The Watchdog Report: And The Bleeding Continues

Should we believe Mayor Winfield when he tells us that golf is making money? We have heard this time and time again, yet the facts prove otherwise as seen in two October reports. One is the  profit and loss statement for the golf courses. The other is the report for the general fund report.

Highlights from July 1 through October 2022 (33% of the way through the fiscal year)
• Golf expenditures exceeded revenues by $605,000. (This is $61,000 more than last year’s loss for the same time period which was $544,000.)

• El Conquistador Golf had 310 less public rounds and $1,394 less in green fee revenues in October 2022 than in October of 2021. Golf had 450 fewer total rounds played this year than last year.

• Even more significant, for the fiscal year to date (July 1 – October 31) the public rounds are 2,536 less than this same time in 2021, and $50,740 less in collected green fees.

Losses have continued since the golf courses opened in May 2015
You might remember that our previous mayor (Hiremath) asserted that we would only lose major money in the first two years but that things would even out by year 3. He also said, “In year 4 or 5 or 6, are we going to project a profit? You’re darn right, we are.” [Source: December 17, 2014 Town Council Meeting]

Well, it’s now 7.5 years later and these losses have continued. We, the citizens, just invested $7 million in irrigation upgrades. The golf members are doing all they can, but it’s not enough.

Still waiting for ADA Compliance
Money still needs to be spent on making the Community Center ADA compliant, as well as the tennis courts at Pusch Ridge. The proposed capital outlay for the CCF still proposes to spend $2,666,700 of which only $312,105 has been spent. This means that the Town is expecting to dish out an additional $2,354,595. Where is this money coming from?

Draw your own conclusions

The Council has already spent over $28,000,000 for the Naranja Park amenities. They have done nothing to diminish the amount of potable/drinking water that we use to irrigate Town properties [panel left] and the mayor tells us golf is making money. Read the attachments we linked above. These are the town's numbers.  Draw your own conclusions.

On top of all this, the General Fund is forecasted to end the fiscal year with a decrease of $12 million. (Although the FY 2022/23 budget forecast showed an expected decrease of $13.8 million, so this is better than expected). This is the fund which pays for the operation of the Town. The ghost of former Town Manager Mary Jacobs is still haunting us. However, the Town Manager cannot do anything without the concurrence of Council.

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Mike Zinkin and his wife have lived in Oro Valley since 1998. He served on the Oro Valley Development Review Board from 2005-2009, the Board of Adjustment from 2011-2012, and the Town Council from 2012-2016. He was named a Fellow for the National League of Cities. He was a member of the NLC Steering Committee for Community and Economic Development and a member of the Arizona League of Cities Budget and Economic Development Committee. He was an Air Traffic Controller for 30 years. Mike has a Bachelor’s degree in history and government from the University of Arizona and a Master’s degree in Social and Philosophical Foundations of Education from California State University, Northridge.

Bits and Pieces

OVCN rezoning meeting, Monday, October 24

You will most certainly want to attend or as a minimum listen to this meeting. As LOVE has covered extensively, it is a request of the Oro Valley Church of the Nazarene ("OVCN") to build a mega sports complex in Oro Valley's oldest, and most natural neighborhood.

"You are invited to attend and participate in a Focus Area neighborhood meeting, either in-person or online, regarding the property owner’s proposed rezoning to Planned Area Development to build new athletic facilities at the Oro Valley Church of the Nazarene located on the northeast corner of the Calle Concordia and Calle Buena Vista intersection (project number: 2002978). 

This meeting is open to the general public and anyone may attend, but the purpose is to provide an opportunity for a focused issue discussion between the immediate neighbors and the applicant. Immediate neighbors may ask questions directly to the applicant and Town staff, share concerns in greater detail and explore potential resolution of issues."

“Rockin’4Heroes”, Sunday,  2PM, at Kreigh Park

Don't forget the "Rockin' for Heroes Event" this Sunday at Kreigh Park. “Rocking 4 Heroes is a community musical event that pays tribute to those who serve our communities and country. It's FREE, but leave the coolers at home and bring some spending money for the fabulous food trucks and beer/wine tent. This event is rain or shine and is sure to be a blast...especially if you like the band, Chicago! Make sure to bring a chair or picnic blanket. 

