HomeMy WebLinkAboutCOW 2016-09-12 Item 3 - Budget - 2017-2018 Budget: Foster Golf CourseCOUNCIL AGENDA SYNOPSIS
--Initial./
Meeting Date
Prepared 6y
Mayor's reviei
Council review
09/12/16
RE
CATEGORY Ei Discussion
09/12/16
-+ ,r,
❑ Resolution
M tg Date
• Ordinance
[' Bid Award
Altg Date
❑ Public Hearing
tilis Dale
• Other
A1tg Date
Altg Dale
A1tg Date
SPONSOR ❑ Council ❑ Mayor ❑ HR ❑ DCD
• Finance • .Fire ❑ TS P &R ❑ Police • PTV'
SPONSOR'S The Foster Golf Links Preliminary 2017 -18 Budget was presented to the Community Affairs
SUMMARY and Parks Committee at its meetings on July 25 and August 8. This memorandum
combines information from the two previous memorandums for better clarity and is the
proposed 2017 -18 budget for Foster Golf Links. The Council is being asked to review the
budget and forward it on to the full 2017 -2018 budget process.
RI 'II AVED BY ❑ COW Mtg. Z CA &P Cmte
❑ Utilities Cmte ❑ Arts Comm.
DAL: 7/25/16 &8/8/16
ITEM INFORMATION
ITEM No.
3
1
STAFF SPONSOR: RICK STILL
ORIGINALAGI}ND:1 DATE: 9/12/16
AGENDA ITEM TrILE Proposed Foster Golf Links 2017 -18 Budget
CATEGORY Ei Discussion
09/12/16
❑ !/lotion
Mfg Date
❑ Resolution
M tg Date
• Ordinance
[' Bid Award
Altg Date
❑ Public Hearing
tilis Dale
• Other
A1tg Date
Altg Dale
A1tg Date
SPONSOR ❑ Council ❑ Mayor ❑ HR ❑ DCD
• Finance • .Fire ❑ TS P &R ❑ Police • PTV'
SPONSOR'S The Foster Golf Links Preliminary 2017 -18 Budget was presented to the Community Affairs
SUMMARY and Parks Committee at its meetings on July 25 and August 8. This memorandum
combines information from the two previous memorandums for better clarity and is the
proposed 2017 -18 budget for Foster Golf Links. The Council is being asked to review the
budget and forward it on to the full 2017 -2018 budget process.
RI 'II AVED BY ❑ COW Mtg. Z CA &P Cmte
❑ Utilities Cmte ❑ Arts Comm.
DAL: 7/25/16 &8/8/16
• F &S Cmte
Li Transportation Cmte
Comm. ❑ Planning Comm.
CHAIR: QUINN
❑ Parks
COMMITTEE
RECOMMENDATIONS:
SPONsoR /ADMIIN.
COMMIYIEE
Parks & Recreation
Unanimous Approval; Forward to Committee of the Whole
COST IMPACT / FUND SOURCE
EXPENDITURts REQUIRIU) AMOUNT BUDGETED APPROPRIATION REQUIRED
$ $ $
Fund Source:
Comments:
MTG. DATE
RECORD OF COUNCIL ACTION
9/12/16
MTG. DATE
ATTACHMENTS
9/12/16
informational Memorandum dated 9/7/16
Attachment A - Golf Operating Budget and "ATTACHMENT G" for 2017 -2022
Attachment B - 15yr CIP
Attachment C - Brief History
Attachment D - 2015 Foster Year in Review
Attachment E - GASB 68
1
City of Tukwila
Allan Ekberg, Mayor
INFORMATIONAL MEMORANDUM
TO: Committee of the Whole
FROM: Rick Still, Parks and Recreation Director
CC: Mayor Ekberg
DATE: September 7, 2016 (Updated following meetings dated 7 -25 -16 and 8 -8 -16)
SUBJECT: Proposed Foster Golf Links 2017 -18 Budget
ISSUE
A review of the 2017 -18 Budget for the Foster Goff Links (FGL).
BACKGROUND
The Foster Golf Links Preliminary 2017 -18 Budget was presented to the Community Affairs and
Parks Committee at its meetings on July 25 and August 8. This memorandum combines
information from the two previous memorandums for better clarity.
DISCUSSION
Foster Golf Links operates as a Special Enterprise Fund to manage the 77 acre property and
14,400 square foot clubhouse facility. Attachment A includes the budget narrative, proposed
revenue, expenditures and the 6 -year financial planning model for the golf course operations
known as "ATTACHMENT G" in the City's budget book. Below please find a brief description of
the FGL proposed budget, a brief history of FGL and 2015 year in review, GASB -68, and policy
issues that impact the FGL budget:
Proposed 2017 -18 Budget
Revenues produced by FGL pay for the golf operational costs as reflected in three areas within
the budget: Maintenance (411.576.680) Pro Shop (411.576.681) and a minimal Capital
Improvement Plan (411.594.760). Each of these areas is summarized below.
The Maintenance Division is responsible for the golf course playability for golf and FootGolf.
Golf course maintenance includes very technical and scientific turf maintenance programs and
an extensive irrigation system. The golf maintenance staff also performs many other types of
maintenance including: tree, cart path, pond, water pumps, parking lot and landscape
maintenance. A golf equipment mechanic maintains all of the various specialty golf machinery
and the rentable driving golf carts.
Since the August 8 CAP meetin• the FGL Maintenance Division budget line items chan +e
for fleet replacement program (411.00.576.680.45.94) $27,487 reduction in 2017 and
operations & maintenance (411.00.576.680.45.95) $ 418.00 increase in 2017. Equipment
that meets policy for replacement and needs to be replaced is still in the budget. Equipment
that meets the replacement policy but still have usable life have been pushed out to future
years. Liability insurance (411.00.576.680.46.01) was increased by $9,738 to better reflect
the current estimated costs.
3
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INFORMATIONAL MEMO
Page 2
The Pro Shop Division provides great customer experience for the people who enjoy the
beautiful golf course and its amenities. The staff maintains the computerized tee sheet to
schedule people to play golf every seven minutes throughout the day. Staff assist clients in
renting a driving golf cart, a pull cart, and golf clubs, as well as finding the right golf equipment
and gear to use or apparel to wear on the golf course. Staff teaches lessons, run youth camps
and coordinates and accommodates leagues and tournaments. The Pro Shop Division fuels
and cleans the golf carts after the golfers are done with their round. They also manage the
concessionaire agreement and coordinate food services for the golf tournaments.
