01-15-2015 Council Packet - Laserfiche WebLink

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.� � 4. League Fee. In 2014 the City added a league fee to the Golf cowse fee schedule. Before 2013, Orono allowed season pass holders to use their season passes for league play. Last year the City no longer allowed season passes to be used for league play and instead charged a reduced green fee for league play if the players had a season pass.This was not popular with league players so a league fee of $140 for season pass holders was put in place in lieu of the reduced green fees. This only applied to season pass holders and non-season pass holders will have to pay the standard green fee. This fee also proved unpopular. The common complaint was that the golf course was changing an extra fee but not providing any additional services. In some cases leagues disbanded to be replaced by the same group of golfers simply meeting up to play golf at the same time. In 2014 only 9league fees were paid. 5. Pass Cards. For several years Orono Public golf course has offered 10 and 5 round pass cards. The pass cards allowed a golfer to pre-purchase 11 rounds of golf for the cost of 10 or 6 rounds of golf for 5. This year the golf course introduced a very popular"punch"card system to encourage return business. The introduction of the punch card system has resulted in the Pass Cards becoming less attractive and little used. In 2014 only 25 Pass cards were sold. 6. Market Comparison.A market comparison of the Orono fees to nearby public golf courses indicates that all of Orono's fees are significantly cheaper.For individual fees I compared the 9 hole fees at the other courses. On average Orono fees are�$5 cheaper. I compared season pass to season pass. This is more difficult as the majority of the nearby courses do offer more amenities that Orono(18 holes,driving ranges etc.)but also have differing restrictions such as weekdays only. The average season pass at the other golf courses is�$500 more expensive. Our equipment rentals were comparable to other courses. 7. Recommendations. I recommend that Orono make the following adjustments to the Golf course fee schedule: Action Justification Keep individual greens Orono fees are slightly lower than nearby competition. Since Orono has fees the same. fewer amenities than nearby competition a reduced price should keep our course com etitive. Eliminate the 10 and 5 The system has become obsolete. Keeping the new punch card system and pass cards. eliminating the pass card system will reduce patron confusion while maintainin a re eat business incentive. Eliminate the League fee The league fee has proven ineffective and unpopular. Increase the season pass An increase of 25%could generate an additional$10,500 of revenue. fees This would bring the revenue per round to$4.67 which is still a considerable savings over the cost of purchasing individual rounds. The adjusted season pass fees would be: Individual$425 (up from$340) Senior$300 (up from$240) Junior$300 (up from$240) Famil $560 u from$450 Equipment fees remain Our equipment fees were comparable to the surrounding courses. Our the same for 2015. equipment revenues more than cover our equipment expenses. Rental revenue in 2014 was$27K while ex enses were$7.3K. COUNCIL ACTION REQUESTED: Motion to approve change to the 2015 fee schedule to increase season pass rates by 25%, eliminating the league fee and pass cards while keeping all other fees at their 20141evels.