Gate opens at 1pm with the opening ceremony beginning at 2pm sharp. Overflow parking at CDO (there will be a golf cart to help transport those with mobility issues from the lot to the park). All net proceeds from this event will go toward building the Arizona Heroes Memorial at Naranja Park." (Source: rockin4heroes.org, resident email, Press Release)

Town of Oro Valley named “Triple Crown” winner for financial reporting

ORO VALLEY, Ariz. (Oct. 11, 2022) – The Town of Oro Valley has been named a Triple Crown Winner for fiscal year 2020 by the Government Finance Officers Association (GFOA). The Triple Crown designation recognizes governments that have received GFOA’s Certificate of Achievement for Excellence in Financial Reporting, Popular Annual Financial Reporting Award and the Distinguished Budget Presentation in a single fiscal year. The Town of Oro Valley is one of just 317 governments that received the Triple Crown for fiscal year 2020. (Source: Town of Oro Valley Media Release)

Town of Oro Valley to celebrate completing golf irrigation replacement project, and tennis and pickleball court reconstruction

"YOU ARE INVITED! RIBBON CUTTING CEREMONY ON OCTOBER 26 The Town of Oro Valley invites the community to a ribbon cutting ceremony to celebrate the completion of the Conquistador Golf Irrigation Project and Tennis and Pickleball Court Reconstruction and Expansion Project on Wednesday, October 26, at 10 a.m. at the Oro Valley Community and Recreation Center (10555 N. La Cañada Drive). The projects are part of the Town’s Park Improvement Bond." (Source)

Bits and Pieces

Concert Campaign Kickoff for Incumbent Candidates on April 30
Friends and neighbors of incumbent Mayor Winfield and Council Members Barrett, Joyce-Ivey, and Nicolson are hosting a campaign kickoff event on April 30. It is at Steam Pump Ranch from 6pm to 9pm. There will be music by the "Final Approach Band." Food, wine and non-alcoholic beverage will be available for purchase.

Today, Town staff celebrates Earth Day
"Town of Oro Valley employees will roll up their sleeves this Friday, April 22, and participate in an Earth Day beautification event from 8:30 to 10:30 a.m. Employees who volunteer to participate will be picking up litter and debris along sections of La Cañada Drive and Lambert Lane. The invitation to help beautify the community was extended by Oro Valley Mayor Joe Winfield, with the support of Town Manager Mary Jacobs, as part of the statewide #EarthDayAZ effort. The OV Public Works Department will be handling event logistics." (Oro Valley Press Release)

Town reports improved golf financial results through February
The town reported the financial results of golf operations at this past Wednesday's town council meeting. For the eight months ended this February, the 47-holes of Town owned golf courses are operating at close to break even, a vast improvement from the same time last year (See panel right). 

We think there are four factors at play here. First, the pandemic caused a resurgence in the sport of golf. Second, baby boomers are retiring and many have not returned to their jobs. Third, the town changed golf course managers. Finally, the homeowner associations around the courses stepped up to increase course memberships and use.  

The financial results do not include the capital spending needed to keep the courses operating. The town will spend $8 million in the next to years to replace the irrigation on the two 18-hole courses. In addition, the town will have to do something to eliminate the use of drinking water on the Pusch Ridge Course. The most logical solution is switching to reclaimed water. The town "guesses" that this might cost up to $8milion.

Town releases 2023 Town Manager Recommended Budget
"ORO VALLEY, Ariz. (April 21, 2022) ––The Town of Oro Valley has released the Town Manager’s Recommended Budget for fiscal year 2022/23 in the amount of $159.2 million. Click here to view the budget document in its entirety. The balanced recommended budget is $2.8 million, or 1.7% lower than the adopted FY 2021/22 budget that totaled $162 million. The General Fund budget totals $51.6 million, a 12% decrease from the FY 2021/22 budget of $58.9 million. 

Some overarching themes reflected in the budget include addressing notable cost increases in supplies, operations and maintenance across all departments, adding new employee positions to meet growing service demands, and implementing a robust capital investment strategy utilizing Parks and Recreation $25 million bond proceeds and other one-time revenues." (Source: Town of Oro Valley Press Release)

Read a more about this budget starting Monday In LOVE.
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The Watchdog Report: Golf Stats from March 2022

The truth behind the numbers
At the Council meeting on April 6, 2022, Town Manager, Mary Jacobs, broadcast that in March 2022, golf had surpassed 10,000 rounds for the first time.

The actual numbers are 10,109 rounds on the two 36-hole courses (of which 112 were comped rounds) and 3,363 on the Pusch Ridge 9-hole course (of which 155 were comped rounds.) That’s a total of 267 comped (free) rounds.

Here is what was not mentioned. Remember, the income comes from the non-member rounds. (Members pay a flat fee whether they play 1 round or 100 rounds.)

In March 2022, the non-member rounds on 36 holes were 3,976. A year earlier, in March 2021, the non-member rounds were 5,234. That means that in March 2022 there were 1,258 less non-member (income producing) rounds.

It is amazing what you find when you look under the covers and stop listening to the Jacobs spin machine.

Golf Memberships Update
As of March 19th, there were 334 Full Memberships, 31 seasonal memberships (30-60-90 day), and 16 Pusch Ridge Memberships.

