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HomeMy WebLinkAboutRes 1752 - Golf Course Fund Financial ProtocolsCity of Tukwila Washington Resolution No. l % 5 a. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, ADOPTING FINANCIAL PROTOCOLS FOR THE GOLF COURSE FUND. WHEREAS, the golf course serves the community by providing environmental benefits and a park -like, visually appealing experience; by providing recreational services to youth, seniors and others; and by providing a meeting place for Tukwila residents and others; and WHEREAS, these amenities strengthen our community, making Tukwila a more attractive place to live and adding to the vision of Tukwila as an entertainment center; and WHEREAS, the citizens of Tukwila made their desires known by voting to acquire the golf course in 1975; and WHEREAS, the golf course operating revenue has historically been insufficient to cover the cost of servicing the bond debt, issued in 2003 to fund construction of the clubhouse, and to cover certain General Fund charges to the fund; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, HEREBY RESOLVES AS FOLLOWS: Section 1. The City Council hereby agrees for 2012 and beyond that no portion of the Parks and Recreation Director's salary and benefits will be charged to the Golf Course Fund. Section 2. The City Council hereby agrees that for 2012 and beyond the operating costs of the maintenance building shall be born proportionally by the General Fund Parks Division and the Golf Course Fund based on usage of the facility. Section 3. The City Council hereby agrees to characterize the $650,000 transfer to the Golf Course Fund by the General Fund in 2004 as reimbursement to the Golf Course Fund for the Parks Division portion of the maintenance building construction costs. W: \Word Processing \Resolutions \Financial Protocols for Golf Course Fund 11 -16 -11 PM:bjs Page 1 of 2 Section 4. The City Council hereby agrees to consider the outstanding bond debt, issued in 2003 to finance the construction of the clubhouse, as a governmental obligation and authorizes the transfer of the balance of this debt from the Golf Course Fund to a governmental debt service fund after the December 1, 2011 debt service payment. Section 5. The City Council hereby authorizes the transfer of $3,302,960 of accumulated sales tax revenues from the Land & Parks Acquisition Fund 301 to the debt service fund established in Section 4 of this resolution for the purpose of paying the scheduled 2012 and 2013 debt service costs and for early redemption in December 2013 of the outstanding bond balance. Section 6. The City Council hereby establishes for 2012 an indirect cost allocation charge of $15,000 for the Foster Golf Course Fund by the General Fund and agrees to review this charge in connection with the 2013 -2014 biennial budget. Section 7. The City Council hereby agrees for 2012 to continue assessing the admissions tax on golf course operations. Section 8. The City Council hereby agrees for 2012 and beyond to discontinue the automatic transfers into the Golf Course Fund by the General Fund and to provide transfers only on a discretionary basis if needed to allow the Golf Course Fund to operate at a break -even level. PASSED BY THE CITY COUNCIL OF THE CITY O'_FfTUKWILALLWASHINGTON, at a Regular Meeting thereof this op I sr_ day of lV Q ti , 2011. ATTEST /AUTHENTICATED: Christy O'Flaherty, CMC, City Cler APPROVED AS d FO' M BY: ey M. y Attorney an kberg, Council Pre� 'dent Filed with the City Clerk: —1 61 Passed by the City Council: Resolution Number: ) r- W: \Word Processing \Resolutions \Financial Protocols for Golf Course Fund 11 -16 -11 PM:bjs Page 2 of 2