The 15 -Year FGL Capital Improvement Plan was established to extend the life expectancy of
the clubhouse and to increase playability and interest of the golf course (Attachment B). The
plan is based upon approximately $50,000 annually. Some bi- annual funds would need to be
combined to accomplish the larger projects proposed for 2017 -2018
Brief History of Foster Golf Links & 2015 Year in Review
FGL began as a private golf course in 1925. The residents voted to purchase the golf course in
1976 and has been operating it since. More information about Foster Golf Links can be found in
Attachment C "Brief History" and Attachment D `°2015 Year in Review."
GASB -68
An explanation of GASB -68 can be found in Attachment E. The Governmental Accounting
Standards Board (GASB) provided direction to increase visibility of financial support for pension
commitments. This is a balance sheet entry only for transparency reasons and no cash was
paid to the State related to this entry. GASB -68 will be reflected in all of the enterprise funds
and the general fund.
Policy Issues:
Policy impacts of non -golf operational costs on the solvency of the golf course operations are:
Interfund Taxes - Admission Taxes (680.54.01), Transfers -Out (Indirect Cost Allocation
597.190.00) and the Public Utilities — Surface Water (680.47.26). Items 1 & 2 below are
transferred -in the golf budget from the general fund and then transferred -out of the golf budget
to the general fund. These policy issues are listed here to keep you informed of why the FGL
budget looks the way it does. These items could be considered now or in the 2017 -18 CAP
work plans.
1. The Admission Tax was established by Ordinance Number 1657 in 1993. It is a five percent
tax on admissions for entertainment purposes in the City of Tukwila to provide revenues for
Public Safety personnel. In 1995, the ordinance was repealed and amended to exclude bowling
alley(s). In 2015, there were 101 non traffic - related calls to one bowling alley and only 17 to
FGL. There are several golf courses in the region that charge an admission tax but there the
funds are used for the golf course capital improvement program.
2. The Indirect Cost Allocation is only charged to special enterprise funds. The program was
developed to identify the overhead costs associated with operating in the city and are currently
being charged to the enterprise funds (golf, sewer, water and surface water). The overhead
costs are for services from the various internal functions of the city operations: human
resources, technology services, council agendas, finance, custodial and facility maintenance.
The proposed fee for 2017 is $181 ,000 and $184,517 in 2018. A full review of the Indirect Cost
Allocation will be on the 2017 work plan.
W,2nah,'.kema,1-c Fr¢u,, €4. ME D 7:.n y.
INFORMATIONAL MEMO
Page 3
3. The Surface Water Management fee is charged for the square footage of non - pervious
materials on one's property, like parking lots and roofs. This fee is charged to several general
fund accounts like, parks, golf and facilities. These funds are transferred to the Public Works
surface water fund. Parks and FGL have many acres of grass and landscaping that naturally
infiltrates water, which actually alleviates some of the surface water, unlike paved surfaces and
city buildings (facilities). Another model in the region provides a credit to the property owner
that has more natural infiltration on their properties.
4. Although FGL is established as a special enterprise fund, the operations are dissimilar to the
three utility enterprise funds (water, sewer and surface water) in the city. The utility enterprise
funds are able to increase fees to cover the rising costs while not losing customers. Golf is a
market driven recreational opportunity and participants can choose another golf course if they
do not find value in the golf experience. If the FGL golf green fee is too high, the golfer may find
a better value at another golf course. Utility customers cannot choose another water, sewer or
surface water department if the rates are increased. Potentially, Tukwila's FGL special
enterprise fund model could be changed via the Tukwila Municipal Code.
RECOMMENDATION
The Council is being asked to review the Foster Golf Links budget and forward it on to the full
2017 -2018 biennial budget process.
ATTACHMENTS
Attachment A:
Attachment B:
Attachment C:
Attachment D:
Attachment E:
FGL Budget Sheets and ATTACHMENT G (as titled from the budget book)
FGL 15 -year Capital Improvement Plan
FGL Brief History
FGL 2015 Year in Review
GASB- 68Admission Tax
5
2017/2018 Preliminary Budget Attachment A
DEPARTMENT: Parks & Recreation
FUND: Golf Course
RESPONSIBLE MANAGER: Rick Still
FUND NUMBER: 411
POSITION: Director
Description
The mission of Foster Golf Links (FGL) is to provide a quality golfing experience for those that live, work,
and play in Tukwila. The golf course is operated as an enterprise fund with revenues covering all
maintenance, pro shop services, and capital costs.
2015 -2016 Accomplishments
♦ Developed and implemented a Reward's Card Program to acknowledge customer loyalty and
strengthen our core customer base. Strategic Goals 3 & 4. PROS Plan Goal 5.
♦ Strengthened our player engagement program by promoting PGA of America's "Get Golf Ready"
Program. Strategic Goals 2, 3, & 4. PROS Plan Goals 2, 3, 4, & 5.
♦ Implemented new Junior Golf Program by holding junior camps, private instruction, and
participated in the Jr. PGA Golf program. Strategic Goals 2 & 4. PROS Plan Goals 2, 3, 4, &
5.
♦ Expand partnership with restaurant concessionaire to meet the needs of the customers and
community and extend agreement for seven years. Strategic Goals 2, 3, & 4. PROS Plan Goals
3 & 4.
♦ Implemented Cart Replacement Plan. Strategic Goal 4. PROS Plan Goals 3 & 5.
2017 -2018 Outcome Goals
♦ Continue with Cart Replacement Plan. Strategic Goal 4. PROS Plan Goals 3 & 5.
♦ Improve operational efficiency and sustainability, and develop maintenance management plan.
Strategic Goal 1, 4, &5. PROS Plan Goals 4 & 5.
♦ Continue implementing deep tine aerification program. Strategic Goal 4 & 5. PROS Plan
Goals 4 & 5.
♦ Perform capital improvements at the course for playability and sustainability. Strategic Goal 4
& 5. PROS Plan Goals 4 & 5.
♦ Continue to expand our player engagement program to increase access to FGL. Strategic
Goals 2, 3, & 4. PROS Plan Goals 2, 3, 4, & 5.