Golf Course Irrigation –
3.5 Million Gallons of Drinking Water
The amount of drinking water used to irrigate the 9-hole Pusch Ridge course in March was 3,529,000 gallons, up from 1,428,000 gallons in March 2021. That is 2,101,000 more gallons over the same month last year!

If your home utilizes 7,000 gallons per month (which is typical) then the Town wasted enough potable/drinking water on Pusch Ridge to supply water to 504 homes.

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Mike Zinkin and his wife have lived in Oro Valley since 1998. He served on the Oro Valley Development Review Board from 2005-2009, the Board of Adjustment from 2011-2012, and the Town Council from 2012-2016. He was named a Fellow for the National League of Cities. He was a member of the NLC Steering Committee for Community and Economic Development and a member of the Arizona League of Cities Budget and Economic Development Committee. He was an Air Traffic Controller for 30 years. Mike has a Bachelor’s degree in history and government from the University of Arizona and a Master’s degree in Social and Philosophical Foundations of Education from California State University, Northridge.

Guest View: Mike Zinkin – Where did all the money go? Part 2.

The adopted budget gives authority to the Town staff on how to spend our taxpayer money. The Town Manager (Mary Jacobs) must present a balanced budget, that is, with every dollar of expenditures, there must be a dollar of revenue. In Part 1 of “Where did all the money go?” I noted numerous areas where there was no follow-through on the spending authorizations. I have since heard back from the Town and it gets even murkier.

Golf Course Irrigation Improvements
I stated: “On page 244 of the adopted budget for FY 19/20 there is a Capital Improvement allocation for a $3,000,000 bond for golf course irrigation improvements. What happened? Was there a bond, and, if so, where are the improvements?”

The Town’s response: “There were not any bonds issued.”

Again, where did Jacobs get the authorization not to comply with the Council’s policy?

I stated: “On page 227 of the adopted budget for FY 20/21 there is a Capital Improvement allocation for $1,100,000 for golf course irrigation improvements. What happened? Where are the improvements?”

The Town’s response: “Town Manager Mary Jacobs provided this information to you in October 2020. The Town did not do the golf course irrigation but proceeded with the design, though construction documents and the remaining funds stayed in reserves.”

Where did the authorization come to disregard the Council direction and proceed with the alternative? The money was there in the balanced budget, but Jacobs did not follow through on $4.1 million dollars of authorized expenditures.

When challenged, Jacobs tells me:
“Town received one bid for the first irrigation project on the El Conquistador 18-hole course from an Illinois firm in the amount of $3.7+M. This extremely high cost and lack of bidders has resulted in my decision to postpone the irrigation replacement for this summer. Our Chief Procurement Officer will be reaching out to prospective bidders to find out the optimal time to rebid the project with greater lead time for a bidder to plan, in hopes of a more competitive bid. Increasing construction costs are concerning for other future Town capital projects and will be monitored closely."

There was $4.1 million authorized, and she states that the bid came in at $3.7 million. In other words, the money was there.

Jacobs admits it was her decision to postpone the authorized spending. If she is going to disregard the spending policy set by the Council, she must go before Council for permission, not simply publish her decision in an Executive Report.

Town Manager’s Office Personnel
I stated: “On page 110 of the adopted budget for FY 21/22 there is a breakdown of the personnel allocated to the Town Manager’s office. In this breakdown there is no allocation for the position of CIP Director (Capital Improvement Projects). However, there was a recent Facebook posting advertising a position for a CIP Director -- a position that is not budgeted.”

Jacobs’ response: “The position for CIP Director is a temporary position and is budgeted within the CIP Funds.”

I responded by informing her that temporary or not, I still wanted to know if it was authorized. Jacobs then directed me to the Personnel Schedule found on page 109 of the FY 21/22 adopted budget. I read it and there is no authorization as she states.

However, Town Policy 6, “Unbudgeted Expenses” directs the Town Manager to go to Council for approval for any unbudgeted expenses. Was there Council approval for this unbudgeted position?

If this CIP position is temporary and budgeted within CIP Funds, does this mean that no general funds are being used? Does this position get benefits, such as health and retirement?

Is Jacobs in violation of ICMA ethics?
Tenet 6 of the International County/City Managers Association (ICMA) states: “Recognize that elected representatives are accountable to their community for the decisions they make; members are responsible for implementing those decisions.”

Who’s running the Town?
Why does the elected body allow her to get away with her arbitrary decisions? These decisions are contrary to the policies set forth by Council. If anybody voted for Mary Jacobs to run this Town, please advise me.

