Audit finds inventory, alcohol‑control and membership weaknesses at Firewheel Golf Park; management outlines corrective timeline

The Garland Audit Committee reviewed a comprehensive internal audit of Firewheel Golf Park on Sept. 30 that identified multiple control weaknesses in inventory management, alcohol handling, membership accounting and event documentation and prompted a set of corrective actions with staggered implementation dates.

Internal audit staff said the golf park — which recorded roughly 119,000 rounds played and about $5.2 million in sales in fiscal 2024 — uses a single software system for reservations, point-of-sale and inventory control. The auditors found discrepancies between physical merchandise counts and the inventory system across the park’s two pro shops, including negative balances on some SKUs and significant variances in counts. Auditors reported hundreds of SKUs with differences and quantified net shortages and overages across locations; shortages were valued in the low‑to‑mid five figures at each location. The audit recommended clearer SKU labeling, cycle counts during the year, and an inventory‑variance policy. Management agreed and set a target to implement monthly inventory cycles and improve SKU labeling by Jan. 1, 2026.

The review of alcohol inventory found similar issues: several beer and liquor brands showed prolonged negative inventory balances in the system (for example, Miller Lite and Coors Light reached extended negative units in 2023–24). Internal counts take place monthly, but root‑cause analysis and documented corrective actions were not always recorded. Auditors recommended prompt updating of purchase orders and transfers, recording exchanges and refresher training for servers. Management’s action plan includes additional tracking and a target implementation date of Jan. 1, 2026; Firewheel’s management noted the largest identified variance was 4%, which they said they consider acceptable given volume but agreed to strengthen controls.

The audit also examined a small, grandfathered membership program that continued after a different Garland course closed. Auditors found 82 grandfathered members with differing monthly dues and instances of missed payments combined with continued play; auditors reported membership revenue and estimated what comparable rounds would have yielded at standard rates. Management intends to phase out the grandfathered program: written notice to members would start Oct. 1, 2025, and the program would be discontinued Sept. 30, 2026. Current members will retain privileges through that period and staff will charge monthly dues via card on file and suspend play for declined payments.

Regarding lessons and leagues such as the PGA Junior League, the auditors reported those programs are run by coaches and outside organizers, with registration and payments often processed outside city systems. Auditors recommended a written city policy governing use of city property for leagues, lessons and third‑party coaching; management agreed to develop a policy and consider models used by other municipal courses.

Food‑service and alcohol compliance were another focus. The auditors found instances of servers working without current Texas Alcoholic Beverage Commission (TABC) seller-server certificates and one long‑time employee serving food without a valid food-handler certificate since 2018. Auditors also reported missing required permits and signage at one restaurant outlet and generic POS accounts shared among multiple employees. Management reported immediate steps: required certificates will be logged and reviewed (food-service and TABC compliance actions targeted as of Oct. 1, 2025), generic POS accounts are being deactivated (completed Sept. 30), and a lead chef position is being posted while the city engages a three‑month food-and-beverage consultant expected to begin by mid‑October to advise on operations and compliance.

Other audit observations included tournament and event documentation gaps, credit‑card tip handling practices, and safeguarding of change funds. Management agreed to policy changes, monthly reviews and changes to payroll treatment of tips (target Jan. 1, 2026) and said keys and access protocols for change funds had already been tightened (implementation noted Sept. 1, 2025).

Don Kennedy, identified as the director of golf, and other city staff acknowledged the audit’s findings and supported the corrective timetable. The audit team praised management’s cooperation and noted positive steps already taken, including surprise monthly inventory checks initiated by staff, but recommended follow‑up to verify implementation.

Ending: The committee accepted the audit presentation and staff committed to return with progress updates; management will implement a mix of policy updates, new hires and consultant work aimed at tightening inventory controls, clarifying membership and league policies, and strengthening food‑and‑beverage compliance.