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HomeMy WebLinkAbout1980-10-14 Park Board MinutesEDINA PARK BOARD MEETING MINUTES Tuesday, October 14, 1980 EDINA CITY HALL MEMBERS PRESENT: Virginia Shaw, Chairperson; Bill Lord, Arthur Erdall, Marilyn Wooldridge, Les Wanninger, 7 c t:.' `'`", STAFF PRESENT: Bob Kojetin, Rick Jacobson, John Valliere, Lance Woodruff, Pat Greer, Marion Ward, Rosie Hafner OTHERS PRESENT: Carol Bermel, Lowell McCarthy, Edina Art Center Board; Margie Basil, Mary Cronin; C. D. Cain, J. Edwin Johnson, John Livdahl, Erhart H. Becker, Donald Berquist, Curtis Peterson, Ken Miller, Gary Sampson, Tom Sampson, Ken Awsumb, E. J. Vargon, Betty Varqon, Lois Hanske, Wally Dahl, E. M. McHenry, S. L. Brudelie, Theo Lennington, T. N. Lennington, Geri Thomas, Dave McEnary, Gordon Schliecher, Inez Boftman, Raymond E. O'Connell, Mary LaVoir, "Babe" LaVoir, "Frenchy" St. Ives I. APPROVAL OF MINUTES FROM THE SEPTEMBER 9, 1980 MEETING Mrs. Lonsbury MADE A MOTION to approve the Minutes as submitted. Mr. Erdall SECONDED. CARRIED. Mrs. Shaw explained that due to the fact that there were so many people present from the golf course who wanted to discuss the fees and charges for the course that we would move to that item on the Agenda first. II. FEES AND CHARGES (Golf Course Mr. Kojetin presented a brief introduction as to how the figure for the fees is brought about stating the Profit and Loss Statements are a vital factor. He pointed out that the City Council had suggested raising the Patron Card fee this year because it had not been raised since 1968 even though revenueshad increased. Mrs. Shaw pointed out to those present that these fees are only suggestions by the Council they are not "concrete". Mr. St. Ives of 5213 Meadow Ridge inquired as to why it was necessary to raise these prices, what are the advantages of having a Patron Card. Mr. Valliere explained that there are basically two advantages for the Patron Card holder; (1) being able to set tee times, (2) reduction in fees. Mr. Valliere pointed out, however, that the golfer is going to add up the total cost of playing golf. Mr. Curt Cain of 6937 Cornelia Drive explained that he had done some checking and the average patron plays approximately 15 rounds of golf per year. Using this figure, and adding on to it the cost of the Patron Card, it costs the patron $7.50 for a round of golf. This is more than it would cost a non -patron. Mr. Kojetin pointed out that the patron card system was designed in order to afford the patron the opportunity to make a reservation for a starting time. The patron was, in effect, buying a service. Then it was decided to give them $1.00 off the greens fee price. This is the philosophy behind the patron card system. Mr. Becker of 5305 Mirror Lakes Drive, inquired as to whether we were raising the fees merely because they haven't been raised in awhile or if we need the revenue. Mr. Kojetin explained that the golf course has to generate $100,000 per year in revenue to pay off the bonds. Mr. Becker suggested increasing the patron card fee but giving the patrons a bigger break on greens fees (a $2.00 break instead of the present $1.00). Mr. Valliere pointed out that if we increase the Patron Card fee by 10% and the greens fees by 10%, the total increase is more than 10%. Mr. Lord suggested introducing a new fee for "non -patron, non-resident". Mr. Valliere indicated that this was possibly a good idea. -2- Mrs. Lonsbury inquired as to how we compared' with other golf courses in the area. Mr. Valliere stated that we are slightly high in price compared to the other courses. Edenvale, for example, charges $6.00 non-patron during the week and $7.00 on weekends. Mrs. Lonsbury asked about the quality of these courses compared to Braemar. Mr. "Babe" LeVoir of 5401 Richmond Lane, stated that Braemar is as fine a golf course as one could find anywhere and we should leave it the way it is. He pointed out, however, that not all of the people in Edina can afford the fees, e.g., people on fixed incomes. Mrs. Georgia Thomas of 5412 Edgemoor inquired as to how many Patron Cards were sold this year.and how much more revenue this increase would provide. Mr. Valliere stated that there were 1150 Patron Cards sold this year with an increase we would receive approximately $550.00 more next year. Mrs. Thomas suggested leaving the fee at $30.00 would bring in more patrons. Mr. Kojetin pointed out that we do not want more patrons, the course can barely handle the number we have now. Mr. Gordon Schliecher questioned why we are talking