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Mike Zinkin and his wife have lived in Oro Valley since 1998. He served on the Oro Valley Development Review Board from 2005-2009, the Board of Adjustment from 2011-2012, and the Town Council from 2012-2016. He was named a Fellow for the National League of Cities. He was a member of the NLC Steering Committee for Community and Economic Development and a member of the Arizona League of Cities Budget and Economic Development Committee. He was an Air Traffic Controller for 30 years. Mike has a Bachelor’s degree in history and government from the University of Arizona and a Master’s degree in Social and Philosophical Foundations of Education from California State University, Northridge.

Town Dawdles On Drinking Water Wasting... While Lake Mead Continues Its Decline

The water level of Lake Mead, the source of Oro Valley's sustainable drinking water supply, continues to decrease

This, despite the fact that CAP “Level I” water restrictions are in place. These restrictions have been applied to only Arizona farmers this time around. But one day, as more restrictions will be necessary, towns and cities will be impacted.

CAP water is important to Oro Valley because it is the only source of sustainable water for the community. The town uses CAP water to replenish the groundwater it uses.

Town has done nothing to reduce its drinking water use on golf courses and park

The town has been extremely active in encouraging residents to use as little water as possible. Yet, the town continues to pour millions of gallons of drinking water on its golf courses and parks. Love and contributors have written about this ad nauseam. The town has done nothing but continue to pour this water in what can only be considered to be an irresponsible act.

While the source town's sustainable water supply decreases

We’ve included the entire chart that follows to show exactly the facts regarding Lake Mead. Even though the data looks daunting (click on the chart to enlarge it), the numbers are clear: Lake Mead is simply overdrawn. One day that will impact Oro Valley.

 

Guest View: Mike Zinkin ~ Is Oro Valley still a Town of Excellence?

 

Below is a timeline of how we went from a PROMISE to cut golf losses (with the possibility of closing at least one of the courses), to continuing to operate ALL of them on a pay-as-you-go basis (with no option for bonding), to the most recent decision of foregoing pay-as-you go in favor of bonding.

December 2014
On December 17, 2014, the Town Council, with a 4-3 vote, approved an increase of our sales tax from 2% to 2.5%. The ordinance (14-17) states that the purpose was to fund/supplement the needs of the newly purchased Community Center, with its 45 holes of golf, 2 swimming pools, tennis courts, and a 1980 style building. The ordinance clearly states that this new tax would generate “approximately $1.6 - $2 million dollars annually.”

November 2018
In November 2018, with over-development and golf losses being the two major issues, the Town’s voters decided to elect a new Mayor and Town Council. Mayor Winfield was elected with 9,242 votes and three new council members were elected with 8,000+ votes each. The newly elected Council majority pledged to do something about the golf losses.

What followed were numerous contentious meetings that included approximately 400 citizens who were passionately opposed to closing any of the existing 36 holes.

November 2019
In an attempt to soothe the pro-golf-courses crowd, Mayor Winfield moved on 11/20/2019 that:

“All golf course repairs and improvements to be funded on a pay as you go basis from the Community Center Fund. No bonding will be undertaken for community center improvements.”

In addition, the motion stated that, “Oro Valley will retain a $100,000 minimum reserve in the Community Center fund.”

How approximately 400 citizens were able to overturn the will of over 9,000 citizens is beyond me.

Fast-forward to 2021
The half cent increase in the sales tax is now producing about $2.7 million. This is $700,000 more than what was initially stipulated in the 2014 ordinance. So, what does our “fiscally responsible, citizen-centric” Town Council do? Instead of lowering the sales tax to continue to meet the original needs of $1.6 - $2 million, they decide to use the additional revenues (your tax dollars) to consider bonding.

In May 2021, Mayor Winfield motioned that the additional monies be utilized to BOND for all park improvements including exterior community center and golf course improvements.

So, in the 18 months from November 2019 to May 2021, our Mayor/Council switched gears and decided that now we are going to BOND for Community Center and Golf improvements. This is in direct opposition to what the same Mayor/Council mandated in November 2019. Where did the bonding idea come from?

The code of ethics for the International City/County Managers Association (ICMA), of which our Town Manager is a member , states in Tenet #6 to: “Recognize that elected representatives are accountable to their community for the decisions they make; [ICMA] members are responsible for implementing those decisions.”

Remember that the additional $700,000 currently being generated from the half-cent sales tax is your money. This tax could have been reduced and still continue to be utilized for its original purpose…to supplement the Community Center Fund. Now YOUR money is going to be used to make golf course improvements. Why? Because without additional bond monies, the Community Center debacle that came to us in December 2014 was bound to fail. Without bonding, the money is not there for building and golf improvements despite all of the past assertions that the half cent sales tax would cover all costs.

Time to retire the Town motto
As a result, Oro Valley should retire their motto that we are a “Community of Excellence.” Oro Valley is being run by the staff (who are not accountable to any Citizen). The staff originates and organizes all proposals and is not carrying out Council decisions. It seems that Oro Valley has become just like any other community, taking every cent possible from its Citizens and spending it irresponsibility.