2017 -2018 Indicators of Success
♦ Increased rounds of play.
♦ Additional new customers.
♦ Improved satisfaction with equipment.
♦ Better drainage on course, reduced soft spots, and healthier turf.
♦ Increased use of carts on course (not regulated to cart path only) during shoulder months.
1
7
2017/2018 Preliminary Budget
Attachment A
Revenue and Expense Summary
Foster Golf Course
Reconciliaton to Financial Statements
ACTUAL
PROJECTED
BUDGET
% CHANGE
714,539
2014
2015
2016
2016
2017
2018
2016/2017
2017/2018
Operating Revenue
6,132,364
7,014,317
5,904,327
5,686,629
5,478,801
- 3.69%
- 3.65%
Total Net Position
Charges for Services
$ 6,273,982
$ 7,052,492
$ 6,044,296
$ 5,836,233
$ 5,638,275
-3.44%
-3.39%
Non -Cash Adjustments to Capital Assets
Green Fees, Instruction
961,495
1,021,705
999,388
1,065,000
1,095,650
1,145,650
2.88%
4.56%
Sales of Merchandise
159,686
150,247
145,895
155,000
151,000
151,000
- 2.58%
0.00%
Rents and Concessions
282,228
299,547
283,098
288,000
306,000
309,000
6.25%
0.98%
Total Charges for Services
1,403,410
1,471,499
1,428,380
1,508,000
1,552,650
1,605,650
2.96%
3.41%
Miscellaneous Revenue
Excise Taxes
3,151
3,927
4,072
2,617
3,900
3,900
49.03%
0.00%
Investment Earnings
392
952
1,981
1,130
1,000
1,000
- 11.50%
0.00%
Sale of Capital Assets
-
(455)
-
-
-
-
0.00%
0.00%
Other Misc Revenue
(513)
6,365
8,123
-
7,000
7,000
0.00%
0.00%
Total Miscellaneous Revenue
3,030
10,789
14,176
3,747
11,900
11,900
217.59%
0.00%
Transfers In
600,000
300,000
300,000
300,000
300,000
300,000
0.00%
0.00%
Total Operating Revenue
2,006,440
1,782,288
1,742,556
1,811,747
1,864,550
1,917,550
2.91%
2.84%
Operating Expenses
Salaries & Wages
698,112
706,164
730,837
706,489
717,061
729,121
1.50%
1.68%
Personnel Benefits
241,978
225,993
272,613
256,075
306,120
321,672
19.54%
5.08%
Supplies
194,344
275,840
233,700
259,335
203,415
203,415
- 21.56%
0.00%
Services
252,795
310,253
316,363
297,744
331,020
352,554
11.18%
6.51%
Intergov't Services & Taxes
63,051
67,190
65,134
66,400
66,400
66,400
0.00%
0.00%
Total Operating Expenses
1,450,281
1,585,439
1,618,647
1,586,043
1,624,016
1,673,163
2.39%
3.03%
Capital Expenses
Capital Outlay
47,967
-
50,000
50,000
50,000
50,000
0.00%
0.00%
Total Capital Expenses
47,967
-
50,000
50,000
50,000
50,000
0.00%
0.00%
Indirect cost allocation
197,486
173,909
177,352
177,352
180,899
184,517
2.00%
2.00%
Total Expenses
1,695,734
1,759,348
1,845,999
1,813,395
1,854,915
1,907,680
2.29%
2.84%
Change in Fund Balance
310,705
22,941
(103,443)
(1,648)
9,635
9,870
- 684.62%
2.45%
Adjustments to working capital
Operating Prior Period Adjustment
(206,154)
(596,317)
-
-
-
-
0.00%
0.00%
Net working capital (Fund Balance)
714,539
141,617
38,174
139,969
149,604
159,474
6.88%
6.60%
Reconciliaton to Financial Statements
Net working capital (Fund Balance)
714,539
141,617
38,174
139,969
149,604
159,474
Net Investment in Capital Assets
7,217,532
6,132,364
7,014,317
5,904,327
5,686,629
5,478,801
- 3.69%
- 3.65%
Total Net Position
$ 7,932,071
$ 6,273,982
$ 7,052,492
$ 6,044,296
$ 5,836,233
$ 5,638,275
-3.44%
-3.39%
Non -Cash Adjustments to Capital Assets
Capital Prior Period Adjustment
757,473
0.00%
0.00%
Depreciation
298,023
327,238
253,214.34
278,037
267,698
257,828
- 3.72%
- 3.69%
2
8
2017/2018 Preliminary Budget
Attachment A
Expenditure Detail - Salaries and Benefits
Salaries for budgeted positions are based on actual costs for existing positions and include a cost of
living adjustment per contract agreements.
Foster Golf Course
Position
Description
2016
FTE
2017
FTE
2017 Budget
Salaries Benefits
2018
FTE
2018 Budget
Salaries Benefits
Director Parks and Recreation
-
-
Director of Instruction - Golf
1
1
$ 81,345
$ 42,520
1
$ 82,972
$ 45,034
Golf Maintenance Supervisor
1
1
81,345
39,240
1
82,972
41,492
Lead Maintenance Specialist - Golf
1
1
76,425
38,248
1
77,954
40,478
Fleet Technician Golf
1
1
72,126
25,076
1
73,569
26,301
AdminSupportTechnician - Golf
2
2.5
146,104
71,399
2.5
149,026
75,407
Maintenance Specialist Golf
2.25
2.25
145,675
60,872
2.25
148,588
64,194
Extra Labor
112,000
21,302
112,000
21,302
Overtime
2,040
156
2,040
156
Unemployement
-
6,120
-
6,120
Clothing Allowance
-
1,187
-
1,187
Department Total
8.25
8.75
$ 717,061
$ 306,120
8.75
$ 729,121
$ 321,672
3
9
2017/2018 Preliminary Budget
Attachment A
Expenditure Detail Operations - Supplies, Services, and Other
Supplies include irrigation, fertilizers, etc. for grounds maintenance and small tools. Services include
security, utilities, rental of equipment, insurance, repairs & maintenance for course equipment, rental and
maintenance charges, and memberships, among others. Intergovernmental includes admission taxes
paid to the City. Capital includes upgrades to tees and greens.
