FY 18 Annual Report

Golf Course

2018

CITY OF SPENCER, IOWA

Departmental Highlights

The 2018 season got off to a slow start with the course opening in late April, which is the latest the course has ever opened in the past 24 years. One benefit of the constant rainfall received this year was the ability to test the new water quality project on the east side of the course as well as around the irrigation pond. New tile and other additions were also part of this process. The good news ... it worked much better than in years past. Issues with the irrigation system were discovered with many electrical problems identified throughout the entire system. Ultimately 60 connections, valves, solenoids, and decoders were repaired around the entire course. Once the repairs were completed the systems has performed very well. The battle with Mother Nature continued into the summer months with constant rainfall and periodic flooding, causing no golf days. It was a never ending battle trying to keep the course maintained to a high level with the weekly downpours. We spent a lot more hours trying to mow the course multiple times to get everything back under control. With the rainfall and non golf days, the revenues dropped significantly. Season pass totals, green fees, cart rentals and cart storage fees are a main source of revenue. As the course looks forward into FY 19, the addition of a golf simulator and year round liquor license will provide for a golfing experience anytime of the year. This is looked at as a way to maximize the profits. The City has also added the ability to pay for annual fees via credit card directly form the website. In addition, we have added the ability for patrons to purchase a season pass now and make monthly installments for up to the next 10 months. As one can see by looking at the season pass total graph later in this section, you can see the annual decline in golf in general. As we move into the future, it will be essential to optimize resources in the golf course and parks and recreational divisions. This cross staffing and equipment sharing can help both departments succeed.

Budget Review

Total expenditures for the department totaled $386,828.73 for FY 18, a decrease of $93,688.32 (-19.49%) compared to FY 17. Operational expenditures decreased by $$7,570.84 compared to FY 17. These decreases were seen across most of the budgetary categories. However, the repairs, maintenance and utilities category saw an increase of expenses. This was due to an increase in building maintenance and repair, equipment maintenance and repair and telecommunication expenses. Due to the weather experienced during the spring, expenses related to salaries decreased. Capital expenditures at the course declined in FY 18. The city purchased replacement mowing and grounds maintenance equipment in FY 17. In FY 18, the course also purchased trees through a Kids 4 Trees grant and planted them around the course area. Overall the department expended 97.54% of its budget. Operational revenue was down $45,466.20 in FY 18. The primary cause of this was weather related as the area experienced a wetter than normal spring and early summer months. The weather translated to less course play. Season pass revenue was also down, but weather may have played into the decision to purchase a pass for the year. The department has sufficient operational reserves to fund the deficit for FY 18.

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