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Mike Zinkin and his wife have lived in Oro Valley since 1998. He served on the Oro Valley Development Review Board from 2005-2009, the Board of Adjustment from 2011-2012, and the Town Council from 2012-2016. He was named a Fellow for the National League of Cities. He was a member of the NLC Steering Committee for Community and Economic Development and a member of the Arizona League of Cities Budget and Economic Development Committee. He was an Air Traffic Controller for 30 years. Mike has a Bachelor’s degree in history and government from the University of Arizona and a Master’s degree in Social and Philosophical Foundations of Education from California State University, Northridge.

The Watchdog Report: March 2021

 

This will be a short report since you are probably tired of reading the same old stuff every month.

Golf and Community Center
The expenditures continue to exceed the revenues. Through March 2021, the Contracted expenditures (golf, pro shop, food and beverage) exceeded the revenues by $371,139 and the Town’s expenditures (fitness center, swimming, tennis) exceeded their revenues by $193,171.

The total rounds of golf played on our 36 holes were 9,959, including 576 complimentary “free” rounds. The total number of rounds played at the public and semi-public courses within 5 miles of the Town’s courses were 12,131, including just 70 free rounds. Once again, in comparison to other nearby courses, our golf courses are not doing well.

The total golf membership was a record 317 through March 2021. However, before you get too excited, the membership dropped to 304 in April. You might remember that it was the Town’s goal to have 314 members by the end of 2015. Another golf goal not met.

Water Usage

The amount of water wasted on the Pusch Ridge course (potable water) was 383,000 gallons, costing $1,836.32. The amount of water poured on the Conquistador Course was 6,945,000 gallons, costing $20,553.77. The Canada course utilized 6,778,000 gallons of water costing $20,078.91. The total March water bill was $42,469.

It bears repeating
The term “Community Center” is a misnomer. What we are subsidizing with our tax dollars ($2,118,529 through March 2021) is NOT a Community Center. Can a resident use any of the facilities free of charge? NO. You must be a member to use your tax-payer subsidized community center. What we have in Oro Valley is a publicly subsidized member center, not a Community Center.

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Mike Zinkin and his wife have lived in Oro Valley since 1998. He served on the Oro Valley Development Review Board from 2005-2009, the Board of Adjustment from 2011-2012, and the Town Council from 2012-2016. He was named a Fellow for the National League of Cities. He was a member of the NLC Steering Committee for Community and Economic Development and a member of the Arizona League of Cities Budget and Economic Development Committee. He was an Air Traffic Controller for 30 years. Mike has a Bachelor’s degree in history and government from the University of Arizona and a Master’s degree in Social and Philosophical Foundations of Education from California State University, Northridge.

Guest View: Mike Zinkin ~ Why cut taxes when you can reallocate the additional funds instead?

 

The above question should not surprise anybody

After all, don’t all governments find a way to spend tax dollars, even when there is no longer a need for the original subsidy?

The history of the increased sales tax to fund the Community Center and Golf Courses
On March 1, 2015 Oro Valley initiated an increase of our sales tax from 2% to 2.5% with the additional .5% to be dedicated to the Community Center Fund. The Town had purchased the HSL properties to include golf, tennis, swimming, and a community center. The Town knew that it needed additional revenues to cover this investment.

According to the ordinance (O) 14-17, “an additional revenue source is necessary to subsidize the operating costs and fund the capital needs of the facility over time.” The tax was forecasted to “generate approximately $1.6 - $2 million annually in additional revenues.”

Some more background for the new residents in town
Immediately after the Town Council motion to purchase the HSL property, a PAC called TOOTH (Tee’d Off Over Tax Hike) was formed to gather signatures to invalidate the Council decision. TOOTH was a play on words as the mayor at that time was a dentist. They needed 1,148 signatures to get the referendum on the ballot.

Despite having to collect the signatures over the Christmas holidays (from 12/18/14 to 1/16/15), TOOTH collected 3,158 signatures (more than twice the required amount) only to have the Town Clerk void the petitions due to a minor clerical error. With one day left to gather the required signatures, another PAC was quickly formed and gathered over 1,100 signatures in just 5 hours. This was just shy of the 1,148 they needed to force a ballot issue. As such, the residents never had an opportunity to vote on whether they agreed with the tax increase to fund the Community Center, thus the purchase and accompanying tax became a reality.

Two Choices
In the current budget (FY 2020/21) which ends on June 30th, the dedicated sales tax is now forecasted to provide $2,492,960. So what does our government (Town Council) propose to do? Instead of reducing the tax, they find another reason to spend the additional revenue. Looking ahead to next year, the Town Manager’s Recommended Budget for FY 2021/22 forecasts the sales tax revenue to be $2,857,779.