Foster Golf Course - Operations
Account Number
ACTUAL
2014 2015
PROJECTEC
2016
2016
BUDGET
2017
2018
411.00.576.680.31.00
Supplies - Office & Operating
$ 268
$ 2,461
$ 148
$ -
$ 2,400
$ 2,400
411.00.576.680.31.02
Supplies - Grounds Maintenance
26,776
36,401
46,314
52,530
40,000
40,000
411.00.576.680.31.03
Supplies - Irrigation
1,896
7,052
3,736
7,140
7,000
7,000
411.00.576.680.31.04
Supplies - Fertilizers & Misc. Chemicals
46,900
44,205
46,663
42,840
45,000
45,000
411.00.576.680.35.00
Small Tools & Minor Equipment - Tools
for course
3,520
1,951
47,479
66,810
4,000
4,000
Total Supplies
79,360
92,069
144,340
169,320
98,400
98,400
411.00.576.680.41.00
Prof Svcs - Geese control
3,848
10,969
1,900
3,672
5,000
5,000
411.00.576.680.42.00
Communication - Phones, alarms and
monitoring
440
1,563
1,493
1,377
1,521
1,521
411.00.576.680.43.00
Travel - Meals, mileage, parking for
professional development travel
626
765
765
300
300
411.00.576.680.44.00
Advertising
299
-
-
-
-
-
411.00.576.680.45.00
Rental - Bottled water, portable toilet
rentals, short term rental equipment
1,708
1,001
1,677
2,448
2,448
2,448
411.00.576.680.45.94
Rental - Equipment Replacement Fund
55,689
80,751
85,013
87,729
78,129
95,278
411.00.576.680.45.95
Rental - Equipment 0 & M
38,370
45,203
63,285
60,456
60,583
62,529
411.00.576.680.46.00
Insurance - WCIA
16,464
1,217
-
19,465
-
-
411.00.576.680.46.01
Insurance - WCIA
-
-
19,465
-
24,389
26,828
411.00.576.800.46.04
Insurance - Flood
-
18,538
-
-
-
-
411.00.576.680.47.00
Public Utility - Puget Sd Energy - pump
stations, water - course restrms,
maintenance shed
9,017
-
10,200
10,200
-
-
411.00.576.680.47.21
Electric
-
11,338
3,253
-
12,000
12,000
411.00.576.680.47.22
Gas
-
604
249
-
700
700
411.00.576.680.47.25
Water /Sewer
-
6,083
1,785
-
6,200
6,200
411.00.576.680.47.26
Surface Water
-
28,649
16,473
-
31,000
31,000
411.00.576.680.47.01
Public Utility - SSWM charges
23,875
-
21,209
21,209
-
-
411.00.576.680.47.09
Public Utility - Puget Sound Energy, City
water -wash bay and maintenance bldg
7,545
3,727
4,718
5,610
4,000
4,000
411.00.576.680.48.00
R &M - Contracted parking lot
maintenance, fire alarm test, misc.
repairs
12,701
6,636
6,629
7,140
10,000
10,000
411.00.576.680.48.01
R &M - Professional Tree Removal
-
-
-
-
6,000
6,000
411.00.576.680.48.03
R &M - Pump station and river pump, 9th
fairway pump station
821
2,828
3,924
2,448
3,000
3,000
411.00.576.680.49.00
Misc - Memberships, uniform cleaning,
prof dev, WWGCSA mem, WSDA cert.
2,347
1,891
3,929
2,244
2,000
2,000
411.00.576.680.49.01
Misc -
-
-
255
255
-
-
Total Services
173,750
220,999
246,223
225,018
247,270
268,804
411.00.576.680.54.01
Intergovernmental - Admission Taxes
56,917
60,491
58,811
60,000
60,000
60,000
Total Intergovernmental
56,917
60,491
58,811
60,000
60,000
60,000
411.00.594.760.63.05
Capital - Tees & Greens
-
-
50,000
50,000
50,000
50,000
411.00.594.760.64.00
Capital
47,967
-
-
-
-
Total Other
47,967
-
50,000
50,000
50,000
50,000
Total Supplies, Services and Other
$ 357,994
$ 373,558
$ 499,374
$ 504,338
$ 455,670
$ 477,204
4
10
2017/2018 Preliminary Budget
Attachment A
Expenditure Detail Pro Shop - Supplies, Services, and Other
Services for the Pro Shop include supplies for the shop and resale items. Services include annual
required testing, advertising, utilities, rental of equipment, repair & maintenance, and memberships,
among others. Intergovernmental includes excise tax paid on revenue earned.
Foster Golf Course - Pro Shop
Account Number
2014
Actual
2015
Actual
2016
Projected
2016
Budget
2017
Budget
2018
Budget
411.00.576.681.31.00
Supplies - Office & Operating
$ 4,441
$ 6,102
$ 2,752
$ 2,040
$ 6,415
$ 6,415
411.00.576.681.31.01
Supplies - Building
3,384
1,514
1,032
4,080
-
-
411.00.576.681.31.02
Supplies - Rental
491
1,113
628
255
500
500
411.00.576.681.31.04
Supplies - Repair
2,133
2,356
2,077
2,040
1,500
1,500
411.00.576.681.34.01
Supplies - Pro Shop (Resale)
104,536
109,128
82,872
81,600
66,000
66,000
411.00.576.681.34.02
Supplies - Concessions
-
-
-
-
15,600
15,600
411.00.576.681.34.03
Supplies - Special Order (Resale)
-
-
-
-
15,000
15,000
411.00.576.681.35.00
Tools /Small Equip - Golf Carts
-
63,557
-
-
-
-
Total Supplies
114,984
183,771
89,360
90,015
105,015
105,015
411.00.576.681.41.00
Prof Svcs - SZEN annual support - Online
Tee Reservation, Advertising and artwork,
Orbit: Webpage
6,471
5,334
5,017
6,120
4,400
4,400
411.00.576.681.42.00
Communication - Phone, cable and alarm
monitoring
3,285
1,871
3,419
3,876
4,150
4,150
411.00.576.681.43.00
Travel - Meals, mileage, parking for
professional development related travel
176
78
11
200
200
411.00.576.681.44.00
Advertising - Misc advertising expenses
1,481
8,232
5,090
4,080
4,000
4,000
411.00.576.681.45.00
Rental - Special event fleet rental and
portable toilet rentals
3,603
5,816
5,480
1,020
5,000
5,000
411.00.576.681.47.00
Public Utility - City Light, Puget Sound
12,701
(27,685)
(12,919)
8,160
(32,000)
(32,000)
Energy, Sound Security
411.00.576.681.47.21
Electric
-
39,360
14,953
-
40,000
40,000
411.00.576.681.47.22
Gas
-
1,444
117
-
1,500
1,500
411.00.576.681.48.00
R &M - Cart maintenance and repair,
Clubhouse oil separator, building repair &
window washing, HVAC maintenance
22,836
22,052
10,782
10,200
20,000
20,000
411.00.576.681.48.01
R &M - Golf equipment
-
-
259
-
-
-
411.00.576.681.49.00
Misc - Memberships - Nat'l Golf
Foundation, PGA , PNGA, UAGA, Cintas
mat /laundry svc, professional
development, misc.