about raising the fees when the latest weekly recap showed a surplus. Mr. Kojetin explained that we need money not only to pay off the bonds but for expenses, e.g., equipment, repairs, etc., and these expenses have risen steadily with inflation. Mr. J. Edward Johnson of 3710 West 61st Street asked Mr. Valliere if he had the net income figures for this year. Mr. Valliere stated that the gross revenue to date was around $530,000, after expenses this would leave about $107,000 net before the bond payments ($40,000 bond payment for the facility and $60,000 for the irrigation system bond payment) which would have to come out of this. Mr. Valliere pointed out that increasing the fees 10% next year (both patron and non-patron) would generate approximately $50,000 in revenue. Mr. Harrington of 4651 Parkwood, felt that the average patron would gladly spend more money for more playing time at the course, for instance, if he were able to play after work. However, he continued, he felt that the seniors should get some sort of break. He felt that the working patron would gladly spend more money for good tee time, instead of having leagues playing every evening. Mr. Valliere explained that the leagues are paying a premium price for play and he is cutting down on the number of leagues playing next year. There was a brief discussion to have a special price for seniors playing at off times. This discussion, however, was tabled until a later date. Mr. Valliere did say that he was going to try to expand the playing times for the seniors. Curt Peterson of 7122 Tupa Drive questioned whether or not there was any truth to the rumor that the golf course revenue was being used to support other areas, specifically the arena. Mr. Kojetin answered negatively explaining that in the early stages of planning Braemar Park it was determined that the golf course would use 220 acres i,n the interior of the park. At that time they discussed using the profits, if there were any, to help maintain the total 450 acres of Braemar Park. This, however was never done and the park has been supported by the general park operating budget. Mrs. Lonsbury MADE A MOTION to raise the Patron Card fees as recommended but not to raise the patron fees this year. Mr. Erdall SECONDED. CARRIED. II. ART CENTER ADDITION Mr. Kojetin briefly went over the bids for the Art Center addition and subsequent work that had,to be done at the Art Center, e.g, installing handicapped bathroom facilities. When the bids came in high, he explained, he sat down and determined what modifications could be done to bring down the total figure. -3 - Using the lowest bid figure of $69,040.,00, Mr. Kojetin.presented a break -down of possible cost responsibility. The city would be responsible for $22,372.00 for remodeling the bathrooms and walkway leading to the addition. Of the $22,372.00 figure, $17,000.00 could be received from Community Development funds for the handicapped bathrooms. The cost of the room would be $46,668.00. Mr. Nichols has sent us a letter stating that he will contribute $25,000 toward this $46,668.00. He has already contributed $2000.00 toward the architectural fees in addition to the $25,000.00. Using these figures the city would have to finance $27,040.00 from Capital Park funding. Mrs. Shaw inquired as to whether Mr. Nichols had put any restrictions on us regarding his donation. Mr. Kojetin explained that Mr. Nichols had only stipulated that the room be named the "Tede Nichols Room" and construction be started by November of 1981. Mrs. Shaw also questioned the necessity of this room. Mr. McCarthy explained that the Art Center is in need of a good painting studio. Mrs. Greer elaborated stating that with this new room they would be able to register as many as 15 students per class, substantially increasing the revenue brought in from $1280 to $2400. She qualified this statement with the fact that these figures were based on all classes filling up, but pointed out that at the present time (with only being able to have eight in a class) they have no classes with fewer than eight students registered. Because of the present size of the classroom we only break even with paying the instructor's fees. Mr. Wanninger pointed out that there is a lot of empty space in the community now and there will be more in the near future with all the schools closing. He felt as though this space should be used rather than adding additional space. Carol Bermel pointed out that the Art Center is trying to establish an identity within the community and moving their classes all