The increased tax imposed on the People was to subsidize the Community Center Fund. Now that the revenues are well above the initial $1.6 - $2 million specified in the ordinance, the Council has two choices: (1) reduce the tax or, (2) find reasons to spend the additional revenue. They have chosen the latter and I believe that doing so is fiscally irresponsible.

This tax has forced the entire community of 44,000 residents to subsidize fewer than 300 “golf members.” The tax was wrong to begin with and will continue to be wrong if it is no longer going to be spent as originally proposed.

More tax history: The Utility Tax that never went away
Oro Valley already pulled a similar stunt when they passed a temporary 2% Utility Tax in 2006 to fund 18.5 new staff positions, mostly in the police department. The tax was supposed to sunset in 2009, but in 2009 the Loomis council voted to extend it at the 2% level with no sunset clause. Then, in 2010, the Hiremath council increased it to 4% and we have never gotten rid of this “temporary” tax.

Oro Valley should only tax for what it needs and nothing else.

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Mike Zinkin and his wife have lived in Oro Valley since 1998. He served on the Oro Valley Development Review Board from 2005-2009, the Board of Adjustment from 2011-2012, and the Town Council from 2012-2016. He was named a Fellow for the National League of Cities. He was a member of the NLC Steering Committee for Community and Economic Development and a member of the Arizona League of Cities Budget and Economic Development Committee. He was an Air Traffic Controller for 30 years. Mike has a Bachelor’s degree in history and government from the University of Arizona and a Master’s degree in Social and Philosophical Foundations of Education from California State University, Northridge.

The Watchdog Report: January 2021 Municipal Golf Financials

 

According to Troon, the month of January 2021 showed a profit of $31,707. However, for the fiscal year, (July through January) golf lost $616,587. The Town’s portion of the Community Center Fund (CCF), which is primarily fitness, has lost $158,088.

When will the tax subsidy finally be lowered to $750,000?
YOUR tax subsidy is saving the CCF. For the first seven months of the fiscal year, your subsidy was $1,657,461, which allows for the CCF to show a surplus of $753,871. Not long ago, the Mayor stated that he desired no more than $750,000 in tax subsidy. It doesn’t appear that this is going to happen. Town Manager, Mary Jacobs still intends to spend $1,124,500 in Capital outlay. Where is this money coming from? The General Fund? It certainly isn’t coming from the CCF.

Golf Members and Golf Rounds

As of 1/31/21 there were 304 golf members, an all-time record. The non-member rounds played on the 36 holes were 3,266, which includes 717 rounds played on the “member course.”

The model for Oro Valley is that our 36 holes are a combination of a public course and a public/private course. In January 2021, there were 6,956 combined rounds played on those 36 holes.

How does this compare to other establishments?
An 18-hole public/private course within 5 miles of Oro Valley had 6,528 rounds in January and an 18-hole public course within 5 miles of Oro Valley had 3,588 rounds played. When you add the two together, there were 10,116 rounds played on those 36 holes. When comparing apples to apples, there were 45% more rounds played on the other 36-hole combination.

A waste of water and taxpayer money
Besides wasting money, how much water was wasted? The closed Pusch Ridge course used 69,000 gallons of potable water providing for a bill due 1/27/21 of $742.71. The remaining 36 holes used a total of 13,396,000 gallons of reclaimed water providing for a bill of $39,702.80, also due on 1/27/21.

The Council will tell you, “don’t worry about the Pusch Ridge Course because the plan is to keep it for only 3 more years.” This is the same Council majority that ran on a platform of doing something about the golf losses. It appears that all they have done is kick the can down the road until their current terms expire.

We should all continue to worry about the monetary losses and the unconscionable use of water on these golf courses.

Partial February statistics are available
Golf Course Water Usage: There were 900,000 gallons of potable water used on the closed Pusch ridge course, costing $3,838.95. There were 9,673,000 gallons of reclaimed water used on the remaining 36 holes, costing $29,115.88.

Golf Rounds: There were 8,396 rounds of golf on our private/public and public courses, but there were 11,121 rounds of golf played on the courses within 5 miles. The outside courses experienced 32% more rounds than our Town-owned courses.

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Mike Zinkin and his wife have lived in Oro Valley since 1998. He served on the Oro Valley Development Review Board from 2005-2009, the Board of Adjustment from 2011-2012, and the Town Council from 2012-2016. He was named a Fellow for the National League of Cities. He was a member of the NLC Steering Committee for Community and Economic Development and a member of the Arizona League of Cities Budget and Economic Development Committee. He was an Air Traffic Controller for 30 years. Mike has a Bachelor’s degree in history and government from the University of Arizona and a Master’s degree in Social and Philosophical Foundations of Education from California State University, Northridge.

