Salinas finance committee forwards 20‑year sublease with First Tee, phases rent down to $1

The Salinas Finance Committee voted May 12 to forward to the full City Council a proposed 20‑year sublease with the nonprofit First Tee that staff said would maintain city ownership of Twin Creeks Golf Course while shifting long‑term operations and programming to the organization.

Nathan Q, deputy director of economic development, told the committee the sublease would commence July 1, 2026, run 20 years with a one‑time 10‑year extension option, and carry an annual rent of roughly $60,000 through Nov. 1, 2026, then drop to a nominal $1 per year in the remainder of the term. He said First Tee would be required to report annually and that a minimum of 80% of youth program participants must be Salinas residents.

"We view this as economic development and a workforce development opportunity," Nathan Q said, describing annual reporting and participation requirements required in the recommended agreement.

Nick Nelson, First Tee’s chief executive (introduced to the committee by staff), described the organization’s local work, scholarship programs and measured outcomes. Nelson said the chapter serves dozens of Salinas schools, focuses on higher‑need ZIP codes and pairs youth mentoring with opportunities for former participants to become coaches.

"This is an investment into the youth of this city," Nelson said, describing a scholarship program and data the organization provided to the committee that, he said, showed improved attendance and language outcomes for participants.

First Tee representatives told the committee they have contributed capital improvements at the facility, operate extensive free school‑based programming, provide scholarships (the Pay It Forward Scholarship Mentoring Program) and run mentoring hours intended to support college completion. Staff noted the city’s final bond payment of $433,500 is due Nov. 1, 2026, a date staff said aligns with the proposed rent phasing.

Committee members asked about membership fees, access and program costs. First Tee representatives said a typical family membership fee is $150 per year, but that scholarships are offered and school programs are free to participating districts. The organization said all students in partner school districts attend at no charge and that it provides substantial scholarship funding in Salinas.

Council member Margaret D'Arrigo moved to approve the finance committee recommendation to forward the sublease to full council; the motion passed on a recorded committee vote and will be considered by the City Council for final approval.

Public comment during the item was limited; one resident, Jose Guera, thanked the presenters and urged the council to vote for the agreement.

The Council will receive the committee's recommendation and the proposed sublease for a final decision at an upcoming council meeting.