ORDER-2020-95 : Mt. Hood Enterprise Operating Budget for Fiscal 2021 in the amount of $1,565,259.92 (One Million, Five Hundred Sixty-Five Thousand, Two Hundred Fifty-Nine Dollars and Ninety-Two Cents).

Transcript (~14 min @ 1:21:11)

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▶ 1:21:13 Christopher Cinella: Next on our list, 931, Mount Hood and Revolving Account 2669, Capital Outlay for Mount Hood Parks and Revolving Account 2659, as that pertains to Order 2020-95, Mount Hood Enterprise Operating Budget for Fiscal 2021, in the amount of 1.56525992.

▶ 1:21:39 Speaker 2: We have, is that all with us?

▶ 1:21:51 Speaker 3: Mr. Gardner and Joan Bell. Superintendent Bell. Can you hear us? I can hear you. Can you hear me? Yes. Joan, can you hear us? Yes, I can.

▶ 1:22:01 Speaker 3: Bill, we can't see you. I don't know if you have video capability. I do, but where do I click?

▶ 1:22:21 Speaker 3: I do understand that you folks are very busy tonight, so Joan and I will try to make this brief. The Mount Hood Enterprise Fund budget request is for $1,565,259.92. Well, all of you are probably well familiar with the Mount Hood Park.

▶ 1:22:51 Speaker 3: It's a vehicle which allows us to collect the revenues generated from the golf course and pay the operating expenses through the Enterprise Fund. It is treated separately from an accounting point of view by the DOR, and is audited on an annual basis. The actual golf course operations are maintained by Golf Management of Massachusetts, pursuant to a publicly bid contract that runs from 2018 through 2022. Joan, of course, is the outstanding steward of the entire operation. Her and her administrative assistant, Cindy Brickley, whose salaries are included in our budget, maintain uh maintain the operation of the course the um the revenues from last year uh for 2019 the calendar year generated by mount hoodwell one million five hundred eighty six thousand seventeen dollars approximately 42 percent of that is retained by the city uh the balance paid uh is paid to the golf management company in our budget you'll see that the The largest line item we have is for $978,000 for professional services. In essence, those are the contractual payments that we have to make the golf management to operate the golf course pursuant to the publicly bid contract. We have to pay them $600,000 as a minimum at the rate of $50,000 per month. And anything, the difference between the 600,000 and up to the 975 is based upon the percentages contained in the contract of the excess revenues over and above that. So that you can see that it generates quite a bit of funds in the budget, but it's quite a bit of those funds are generated by the golf fees that are collected each year. those and included in our operating costs and our line items is one of the biggest items is bond payments, principal and interest payments for the bonds that the City of Melrose has procured and funded, used to fund the improvements to the athletic fields down at Fred Green as well as the track and other improvements at Pine Banks. In 2019, Mount Hood paid about $363,000 in principal and interest payments on those bonds. It's important and it's a big asset to the city because if Mount Hood did not generate those funds, the city as the obligor on those bonds would have to make the payments. We've been lucky and fortunate the last few years that the course has been operated so well that the revenues have been generated to cover those. The bond payments themselves are not taken from the general fund, which is a huge benefit to the city, and we're fortunate through some special legislation that passed in 2010 to be able to expend those funds on the athletic fields. We also are required to make payments of about $50,000 by contract to make capital improvements to the Mount Hood facility, which we do on an annual basis. The majority of the other costs, the line items in our budget, I think are self-explanatory. The salaries, I know in the past, when we were here last week with the Recreation Department, there were questions about salaries and the breakdown. Joan wears several hats rather well in this city, and the Park Department falls within the DPW purview, so that her salary is covered 50 percent by Mount Hood Enterprise Fund, 50 percent by DPW and Mrs. Brickley, the administrative assistant, her breakdown is 80 percent, Mount Hood, 20 percent to the DPW. Those figures, so that the figures on salaries that are contained in our budget are only the percentages that we're obligated to pay. Beyond that, if there's any specifics on day-to-day operations or any further questions regarding that, I guess Joan can address those.

▶ 1:27:19 Mark Garipay: I don't have any questions at this time thank you Joan how you doing thanks mr. Gardner for being here all right quick question regarding the golf revenue last year how'd we do last year for golf revenue was it was helpful the Friday

▶ 1:27:35 Speaker 1: last year was one of our better years we were 120 000 over the previous year

▶ 1:27:42 Mark Garipay: and that's uh i think the trend is the public courses are kind of going the other way correct

▶ 1:27:50 Mark Garipay: that's that's yeah public and a lot of private yeah that's great um do you foresee with the um the slow start this season that will affect uh affect these accounts next year

