Only one of three fee-based recreation facilities covers its ongoing operating costs
Oro Valley’s three primary fee-based recreation facilities, Golf, the Community and Recreation Center, and the Aquatic Center, do not perform the same financially. A first-ever Town financial analysis of the town's financial amenities shows that golf is the only one where revenues exceeded operating costs in fiscal year 2024-25. The Community and Recreation Center and the Aquatic Center both required Town funding to operate.
Aquatic Center requires substantial financial support
The Aquatic Center had a net operating cost of about $1.12 million, with operating costs of about $1.63 million and exceeding revenue of about $516,000, The Community and Recreation Center had a net operating cost of about $744,000, on $2.32 million in costs and $1.58 million in revenue. Together these "pay for play" facilities required about $1.86 million in Town subsidy. At the same time, there were 296 aquatic center paying members and 4,150 Community Center members. That was a subsidy per member of $3,784 and $179 in 2025, respectively.
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Other recreational assets are free to residentsThe analysis included other Town recreational assets: Steam Pump Ranch, Vistoso Trails Nature Preserve, JDK Park, Naranja Park, and Riverfront Park. These facilities generally do not charge user fees and showed net operating costs ranging from about $163,000 for Vistoso Trails Nature Preserve to about $560,000 for Steam Pump Ranch. Staff said that these types of amenities are expected to recover little of their costs because they are open and accessible to the public. According to staff, the value of these assets is not reflected in revenue generation but in community access and use.
Some amenity costs are directly tracked while others are allocated
Costs for major facilities such as golf, the Community and Recreation Center, and the Aquatic Center are largely based on directly tracked revenues and operating expenses. Greater use of allocation was required for parks and other shared services, where costs such as maintenance, utilities, and portions of staffing are not tracked by individual location. In those cases, staff assigned costs using estimates based on factors such as acreage, building size, and staff time. Staff said these allocations provide a reasonable overall picture, though they are not exact.
Analysis did not include estimated economic impact of events
One of the values assumed for the Aquatic Center is that it drives sales and bed tax revenues based on the events that it hosts. The Aquatic Center generates revenue from swim meets, team use, and other events. The report includes those revenues in total operating income but does not isolate how much is attributable to out-of-town visitors or measure any related economic activity, such as spending at local businesses.
Capital spending totaled about $2.9 million, largely tied to "Pay to Play" facility improvements
Capital spending for the recreational amenities included in the analysis totaled about $2.9 million in fiscal year 2024-25. Of that amount, the $2.02 million was reported under golf included approximately $1.2 million for an elevator and entryway project that serves access to the Community and Recreation Center. Other capital spending included and added $160,000 for the Community and Recreation Center, $378,000 for Steam Pump Ranch, and $328,000 for Vistoso Trails Nature Preserve. There was no capital spending for the Aquatic Center, JDKriegh Park, Naranja Park, or Riverfront Park.
Council views analysis as baseline for future funding decisions
The Council took no action after the presentation and asked few questions. Rather, they said that the analysis is a starting point for future budget discussions, noting that it provides a clearer picture of how individual amenities perform financially. Council members said the information will be useful as they consider funding levels, fees, and priorities in upcoming budget cycles. They also indicated interest in additional information, including how recent fee changes may affect future results.
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Publisher's Note: The financial results presented in this article were prepared by Town staff and presented to Council. They have not been independently audited, and we have no basis to challenge their validity. An ad hoc analysis of this type should be viewed as a general picture of results rather than precise measurements, particularly since many costs are allocated rather than directly tracked.