The Watchdog Report: Five months - 166 Million Gallons of Water for 36 holes of golf

While I am working on the most recent Community Center financials covering the golf debacle through January 2021, I thought I would quickly report on a recent response to a records request that I submitted.

Since the Town (under the leadership of Mayor Winfield and Town Manager, Mary Jacobs) will not voluntarily report all the financial information, I have had to utilize the “Public Records Request” format to uncover the water usage being used by the two 18-hole courses.

The cost to water 36 holes of golf
La Canada Course: Each 18-hole course irrigation is fed from a lake on each course. As you travel north on La Canada, the lake just to the east of the road as you approach the Community Center is the source of water for the La Canada course. Water bill payments from July 2020 – November 2020 reveal that this course consumed 77,358,000 gallons of reclaimed water at a cost of $225,951. (The water usage was the 5 months from May 28 – October 28).

Conquistador Course: The water source for the Conquistador course is found on the fifth hole. During the same 5-month timeframe, the Conquistador course consumed 88,604,000 gallons of reclaimed water at a cost of $258,488.

This total of $484,439 includes not only the cost of water, but State and local taxes, groundwater preservation fees, superfund tax, and a 4% utility tax. This is, however, the amount of money the Town is spending to water the 36-hole complex.

The reclaimed water argument

Yes, the two 18-hole golf courses use reclaimed water (wastewater that has been converted into water that can be used for other purposes such as golf courses and agricultural fields), but we pay the City of Tucson for this reclaimed water, so if we limit our usage, we reduce what we pay Tucson. Oro Valley Water Utility will not be affected at all by limiting our use of reclaimed water.

You might also want to read what is happening to the Colorado River water, its usage, and the ramifications we will experience from the ongoing drought. CAP water is a source of (1) recharging the aquifer, and (2) reclaimed water. But our CAP water is dwindling as the drought continues. Therefore, when CAP water from the Colorado River runs low, so will our reclaimed water. When that happens, should we pour our reclaimed water on our golf courses or on our food supply (our agricultural fields)? 

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Mike Zinkin and his wife have lived in Oro Valley since 1998. He served on the Oro Valley Development Review Board from 2005-2009, the Board of Adjustment from 2011-2012, and the Town Council from 2012-2016. He was named a Fellow for the National League of Cities. He was a member of the NLC Steering Committee for Community and Economic Development and a member of the Arizona League of Cities Budget and Economic Development Committee. He was an Air Traffic Controller for 30 years. Mike has a Bachelor’s degree in history and government from the University of Arizona and a Master’s degree in Social and Philosophical Foundations of Education from California State University, Northridge.

Greene Throws In With Rodman and Solomon

Greene has no town governance experience... no involvement history
Harry "Mo" Greene is a candidate for Oro Valley Town Council. He brings extensive and commendable credentials in the medical community. He brings  credentials in the art community through the Southern Arizona Arts Council and through his own artwork.

Greene has very limited involvement in the governance of Oro Valley. He claims he was on a Naranja Park focus group at an unidentified time. He spoke at the town council special session of July 24, 2019 at the Church of the Nazarene (time stamp is at 2:09) in favor of keeping 36-holes of golf. To our knowledge he has not participated in the town's community academy.

Greene has based his candidacy on three unsupported assertions; and on one questionable decision.

Unsupported assertion 1: "Most recent council declared war on golf"
According to Greene's Explorer candidate profile, he is running because "...the most recent council decided to declare war on golf at the community golf courses." (Explorer) He asserts that the council leaders elected in 2018 declared a war on golf.  The history of the past two years refute his assertion.

There is no "war on golf"

Sponsored by "Greene for Oro Valley"

The municipal golf issue is settled. The town will operate 36-holes of golf. The town will restore the courses from revenues earned. There is a new course manager, Billy Casper Golf, who promises increased operating efficiency and improved revenues. The courses now have operating targets and financial goals. Two HOA's are going to contribute $125,000 to course operations. The is no war on golf.

Unsupported assertion 2: The Town Manager Knows Best
Greene does not plan to dig into matters. He is going to leave it to the town manager, who, according to Greene, is "far more knowledgeable" than anyone on council.

"We have a council and town manager form of government but the elected officials want to do their job and the job of the town manager, who is far more knowledgeable than they." (source)

Greene's approach contrasts sharply to the approach taken by most council members and by two candidates for council, Bill Garner and Tim Bohen. These people are prepared for meetings. They do their homework.

Greene's approach is the same as that of prior council member Lou Waters. Waters, with some other council members of the Hiremath majority council, assumed that any questioning of town staff was "meddling." That council let municipal golf limp along, lose money. It took a new council and a community involvement approach to set a winning course. To do that, the new council had to "get into the weeds."

