are also emphasizing trying to add more Leagues, and expand on Tournaments and Outings if at all possible. Staff will be producing a new brochure in 2006 on our golf courses, and we are hoping to work more with the Convention and Visitors Bureau. 2005 "Fort Collins Fore Kids" Event - 98 girls and boys ages 7 to 12 attended our 9th Annual "Fort Collins Fore Kids" Introductory Youth Golf Clinic held at City Park Nine Golf Course on June 7th. This event is co -sponsored and supported by the Golf Board, and coordinated by City Park Nine Golf Professional David McCleave, PGA, and his staff, with the help and support of SouthRidge Golf Professional Dale Smigelsky, PGA, and his staff, and Collindale Golf Professional Jim Greer, PGA, and his staff. Several Board Members volunteered and worked at the event. The kids received hands-on instruction on putting, chipping, driving, and golf rules, safety, and etiquette. For a $2.00 Pre -Registration Fee they also received refreshments and a "goodie bag" filled with fun golf materials, a Mulberry Pool admission pass, and discounts on future golf lessons, as well as ice cream provided free by Walrus. Other Golf Board Issues of Concern - Also in 2005, the Board in April responded to the City Manager's request for Board input on the 2006/2007 City Budget preparation process, informing him on the status of the Golf Fund, et. al., and then in July the Board reviewed the Proposed 2006/2007 Golf Fund Budget as prepared by Staff and submitted to the City Manager. At that time the Board discussed the potential implications on the Golf Fund of the new BFO (Budgeting For Outcomes) process used for the first time in Fort Collins. In November City Council adopted the 2006/2007 City Budget, including the Golf Fund Budget as submitted... In May the Board held a Round Table Discussion with Staff on any and all golf issues, as desired. The meeting started with each Staff Member telling the Board a little about themselves, and generally Board Members told Staff that they were doing a great job maintaining the courses and appreciated the way Staff treats the customers. There was concern expressed about the less than desirable conditions at City Park Nine Golf Course, with Staff explaining the situation and what is being done to solve the problems. Pace of Play was also discussed in some detail with the Board in agreement with the Staff approach to managing this difficult issue. Board Members questioned Staff about policies and procedures, and asked about cash flow and computerization. There was also some discussion about service levels and practices associated with our food and beverage concessionaires... And finally, we purchased three new single rider golf carts in the Spring, one for each course, that are ADA compliant. These SoloRider carts allow disabled golfers virtually complete access to our courses, including being able to drive up onto the greens to putt, if necessary. -4-