7,255
9,145
7,751
8,670
8,500
8,500
411.00.576.681.49.01
Misc - Printing of score cards, brochures,
forms
958
3,060
3,060
3,000
3,000
411.00.576.681.49.08
Misc - PPI credit card fees
20,278
23,608
27,121
27,540
25,000
25,000
Total Services
79,045
89,254
70,140
72,726
83,750
83,750
411.00.576.681.53.00
Intergovernmental - Excise tax
6,134
6,699
6,322
6,400
6,400
6,400
Total Other
6,134
6,699
6,322
6,400
6,400
6,400
Total Supplies, Services and Other
$ 85,179
$ 95,954
$ 76,463
$ 79,126
$ 90,150
$ 90,150
5
11
Attachment A COW 9 -7 -16
ATTACHMENT G
City of Tukwila
GOLF ENTERPRISE FUND
2017 - 2022 Analysis in 000's
Foster Golf Links Preliminary 2017 -18 Budget, July 25, 2016
REVENUES (a)
2014
Actual
2015
Actual
2016
Budget
2016
Estimate
2017
2018
2019
2020
2021
2022
Total
Excise Tax (317.200)
3
4
3
3
4
4
4
4
4
4
24
Merchandise (341.702)
141
128
135
135
129
129
132
134
137
140
800
Snacks Sales (341.704)
18
22
20
20
22
22
22
23
23
24
136
Green Fees (347.301 & 302) (1)
958
1,012
1,059
1,052
1,084
1,134
1,169
1,174
1,209
1,233
7,001
Instruction (347.601) (1)
4
10
6
6
12
12
12
12
13
13
74
Interest Earnings (361.110)
0
1
1
1
1
1
1
1
1
1
6
Rentals (Clubs Sc Pull Carts) (362.100)
13
13
13
13
13
13
13
14
14
14
81
Rentals (Riding Carts) (362.101)
170
186
177
177
190
190
194
198
202
206
1,179
Concession Proceeds (362.800)
99
100
98
100
103
106
108
110
112
115
655
Other - Rewards Program (369.900)
0
7
0
6
7
7
7
7
7 I
8
43
Subtotal
1,407
1,484
1,512
1,513
1,565
1,618
1,662
1,677
1,722
1,757
10,000
General Fund Contribution (397.190) (2)
600
300
300
300
300
300
300
300
300
300
1,800
Total Revenues
2,007
1,784
1,812
1,813
1,865
1,918
1,962
1,977
2,022
2,057
11,800
EXPENDITURES
Golf Maintenance (680)
789
862
1,024
999
985
1,024
1,045
1,066
1,087
1,109
6,315
Pro Shop Operations (681)
604
663
502
501
579
590
602
614
626
639
3,649
Golf Capital - CIP Program
48
0
50
70
50
50
50
50
50
50
300
Subtotal
1,441
1,525
1,576
1,570
1,614
1,664
1,696
1,729
1,763
1,797
10,264
Admission Tax (680.54) to General Fund
57
60
60
60
60
60
60
60
60
60
360
Indirect Cost Allocation (597.190) to General Fund (5)
197
174
177
177
181
185
188
192
196
200
1,141
Subtotal
254
234
237
237
241
245
248
252
256
260
1,501
Total Expenditures
1,696
1,759
1,813
1,807
1,855
1,909
1,945
1,981
2,019
2,057
11,765
FUND BALANCE
Change in Fund Balance (6)
311
24
(2)
6
10
9
18
(4)
3
(0)
35
Operating prior period adjustment (GASB -68)
(206)
(596)
Beginning Balance
610
715
142
141
141
150
159
177
173
176
976
Ending Balance
715
142
141
147
150
159
177
173
176
176
1,011
Fund Balance:
Reserved(`) 20% of revenue
306
281
297
302
302
313
324
332
335
344
1,951
Unreserved
408
(139)
(156)
(156)
(152)
(154)
(147)
(160)
(159)
(169)
(940)
Ending Balance
715
142
141
147
150
159
177
173
176
176
1,011
(a) Revenues and expenditures are increased 2% years 2019 -2021, except for Green Fees which include a fee increase in the even years.
(b) Revenues m excess of (less than) expenditures
(`) Annual reserve balance policy requirement equals 20% of the prior year operating revenues.
1 22017 - 2021 Financial Planning Model
XXIx
ATTACHMENT G, Page 2 is not available at this time
MlBudget and CIP12017- 181GOItlGOI/A8 G 2017- 2022 (NEW)7-20-16 to COW 9-7 -16 9/7/2016
U
Attachment B
mrovement Plan
01
N
0
N
50,000
40,000
18,000
o
o
o
O
N
00S`T
0
0
IA
r
LO
N
o
N
18,000
00
N
0
N
50,000
20,000
0
0
0
O
tip
N
N
O
N
30,000
40,000
30,000
N
N
0
N
50,000
20,000
0
0
lID
c-1
O
0
LC)
rl
kJ)
L
N
0
N
40,000
60,000
60,000
UD
N
N
50,000
0
\4
61,450
in
N
0
N
40,000
20,000
0
0
o
O
LD
60,000
N
N
O
N
50,000
63,600
v
N
0
N
40,000
0
o
0
Ln
N
0
o
O
Lfl
,-1
20,000
o
N
00S`T
OV
,-I-
40,000
N
0
N
50,000
0
0
0
d-
20,000
0
O
lO
0
0
o
O
lD
0
O 0
O
0
N
N
50,000
20,000
O
O
,1
61,400
.-1
N
O
N
40,000
0
0
O
O
LD
60,000
N
N
N
50,000
20,000
0
0
,--
0
0
O
0,'
0
0
O
lfl
40,000
20,000
43,000
N
O
N
50,000
O
m
,-1
64,700
0
m
N
40,000
O
Lfl
)--I
20,000
38,000
0
N
0
N
50,000
0
0
M
% -I
lO
o
N
o
20,000
50,000
o
O
N
r
50,000
m
ci
0
N
50,000
O
0
O
0
0
N
50,000
LO
,--I
O
N
50,000
O
.-i
o
N
50,000
20,000
0
0
O
Ln
,-I
0
0 0
0
N
O
O
O
O
85,400
in
.--1
0
N
0
0
O
Ul
,-1
63,000
50,000
N
,.i
0
N
50,000
45,000
0
0
0
m
86,000
Comments
new fleet 4 -6yrs
0
0
o
Lf1
50,000
,--1
O
N
50,000
0
0
o
0
Lfl
SUBTOTAL
C1
X
U.!
