The Watchdog Report
by Mike Zinkin
It runs like a (knockoff) Rolex.The January Financials Report
We heard time and time again how Troon was "the Rolex" of management companies. After reading the following list, you might think that Oro Valley bought a knock-off Rolex as the January financials for the Oro Valley Community Center and Golf Courses continue to be disastrous and reveal continued fiscal irresponsibility from the mayor and council.
- Troon losses for January were forecasted to be $34,161 but turned out to be $198,253. As usual Troon missed their forecast, this time by $164,092.
- In January 2016, Troon lost $62,709. That means that the losses this year were $135,544 more than last year.
- The member dues in January 2016 were $77,475. In January 2017 the dues totaled only $59,719. That’s $17,756 less than last year.
- When the fiscal year started on July 1, 2016, Troon forecasted total losses for FY 16/17 to be $1,534,505. They have now increased the forecasted losses to be $2,035,867.
- The food and beverage portion, primarily the Overlook, was forecasted to make $10,230 in January, but actually lost $13,385, bringing the total losses to $96,034 so far in this fiscal year.
- The Community and Recreation fund finished January 2017 at $514,403 in the red. This takes into account the sales tax revenue total of $1,255,074 (from the first seven months of the fiscal year – July 2016 through January 2017).
- The total number of rounds of outside play (non-member) was forecasted to be 2,410. The actual number of rounds played was 2,226. This is an average of 72 rounds per day. Compare this to Del Urich and Randolph (Tucson City courses), Crooked Tree (Pima County course), and The Haven (Green Valley) that all averaged over 200 rounds per day.
The Town Finance Director earns $149,848.82 a year. The Interim Town Manager earns $189,371.84 a year. Individuals deemed worthy of earning such high salaries should be expected to combat waste and inefficiency in the budget yet they have not stepped forward to advise the mayor and council that continuing this financial drain is not wise. Are they afraid that advising against this debacle would put their jobs in jeopardy? Certainly our "award winning" financial staff can see that the business model for the Oro Valley Community Center and Golf Courses is not sustainable.
Odds and Ends
Revenue from the increased sales tax is performing well, in fact, it is above the Town's projection, yet it doesn’t come close to covering the expenses. Imagine the lighted ball fields that could have been built with that $1.2 million.
Additionally, the Town has no plans to make the Community Center ADA compliant as promised and as mandated by law. I wonder how that sits with the Justice Department.
Town using HURF Funds for Community Center Maintenance
In addition, although we were told that all Community Center and Golf Course maintenance would be paid by the Community and Recreation Center Fund (CRC Fund) the Town has admitted to me via emails that they have utilized HURF monies (Highway User Revenue Fund) to cut the grass at the Community Center entrance and to resurface the cart paths. This is in defiance of State Law which states that no HURF monies shall be used for anything “other than highway and street purposes.” Why are they using HURF funds, you ask? Because the CRC Fund is broke.
LOVE is doing all it can do to inform you of what is going on. People need to step forward and contact the Town Council and tell them what you think.
The Arizona Daily Independent publish this article last week.