▶ 1:27:59 Speaker 1: so it's a tough call right now um the way that the guidelines that were set for golf we're working at about 50 of operation um we're only allowed to put out t times you know a foursome every 15 minutes which is exactly half of what we normally do um i just looked i was a little nervous about it but i just looked at our may figures and we are exactly 50 so it actually made me feel good we weren't below that. I think, you know, we reworked the numbers right up till today to see where we were and I think that we went from 15 minute tea times to 12 minutes this week. They allowed us a little bit more. We're, you know, starting to get some food and beverage back out, you know, on the patio. We're starting to plan for summer programs, you know, with kids. looking at looking ending fiscal this fiscal year if everything goes according to a plan working at 50 i think we're going to do a little bit better but if we say it's only 50 i think we'll still come out of it in the black we won't have the revenue that we've had you know the last couple years but we'll be able to pay all our bills everything will be accounted for and we'll still have a minimal amount great thank you thank you thank you for all you do thank you

▶ 1:29:28 Christopher Cinella: mr godner anybody else on discussion council thomas thank you mr chairman uh welcome mr

▶ 1:29:36 Cory Thomas: godner and welcome mr bell um do you guys have an estimate of what you what monhood golf course

▶ 1:29:48 Speaker 1: has lost in revenue this spring to date um we're guesstimating right now we're probably down around the three to four hundred thousand mark wow really um how you think are you thinking of

▶ 1:30:00 Cory Thomas: ideas of how to recoup any of that that lost uh money um and you know are there still um people considering adding um resources up at the club uh for uh coverage uh possibly you know uh cart service um or service um that will be coming up in the future i don't i has it's been

▶ 1:30:21 Speaker 2: taken off the table right now because of what's going on but i know that the power commission is highly in favor so it will be will be a topic of conversation in the future okay and uh are

▶ 1:30:37 Cory Thomas: all the leagues returning are you losing any leagues to other courses because of this shutdown

▶ 1:30:45 Speaker 2: Or all the quarterbacks in the area? It's been a hard sell on a lot of groups. I think starting next week, you know, leagues, we're trying to get leagues back up to some sort of normalcy. Everything was cut 50 percent, so it's kind of hard when you have a league that has, you know, make it even 40, you know, tee times and you're cutting them down to 20 and then they have to figure out what 20 t times a plan and it doesn't make for you know fun for them trying to figure it all out so little by little we're trying to get them back in as much as we can and when i talk to management today um he believes that next week he's going to be able to start getting out the majority of the leagues

▶ 1:31:30 Cory Thomas: well that's great to hear uh mr goddard miss bell thank you so much for all you do with mount hood uh it's a great source of community pride uh and i wish you all you know a dry uh non-green spring and summer uh this year i hope for great weather through the fall so we can keep some of that lost money thank you very much thanks

▶ 1:31:50 Speaker 2: anybody else saying none uh what is the will motion to move the bottom line second

▶ 1:31:57 Christopher Cinella: move the bottom line made by council thomas seconded by president Grigoraitis

▶ 1:32:06 Speaker 1: Yes, yes, yes.

▶ 1:32:12 Speaker 2: Yes.

▶ 1:32:13 Speaker 1: Yes.

▶ 1:32:21 Speaker 1: Yes. Yes. councilor maladin yes gregory chairman sanella yes yes okay and the revolving account two six

▶ 1:32:38 Christopher Cinella: six nine we have to vote now madame clark with the vote on both evolving accounts plus the order

▶ 1:32:49 Speaker 1: so we the the bottom one we moved on nine three one that way you have a revolving count two six six nine and the actual operating budget twenty twenty ninety five you've done one

▶ 1:32:59 Christopher Cinella: Okay, so the reballing account 2669, with the will of the committee.

▶ 1:33:09 Speaker 7: Make a motion to move.

▶ 1:33:12 Christopher Cinella: Second. A reballing account made by Councillor Garipay, seconded by Councillor McNaught. Vice-Chairman Lirali?

▶ 1:33:20 Speaker 1: Yes. Councillor Tramontozzi? Yes. Councillor McMaster? Yes. Councillor McNaught? Yes. Councillor Eccles? Yes. Councillor Garipay? Yes. Yes, sir. Stuart. Yes, sir. Thomas. Yes. I'm so dramatic. Yes. Grigoraitis 11. yes. Capital outlay from out in parts from all the account 2659 that you did the 1st 1. sorry.

▶ 1:33:51 Speaker 1: You're on out at border 3, 2095, the Mount hood enterprise operating budget.

▶ 1:34:02 Speaker 1: The 1.5Million, that's a full enterprise budget. Not a 1.

▶ 1:34:06 Christopher Cinella: of the committee on that 2020-95 don't everybody jump take a motion to move the bottom line

▶ 1:34:20 Christopher Cinella: that's a motion to recommend made by councillor Garipay on order 2020-95 seconded by councillor

▶ 1:34:30 Speaker 1: Eccles madam clerk please call the roll legally yes that's the tram including yes Yes. Councilor McMaster? Yes. Councilor McNaught? Yes. Councilor Eccles? Yes. Councilor Garipay? Yes. Councilor Stewart? Yes. Councilor Thomas?

▶ 1:34:47 Speaker 3: Yes.

▶ 1:34:48 Speaker 1: Councilor Jamaleddine? Yes. President Greger-Wright? Yes. Chairman Cinella? 11 yes. Thank you, Joan and Bill. Thank you.