J
i
i
T
in
50,000
Ln
,-i
0
N
50,000
N
o
u
o
o
o
o
o
L(1
O
O
0
O
O
0
Project
0
Comments
Resurface cart barn - traction &drainage
Interior painting
Awning cleaning
in good shape
2008
Cr)
O
O
N
2012
Recirculation Pump (boiler water system)
2014
Compressor Replacement
Fountain Pumps (2x)
c-1
00
c
0
,D
N
SUBTOTAL
w
N
;-
J
N
T
0
NI
>'
1,1
,--I
T
-
c-1
T
0
,-1
T
0
,-1
T
0
N
T
m
,-1
>'
T
0
,-1
T
0
N
Estimated
Cost
70,000
45,000
20,000
0
0
0
Ul
ri
23,000
65,000
7,000
16,000
25,000
0
0
0
Ln
ri
20,000
0
0
0
e-1
N
,-1
120,000
120,000
120,000
Project
'CAPITAL BUDGET
Pond Liner
L 01
O
CO
CI-
Carpet
Drainage pump #18 fairway
River irrigation pump
Irrigation pump /panel - pond
Cart Barn Heater
Weather Station
Exterior Painting
OA
C
C
Q
Design green /bunker renovation
Bunker rebuild & drainage
Green renov. #1 & #3
Green renov. #6 & 147
Green renov. #10 & #13
,-1
N
m
-
in
LD
oo
rn
2
Q
m
U
0
Lu
O
O
O
N
M
O
O
O
O
O
O
O
O
O
O
O
O
O
O
O
al
N
O
N
40,000
o
o
o
O
N
00S`T
0
0
IA
r
LO
N
o
N
40,000
20,000
0
0
0
O
tip
N
N
O
N
40,000
20,000
0
0
lID
c-1
O
0
LC)
rl
kJ)
L
N
0
N
40,000
20,000
0
\4
61,450
in
N
0
N
40,000
20,000
0
0
LO
Cr,'
63,600
v
N
0
N
40,000
20,000
o
N
00S`T
OV
,-I-
64,900
N
o
0
0
0
d-
20,000
0
O
lO
N
N
O
N
40,000
20,000
O
O
,1
61,400
.-1
N
O
N
40,000
20,000
0
0
,--
61,400
o
N
0
N
40,000
20,000
O
m
O
m
,-1
64,700
m
,i
o
N
40,000
20,000
00£ `T
0
0
M
% -I
lO
o
N
o
20,000
o
O
N
r
0
O
N
% -I
N
N
O
N
O
0
O
0
0
N
0
0
0
O
N
LO
,--I
O
N
O
OO
m
LD
0
0 0
0
N
O
O
O
O
85,400
in
.--1
0
N
63,000
20,000
0
0
0
m
86,000
Comments
new fleet 4 -6yrs
SUBTOTAL
C1
X
U.!
J
i
i
T
in
vl
i
i
T
m
i
T
N
N
o
u
o
o
o
o
o
L(1
O
O
0
O
O
0
Project
'OPERATIONS BUDGET
Golf Carts
Resurface cart barn - traction &drainage
Interior painting
Awning cleaning
Spot exterior painting
Restroom counters
Replace bollards
Sand for Topdressing
Recirculation Pump (boiler water system)
Replace Washer /Dryer
Compressor Replacement
Fountain Pumps (2x)
c-1
N
m
U)
lD
O
O
0
00
O
0
'.O
etc
N
�-i
O
O
O
O
O
0
O
O
O
N.
O
O
O
0
O
L!1
M
-1
O
O
O
l0
00
GRAND TOTAL
13
tachment B FGL 2017 -18 Budget -15 yr CIP
M:IBudgetand CIP12017 -181G
1 .4
Foster Golf Links
Brief History
Attachment C CAP 7 -25 -16
Foster Golf Links was designed on the historic homestead of Joseph Foster, a government scout and packer, who homestead-
ed the land in 1853. A maple tree, planted by him less than a decade after the Civil War, remains on the NW portion of the
property. The golf course was built in 1925 by George Eddy and was one of the first public fee courses on the west coast.
Governor Louis F. Hart was the first on the tee for the opening of the facility. His caddy was Joe Aliment, who would soon
become the owner and operator of the facility for many years.
The Aliment family owned and operated Foster from 1952 -1977.
The City purchased Foster Golf Links after Voter Approval in 1976 to finance the purchase through General Obligation Bonds.
During consideration leading up to the ballot, there was much discussion and the formation of an Ad Hoc committee. It was
noted that it would be advantageous for the City to have such a recreation area within the community, and it would help pre-
serve green space for future generations.
Resolution 554 for November 2, 1976 ballot read, in part - "Shall the City of Tukwila incur general indebtedness ... of acquir-
ing certain real properties knows as 'The Foster Golf Course' for recreation purposes ..." The ballot measure passed and
when the sale was final in 1978, Councilperson Bohrer proclaimed at the May 1, 1978 Regular Meeting',
"Hurray, Hurray, the first of May; Tukwila bought Foster Golf Links today."
Three different concessionaires operated the facility until 1990, when the City's Parks and Recreation Department assumed
management of the facility.