over will serve to counteract this effort. Pat Greer stated that this room was designed as an ideal painting room with north skylights, etc., and there is nothing like this in the schools. She also reported that Art Dicky had informed her that if we waited until Spring to build the room it will cost 10-15% more. She also suggested that perhaps the Art Center could raise some of the money needed. Discussion followed regarding the cost of the room and whether or not building it would raise revenue (by allowing larger classes) enough to pay for itself. Mr. Kojetin then mentioned that he had talked with some architects and contractors regarding modifications to the room plan that would cut some of the cost of the room, e.g., manual versus automatic shades, changing the type of shingles to be used, etc. He suggested that by making some of these modifications the cost of the room could be lessened by perhaps $15,000. There was also a brief discussion regarding the fact that Community Education and the Art Center should have some agreement whereby Community Education does not offer identical classes at lower prices; the two should not be competing with each other. Mr. Erdall MADE A MOTION to reject the bids for the Tede Nichols Room at the Edina Art Center. Mr. Lord SECONDED. CARRIED. Mrs. Lonsbury MADE A MOTION to put the Tede Nichols Room up for re -bid. Mrs. Wooldridge SECONDED. CARRIED. Mrs. Shaw suggested sending a letter to Mr. Nichols thanking him for his generous contribution tc the Art Center. III. FEES AND CHARGES (cont.') Mr. Jacboson explained that people have told him they would not mind a raise in the tennis reservation fee in order to insure this service in the future. Mr. Kojetin -4- noted.that the increase in the ice charge at the arena would not even be realized for another two years, because it won't take effect until next September. He pointed out, however, that by raising the fee to $60.00 for outside contracted ice starting in January we could receive some additional revenue this winter. Mr. Wanninger commented on the wonderful improvements being made at the arena to conserve energy. Mrs. Lonsbury commented that it appears we are supporting most of our revenue facilities. Mr. Jacobson explained that this was due to the fact that the fees have not been raised. He also pointed to a decrease in participation, which has cut back on income generated. He noted that single admissions at the pool were up this year. Returning to the topic of fees and charges at the golf course, Mr. Kojetin speculated that because we are not going to raise the patron feAs next year the report will be down $6,000.00 or $7,000.00. Mrs. Lonsbury brought up again the idea of a non-resident, non -patron fee that could perhaps make up the revenue we will loose on the patron fees. Mr. Valliere pointed out to the Board that there are still four more monthly P & L Statements to be prepared before the end of the golfing season. He went on to explain that in some areas on the report, operational costs had been included in with expenses, e.g., the golf car mai.ntenance figure includes the operational expense of replacing some gdlf,cars totaling $9000.00. Mr. Valliere mentioned that he is trying to consolidate some of the leagues, eliminate industrial leagues and make the course more accessible to the people. Mrs. Shaw pointed out that we should, in the future, look into increasing the cost of the Patron Card to make it count for something (maybe increase it again next ( year). Mr. Valliere explained that he felt the non-residents should pay the lions share of costs. The Board then went over the proposed fee increases for the golf course in 1981, adding a non-resident, non -patron fee of $8.50 for 18 holes and $5.00 for 9 holes. Mr. Wanninger MADE A MOTION that the recommended fees and charges be accepted as presented including the non-resident, non -patron fees for the golf course. Mr. Lord SECONDED. CARRIED Meeting adjourned at 10:45 p.m. / ACTIONS FOR COUNCIL APPROVAL Mrs. Lonsbury MADE A MOTION to raise the Patron Card fees as recommended but not to raise the patron fees this year. Mr. Erdall SECONDED. CARRIED. Mr. Erdall MADE A MOTION to reject the bids for the Tede Nichols Room at the Edina Art Center. Mr. Lord SECONDED. CARRIED .Mrs. Lonsbury MADE A MOTION to put the Tede Nichols Room up for re -bid. Mrs. Wooldridge SECONDED. CARRIED.. Mr. Wanninger MADE A MOTION that the recommended fees and charges be accepted as presented including the non-resident, nonpatron fees for the golf course. Mr. Lord SECONDED. CARRIED.