In a recent Lawton City Council meeting, officials discussed a proposal for the management and operations of Roush Resort, following a solicitation process that attracted four submissions. The council is considering a standout proposal from Ralph Phantom Resort LLC, owned by David McCall, which aims to revitalize the resort with ambitious plans and a unique financial structure.
McCall's proposal includes an initial five-year lease at $1,000 annually, plus 2% of gross revenue, excluding fuel sales. After this period, he seeks a 20-year extension with periodic reviews and an increase in lease payments to $5,000 per year starting in year six, escalating by $1,000 annually thereafter, capped at $20,000. Notably, the revenue share would increase to 5% after ten years.
The proposed improvements are extensive, featuring the expansion of campground areas, construction of new facilities, and renovation of existing structures into a café. McCall aims to enhance the resort's appeal by removing debris and overgrowth, and he has committed to building new dry storage and wet slip facilities within the first five years of the lease.
During the meeting, council members expressed concerns about the financial implications of the proposal, particularly regarding the city's investment of approximately $240,000 for repairs and improvements. Questions arose about the sustainability of the resort's operations and the potential need for city subsidies, especially in light of challenges faced by similar facilities at Lake Latonka.
The council ultimately voted unanimously to authorize staff to negotiate the contract further, with plans to revisit the proposal in December for final approval. The discussions highlighted the need for a clear understanding of the financial arrangements and the long-term viability of the resort under McCall's management, as well as the importance of ensuring that the city’s investments yield tangible benefits for its residents.