The course record was set by Joe Korn on his birthday, May 23rd, 2008. Mr. Korn (Foster HS alum) blistered the course, firing
an astounding 57 - a front nine 28 was followed by an inward nine of 29.
18 -hole Golf Course
77 acres of Green Space
Most Kid - Friendly Course - Cascade Golfer Magazine
High - quality, trained staff
Instructional and Junior Golf Programs
Tournaments (80 tournaments, local and regional business and non -profit groups)
League Play (17 leagues with 250 -300 golfers each week)
Footgolf
Special Events (Glow Ball, Movie Night, League Cup, Right v Left, Hair of the Dog)
Wildlife Habitat - Bald Eagles, Osprey, Salmon, Beaver, Coyote, Heron
Washington State Dept. of Ecology & KC Riverbank Restoration Site
150 Trees planted along shoreline within past 7 years
Award - winning Billy Baroo's restaurant
Best View in Tukwila - Saturday Jazz Nights
Community Meeting Place - Businesses, Receptions, Banquets (approx. 250 events /year)
1 Minutes from May 1, 1978 Regular Meeting
TUKWILA
PARKS • RECREATION
GOOD HEALTHY FUN
15
16
17
1 8
Foster Golf Links
2015 Year in Review
The story of the 2015 Foster Golf season was a story of rejuvenation.
Attachment D CAP 7 -25 -16
The staff at Foster worked tirelessly engaging with core customers while reaching out to new golfers on a variety of
levels. Staff continues to work as a team to produce a quality product and provide the best in customer service.
Over 51,000 rounds were played in 2015; representing a 7.5% growth over 2014. It is the most rounds and revenue
Foster has recorded since 2009. Revenue also reached its highest level in the last 6 years.
2011
2012
2013
2014
2015
Rounds
➢ The staff at Foster created and updated several round producing options for guests. The most important was a
fundamental change in our interaction and engagement with the golfing public.
➢ Foster adjusted the times on the tee sheet to create more opportunities to play. This involved several tasks to
ensure that we could still provide impeccable service while maximizing play.
➢ FootGolf continued to be a success, nearly 1,000 rounds were added 2015.
➢ A more active role in on -line presence was a focus for staff. Utilizing Internet Booking Engine's (Golf Now)
massive database, staff was able to market to over 50,000 local golfers on a variety of opportunities.
➢ The staff at Foster created both weekday and weekend afternoon specials. Recognizing there are openings in
the tee sheet, staff created dynamic pricing programs to fill those open spots.
o Included, was a weekday 9 Holes and Lunch special in conjunction with Billy Baroo's.
o An early afternoon special on the weekends that filled the gaps before FootGolf.
o The "12 Man Special" was a Sunday special. Discounted green fees were offered during Seahawks
games. What was once 0 -8 golfers during game time was soon exceeding 50 golfers.
19
Rounds
Rounds
Rounds
Rounds
Rounds
Jan
692
716
706
1,157
1,144
Feb
1,125
1,404
1,417
736
1,571
Mar
1,712
1,622
2,899
1,979
3,198
Apr
3,171
4,343
3,757
4,452
4,731
May
5,519
5,847
6,220
6,472
6,880
Jun
7,103
6,262
7,429
6,997
7,616
Jul
7,676
8,075
8,156
7,924
8,339
Aug
8,345
8,162
7,618
7,777
7,744
Sep
5,901
6,795
4,857
5,328
5,353
Oct
2,704
2,598
2,930
2,774
3,258
Nov
1,055
1,096
1,287
926
868
Dec
947
508
481
745
306
Total
45,950
47,428
47,757
47,267
51,008
Rounds
➢ The staff at Foster created and updated several round producing options for guests. The most important was a
fundamental change in our interaction and engagement with the golfing public.
➢ Foster adjusted the times on the tee sheet to create more opportunities to play. This involved several tasks to
ensure that we could still provide impeccable service while maximizing play.
➢ FootGolf continued to be a success, nearly 1,000 rounds were added 2015.
➢ A more active role in on -line presence was a focus for staff. Utilizing Internet Booking Engine's (Golf Now)
massive database, staff was able to market to over 50,000 local golfers on a variety of opportunities.
➢ The staff at Foster created both weekday and weekend afternoon specials. Recognizing there are openings in
the tee sheet, staff created dynamic pricing programs to fill those open spots.
o Included, was a weekday 9 Holes and Lunch special in conjunction with Billy Baroo's.
o An early afternoon special on the weekends that filled the gaps before FootGolf.
o The "12 Man Special" was a Sunday special. Discounted green fees were offered during Seahawks
games. What was once 0 -8 golfers during game time was soon exceeding 50 golfers.
19
Weather
Weather will always have a tremendous impact on the two most important numbers in golf...rounds and revenue.
While the 2015 annual precipitation in the area did exceed the yearly average by over 7 inches, there were several
spring and summer months that provided Foster great opportunities of growth. The great weather in the spring
allowed Foster to post positive round totals which would carry us through the extremely soggy and cold conditions that
would begin in October. In the last quarter of the year, Foster received over 2 feet of rain which lightly stunted our
momentum.
Engagement
Customer Engagement is of utmost importance to Foster Golf Links operations.. Without customer engagement, Foster
would continue spinning their wheels and not realize its full potential. Customer Engagement is a long term process that
must continue to be nurtured and expanded upon. The staff at Foster approached Customer Engagement from multiple
angles and created multiple opportunities to impact the relationships that we have with so many of our customers,
members, and guests.
The following is a sample of our Engagement Program at Foster in 2015.
Event Engagements
➢ Staff created an event for New Year's Day which sold out immediately. A day traditionally closed at Foster was
transformed into a fun and exciting event, which brought in over $1500 of revenue. This event was a total team
effort between Golf Shop staff, maintenance crew, and Billy Baroo's.
➢ Staff created The League Cup tournament. This event was open to all of our league members as a team
competition. This now annual event attracted a large number of players and created a sense of pride within
each league. The winning league, The Structures, was rewarded with a perpetual plaque in our Hall of
Champions.
➢ An additional tournament to the Men's Club Calendar. The Ron Hadford Senior Open was a huge success. Not
only was this a success financially in 2015, the event has been put onto the Men's Club future calendar and will
be played annually hereafter.
