Title
MINT VALLEY GOLF COURSE FINANCIAL REVIEW
COUNCIL STRATEGIC INITIATIVE ADDRESSED:
Address Quality of Place Issues
Continue Effective Financial Management
Strengthen Economic Conditions & Create New Opportunities
CITY ATTORNEY REVIEW: N/A
SUMMARY STATEMENT:
The winter of 2016/2017 played a major impact on the financial viability of the Mint Valley Golf Course. Snow and extended forecasts of wet weather led to decreasing rounds and revenue equating to the lowest revenue the course has collected in the past twenty years. The course will be seeking to draw from its depreciation funds to cover an excess of $53,000 in the expenditure shortfall.
The Parks and Recreation Department does not hold the weather solely responsible for the decrease in revenue. As the current agreement between the City of Longview and the contractor, NV Golf & Property Management, comes to conclusion in December of 2018, the City would like to explore alternative management options that would be more financially beneficial. The current agreement does not lend itself to mutually benefiting both parties and after research and dialogue with other courses the Department would like to open discussion with City Council about alternate solutions.
There are three management styles within Public Golf Course Management:
• Contractual Agreement with an Individual
• Leasing the Course to a Management Firm
• Taking on the Management “in house” with a City Employee
The Department would like to discuss the pros and cons of the three styles and receive Council direction.
RECOMMENDED ACTION:
To direct City Staff to begin exploring the financial impacts, timeline, and potential implications of taking over the management of the golf course.
STAFF CONTACT:
Jennifer Wills, Director of Parks and Recreation
Nicholas Van, Manager of NV Golf & Property Management
Scott Knapp, Mint Valley Golf Course Superintendent