Friday, April 27, 2018

Guest View: Mike Zinkin ~ My Response to John Gorman’s article in the April 25th edition of the Explorer

Mr. Gorman is the President of the El Conquistador Men’s Golf Association. LOVE is responding to his Op-Ed entitled, “Critics are distorting the Town’s Community Center purchase.” (The Explorer Newspaper Facebook page has attached a hyperlink to his article directing readers to the LOVE blog to read our response.)

A good portion of Mr. Gorman's article tells us what a wonderful purchase this was with all the tennis courts, swimming pools, exercise equipment, etc. However, our objection has never been about the Community Center/Fitness portion of the purchase (although we do believe that the money would have been better spent on a new state-of-the-art, ADA compliant center.)

Our main objection has been, and will continue to be, the waste of taxpayer money (your money) that the Town has spent and continues to spend on GOLF. Our secondary objection is the belief by the golf members that they are contributing their fair share of these expenses via their golf memberships.

The true numbers can be found on the Town website within the agenda of any meetings where the Community Center financials were discussed.

Fiscal Year 2015/16
In FY 15/16 (the first full year we owned this property) the contracted revenues (golf revenues, member dues, tennis revenues, food and beverage, merchandise sales, and donated inventory) were $3,063,208. The contracted expenses were $5,481,179. This is a shortfall of $2,417,971. The member dues amounted to $876,133 or 36% of the deficit.

Mr. Gorman states that the members support the restaurant. In FY 15/16, the restaurant lost $255,570. This indicates that the Golf Members are not buying enough food to support the restaurant.

Fiscal Year 2016/17
In FY 16/17, contracted losses were $2,512,938. Member dues accounted for $755,611 or 30% of the deficit. This is also a DECREASE in member dues of $120,522. The restaurant lost $114,792 that year.

Fiscal Year 2017/18
Through January 2018 (58.3% through the fiscal year) contracted losses are $1,335,535 and member dues are $465,574 or 34% of the deficit. The restaurant has lost $86,430 so far this fiscal year. Clearly, the golf members are not paying their fair share of the costs for maintaining their private golf course.

Climate change?
Mr. Gorman accused us of “cherry-picking” data when we stated that “October 2017 golf losses were worse than October 2016 losses.” He stated that this was an anomaly caused by the need for more water during October 2017 due to the “unusually warm weather” and due to transitioning “from Bermuda to rye grass” in preparation “for outside tournament commitments.”

Yes, the utilities were high that month due to the weather. Golf is an outdoor game. It has to contend with hot weather, frost delays, and many other variables. It is the cost of doing business. So is transitioning from Bermuda grass to rye grass. It doesn’t matter HOW the increased expenses happened. It just matters THAT they happened.

The folly of subsidizing a private club
Mr. Gorman stated that when the Sheraton and then the Hilton owned the facility, that they also had a combination of memberships and open play, the same model that is being used by the Town of Oro Valley. This is true. However, what Mr. Gorman neglects to mention is that the Sheraton and the Hilton could write off their losses. The Town of Oro Valley cannot write off the losses. The residents have to live with the fact that a poor decision was made.

To allow for a private membership on community property is not democratic. If you desire to play on a private course, there is Stone Canyon and The Gallery, both within a short commute. The Citizens should not be supplementing your hobby by providing you, and the others, with their own private golf course.