Memorandum

City of Lawrence

Parks & Recreation Department

TO:	Diane Stoddard, Interim City Manager
CC:	Casey Toomay, Assistant City Manager Ernie Shaw, Interim Director, Parks & Recreation
FROM:	Mark Hecker, Assistant Director, Parks and Recreation
DATE:	June 1, 2015
RE:	Eagle Bend Golf Course Fees

The City of Lawrence Parks and Recreation Department requests Commission approval to increase 2015 golf fees at Eagle Bend Golf Course by one dollar on all green fees and two dollars on all cart fees.

Background

Over the course of the past eight (8) years, fees at Eagle Bend Golf Course have been adjusted to allow for participation levels, weather conditions, course conditions, and competitor pricing. In the summer of 2011, Eagle Bend and many other areas courses reduced fees in an attempt to increase golf participation numbers. As the economy has improved and participation levels have stabilized, we have seen area courses increase their green and cart fees to recover some of the revenue lost during the recession.

Staff has surveyed area golf courses and has provided a breakdown of the average pricing in comparison to Eagle Bend’s current fees (see attached). With many golf courses having already increased pricing, we feel an immediate adjustment in fees would help alleviate some of the price gap between Eagle Bend and area golf courses.

Golf course fees must be set at a level to support the operation and maintenance of the facility. Currently, the golf course revenue and expenses are projected to balance around $790,000 for 2015. A small adjustment in fees for the remainder of 2015 would allow us to create additional operating capital for needed equipment replacements in early 2016. Adjustments in future years need to be based on market value of our course compared to area courses competing for the same golfers. We know we need to provide a good product, at the right price, or golfers will simply go to other golf facilities.

Action Requested

Authorize staff to increase 2015 golf fees by one dollar on all green fees and two dollars on all cart fees.