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Golf course posts small operating surplus but faces capital choices: pay city loan or build cart barn
Summary
Golf course staff said projected FY26 shows a $15,203 surplus but council must weigh paying down a $500,000 city loan versus building a $200,000 cart barn and starting a capital fund for future repairs.
Golf course manager Greg told the July 16 budget workshop the enterprise fund projects a modest operating surplus next year but faces several capital decisions. "The proposed FY26 shows revenues exceeding expenses by about $15,203," Greg said, noting staffing and contract obligations remain steady.
Greg and Brian both highlighted a longer-term capital constraint: the golf course carries a roughly $500,000 loan from the general fund and additional building and cart-replacement needs are upcoming. The proposed capital schedule includes a $200,000 cart-storage building in 2027 and the replacement of the next cart fleet in 2027; staff stressed tariffs and construction costs are rising and recommended council consider timing.
Greg also recommended revising daily green fees: staff proposed focusing increases on daily rates rather than memberships this year, because membership rates were raised last year. He said the course remains below many nearby competitors on posted seasonal rates and that a 10% hike in daily fees would still leave the course slightly below a nearby higher-priced course in winter rates.
City staff said they will continue the $100,000 annual repayment to the general fund per prior direction but that council can instead choose to forgive the loan to enable the course to build a dedicated capital fund. Brian noted both choices have tradeoffs: forgiving the loan would free funds for capital but would also make the general fund absorb the prior loan revenue.
Why it matters: the course is financially self-supporting on operations but capital needs (cart barn, irrigation, building shell) and the city loan complicate planning. Council must decide whether the enterprise keeps repaying the loan or is allowed to retain available cash for capital projects.
