02-29-16 Special Elbel Committee Minutes

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than rerouting Juday Creek. Aimee asked questions regarding the time and money it would take to get an existing course certified, and Mr. Cielen acknowledged the costs and time, but reiterated that they include common sense things. Committeemember Perri explained the Park's Master Plan, which is available in the Office of the City Clerk. It addresses nearly thirty (3)0 million dollars in needs throughout the Park's system. A five (5) million dollar park bond was taken out, and there is quite a bit of work underway. There is a document on the Park's website that is kept up to date in real time that shows the progress of the park bond projects that are underway. We have to prioritize spending, so there is a statistically significant survey that shows how community members prioritize the many aspects of parks in South Bend. The community was also asked what type of subsidy is appropriate for the activities that we do. The community responded that a subsidy for golf is not appropriate, as evidenced through this plan. Since golf is primarily an individual benefit sport, the fees should cover the sport and not have other subsidies come in to it, according to the survey. There is also an Elbel Master Plan that is available through the Office of the City Clerk. Councilmember Broden asked if the Park Master Plan action plans have been worked on, and how it fits into the overall budget process, and how the board has been using it as a guiding document. Committeemember Perri responded that most of the action plans deal with maintenance, what is appropriate and what is the direct cost. In fact, the park bond has been dubbed the maintenance bond, because it is being used to keep up with all sorts of things. The committee reiterated that the Park's Master Plan is available in the Clerk's Office and on the Park Department's webpage. Committeemember Perri mentioned that there is a ten (10) year financial document available in the Office of the City Clerk and online. John Murphy, City Controller, presented the ten (10) year financial document. The operating loss has increased over the years. Back in 2008 before the circuit breakers, we were able to use COIT for parks, but unfortunately we are no longer able to use those funds for parks. Elbel had an average loss of $120,000 over the ten (10) year period. A loss is when it is subsidized or paid for by other sources that aren't generated at the course. Primarily, property taxes is the largest source of revenue in the general fund. The golf courses themselves are in a different format. The losses for all three golf courses together is on average $225,765 over that ten (10) year time period. Elbel generates about six (6) percent of the golf course revenue in the city, and accounts for seven and a half (7.5) percent of golf expenditures. Elbel makes up about half of the total amount of golf course losses. Averaging the losses over a ten (10) year period is fair because it accounts for the years with large expenditures such as new golf carts. That is why the averages are more important to look at than just looking at one year. The commission asked questions of the experts and discussed the life cycle of the large equipment bought and maintained by golf courses, and what the plan is to inventory the items and keep track of their life cycles. Mr. Murphy explained that all of the city departments have a five (5) year capital program which is built into the budget. The commission discussed the state of the course today, and what the projection would look like moving forward, and whether or not deferred maintenance (if there is any) would be captured. TJ Mannen, Elbel's Director of Golf indicated that there are minor improvements to be made to the clubhouse. 0