➢ Foster continued with The Moonlight Classic, the annual night
event sold out with over 100 golfers for the 10th year in a row. The
Moonlight is put on by the staff at Foster and is a small fundraiser
for Camp GoodTimes of the Ronald McDonald House.
➢ Foster held its first ever Movie Night: Caddyshack. Partnering
with a local business, the event sold out golf event followed with
the outdoor cinema showing of Caddyshack. Over 60 players
participated in the golf tournament, with another 50 -60 people
attending the movie.
Instructional Engagements
➢ The Get Golf Ready program at Foster Golf Links saw a tremendous amount of growth in 2015. The GGR
program is an instructional program that best connects with the introductory player. This 5 session program
20
allows us to have multiple engagement opportunities and to build course loyalty. Our summer evenings were
spent teaching new golfers about this fantastic game.
➢ Two instructors, Mary Margaret and Warren held bi- weekly instructional clinics for the Foster Ladies Club.
These 1 hour sessions were held to assist our lady members in their continuing goal of improving their games.
We were able to create a tremendous amount of goodwill and once again multiple engagement opportunities.
➢ This was the second year of revitalizing the program with Junior Golf. Foster made great strides in finding more
young golfers and having them commit to an annual instruction and play program. Partnering with the PGA, we
were able to bring PGA Junior Golf League and its sister program for the older teenage players.
➢ The Foster PGA JGL team traveled around the Puget Sound
playing other golf courses junior teams. Teams played at
private country clubs like Meridian Valley and Tam 0 Shanter.
➢ Instructional staff was able to prepare 7 junior golfers for their
High School teams. 6 of them made their respective teams as
freshman!
➢ Deron Pointer, instructor, was also named Head Coach of the
Foster High School Golf Team. This is a nice honor for Deron
and also provides us an inroad into the local schools. Deron is
committed to resurrecting the Foster HS Golf Team to its past
heights.
The Golf Course
The maintenance crew did a fantastic job on the golf course in 2015. While the summer weather will be remembered
for years it did provide multiple challenges. The mini - drought conditions between May -July created difficulties in
watering the golf course properly to maintain its optimum playing conditions. The crew worked hard to correct any
trouble areas in irrigation and keeping a proper amount of water on the course to be aesthetically pleasing and
providing an optimum growing condition for the continued health of the turf.
The great summer time weather ended abruptly in the fall. Foster recorded over 2 feet of rain in the last 3 months of
2015. While the impact was felt in rounds and revenue, it additionally created numerous challenges for the crew.
One major project that has been undertaken has seen very positive results, in 2014 Foster purchased a Core Aerator and
followed it up with the purchase of a new Top Dresser. These pieces of equipment have allowed the staff to improve
the drainage and playing conditions at Foster.
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The two main areas that the crew addressed in 2015 were the Teeing Grounds and the areas surrounding the putting
surfaces (the surrounds). These areas have seen a budding revitalization in their health and playability. The firmer
ground is not only a better playing surface but more importantly it is safer for the playing public.
For the semi - annual putting green aerification, Curt Chandler working with the latest information from the GCSAA, went
outside the traditional box and updated the process. By changing from hollow to solid tines, from large to small holes,
and by adjusting the sanding process, the maintenance crew was able to complete their task in less time. Another major
result was the speed of the putting green recovery. What historically was a multi week process was down to just a few
days. This unexpected surprise allowed us to have a more desirable playing condition, which directly resulted in an
increase in rounds and revenue.
An aside project at Foster was completed by the Department of Ecology and King County. Near the 15th Tee Box, the
river bank was sloughing into the Duwamish River. The past introduction of Wrap Rock had created an eddy that was
eating away at the golf course. The repair project involved the driving of multiple pylons and the chaining up of several
large trees and root balls. This will allow the silt flowing downriver to collect and slowly rebuild the river bank.
Conclusion
Foster made some huge strides in 2015 as we strive to fulfill our potential. We will continue to highlight our
commitment to Customer Engagement. This will include more Engagement Events and Instructional Opportunities as
we continue to build upon our successes from this past year.
We will also emphasize our commitment to Junior Golf, especially a more direct approach with the Tukwila HS. We
anticipate a healthy growth in The Junior Golf Program, with added teams in the PGA Jr Golf and training High School
players.
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Attachment E CAP 7 -25 -16
GASB -68 Explanation
The Governmental Accounting Standards Board (GASB) establishes accounting and financial reporting
standards for U.S. state and local governments that follow Generally Accepted Accounting Principles
(GAAP). The GASB develops and issues accounting standards intended to promote financial reporting
that provides useful information to taxpayers, public officials, investors, and others who use financial
reports. The standards are recognized as authoritative by state and local governments including the
City of Tukwila.
GASB 68 (Accounting and Financial Reporting for Pensions) is intended to improve information
provided by state and local governmental employers about financial support for pensions by increasing
visibility of pension commitments. GASB 68 made two changes. First, it moved pension funding
information out of the footnotes and onto the balance sheets of employers. Previously, the City only
had to disclose pension related information. Second, it required employers that participate in cost -
sharing plans (i.e. PERS 1, 2, 3; PSERS 2; and LEOFF 1, 2) to provide information regarding their
share of the net pension liability on their books.
The reason the GASB implemented statement 68 is because, even though pension plans in
Washington state are either fully or almost fully funded, many other states are severally underfunded.
The GASB wanted to bring visibility to this issue and require reporting the liability. The statement
applies to all state and local governments, regardless of funding levels. The City was required to
implement this statement for reporting year 2015. Implementing this statement resulted in a prior
period adjustment that reduced 2015 beginning fund balance by $9.5 million for governmental funds
and $2.3 million for enterprise funds. Additionally, the City then needed to adjust the liability to reflect
the change in liability in fiscal year 2015. The liability was allocated based on employee count in each
fund. Going forward, the City will need to adjust the liability each year to reflect the change in the
pension liability. If the liability is reduced, then fund balance will increase but if the liability increases,
then fund balance will decrease. It is important to note that this is a balance sheet entry only, no cash
was paid to the State related to this entry.
The impact to the enterprise funds is as follows:
Effect on Net Position
Surface
Water Sewer Golf Course Water Total
Prior period (524,409) (304,471) (596,317) (883,057) (2,308,254)
Current period 24,573 14,269 27,944 41,379 108,165
Effect through 12/31/2015 (499,836) (290,202) (568,373) (841,678) (2,200,089)
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