Advisory committee weighs $450K golf‑club design ask; enterprise fund, lease revenue and bond rules under scrutiny

Town staff presented a feasibility and design estimate for the town‑owned golf club building on Sept. 30, proposing about $450,000 to hire an owner’s project manager and produce design documents. Staff suggested the golf enterprise fund — which has limited retained earnings — could borrow for design and that restaurant lease revenue and potential revenue sharing could help service future debt.

Committee members raised concerns about whether the enterprise fund can sustain debt service for a larger buildout that includes an expanded restaurant and function space, and whether retained earnings (about $600,000 reported by staff) should be tapped. Bond counsel flagged private‑use limits on tax‑exempt borrowing: if private restaurant operations are included, a share of the project could be treated as private use and affect exempt bond eligibility; staff said one option is to use state house notes or short‑term borrowing and later roll into larger financing if appropriate.

Members also discussed pursuing revenue projections with a food‑service consultant (a planned subcontractor to the architect), options for a land lease or public‑private partnership (P3), and the risks that added amenities would increase capital requirements beyond what the enterprise fund can sustain. Staff said they would refine the scope and cost assumptions and that the Municipal Building Committee expects additional work from the design team soon.

No final vote on borrowing or design funding occurred; members urged careful revenue analysis and scalable or phased design to limit risk to taxpayers and the enterprise fund.