Questionable decision
The "Greene-Rodman-Solomon" slate is a reality. Does Greene know with whom he has cast his lot?
Harry Greene is an Oro Valley political novice.  Perhaps he feels that he can not win on his own. Right from the start, Greene cast his lot with Solomon and Rodman. Greene cast his lot with Solomon and Rodman from the beginning, soliciting signatures for them at the same time he was soliciting signatures for his own candidacy

Courtesy of a LOVE reader

Greene says in his profile that he loves the beauty of Oro Valley. He says he likes "The beauty of the mountains." Does Greene know that he has cast his lot with guys who vote to blade the desert?  Guys who lived off developer money in their 2016 campaign?

Unsupported assertion 3:  Residents are trying to "destroy each other"
"So, why not retire?" Greene, 78, asks during Horn's Town Hall (time stamp 17:57). "I thought that my experience would balance out my age and perhaps I could work to try to bring the community together and have us stop trying to destroy each other and put something together that would be great for the town."

This is the third unsupported assertion Greene has made. Oro Valley residents are not trying to destroy each other. Many Oro Valley residents are active in the community. They often express disagreements on matters. Our tradition of open hearings and board involvement helps the community reach agreement.  Yes. It is a messy process. Yes. It is uncomfortable. Yes. It takes time. But it does work. Look at  the agreement reached on municipal golf.

Oro Valley residents are not trying to destroy each other. We're are just trying to make it a better place.
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On several occasions we requested to interview Greene. He told us that he was "not ready."  So, we left it up to him to contact us. We've heard nothing from him. We relied on the following sources to prepare this article: 

• “Heathers Corner" Greene Interview published on March 25, 2014
• Candidate profile of June 24 the Explorer published on June 24, 2020
• Jim Horn's Town Hall of June 25, time stamp (13:45 to 18:24)
• Mo4OroValley

The Solomon Chronicles. Part 4. Conflict of Interest

Want to see Steve Solomon in action? Visit: realstevesolomon.com
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With the Town Council election on the horizon, LOVE will be presenting a series of articles entitled, “The Solomon Chronicles,” highlighting the abysmal record of Councilmember Steve Solomon who is running for re-election. This weekly series will highlight his 4-year record of incivility and his interdependent relationship with local developers. This series was written by a LOVE contributor and contains a synopsis of previous LOVE articles plus new information.
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Solomon had a dog in the golf course fight
As previously reported on LOVE, Councilmember Steve Solomon (via his development company, Canada Vistas, LLC) had property in escrow along the 17th and 18th holes of the Town-owned Canada golf course since at least December of 2017. His plan was to build golf-course-view condos and/or townhomes on that property. He therefore had a financial interest in what happened to those golf courses since he can’t build golf-course-view condos on property that no longer contains golf course views.

He remained in escrow on that property for all of 2018 and until at least April 2019 (the last date in which LOVE has documents stating that he was still in escrow). Why is this important? Because during all of 2018 and 2019 he consistently advocated from the dais to keep all 36 holes of golf open.

Solomon’s unethical behavior
At the June 6, 2018 council meeting, during the FY 2018/19 budget discussions, Solomon spoke on the benefits of (and voted in favor of) a $6 million bond that designated $3.8 million dollars for improvements on the golf courses…golf courses that were adjacent to his planned residential development.

Solomon voted to use public monies to improve land on which he had a financial interest
This was a clear conflict of interest. If Solomon had been honest and ethical, he would have recused himself from any votes having to do with the town-owned golf courses. Instead he voted to spend public money for his own potential gain.

A lie by omission is still a lie
At the July 18, 2018 council meeting, a resident revealed during the Call to Audience that Councilmember Solomon had a financial interest in what happened to the golf courses. Solomon responded:

“I just want to assure everyone that there was absolutely nothing that occurred that was unethical. I do not own property on the golf course.”

Solomon was lying by omission and he knew it. While he didn’t technically own any property on the golf course, he was in escrow to purchase property on the golf course. He conveniently left that part out.

The bottom line is that Solomon had a financial interest in maintaining the town-owned golf courses and he never revealed this information to the public. It was a resident who made the information public.

Desert land in foreground is the "escrow" parcel

The parcel surrounded by the 17th and 18th holes of the Canada Course

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The Solomon Chronicles: Part 5. “A Pattern of Incivility and Disrespect” will be published next Wednesday.

Virtual Vistoso Golf Hearing Not Ready For Prime Time

Vistoso Golf Virtual Meeting Experiences Technical Flaws
Last night, not everyone who wanted to join could join the town hosted general plan amendment discussion of the proposed Vistoso Golf general plan amendment. It took multiple attempts to long into the Zoom.us meeting. An error message said that the meeting ID was invalid. It was not. Apparently, the meeting had a capacity of 240 attendees. Dialing in by phone also did not work. The number was either busy or a “not in service” message was heard. The virtual capacity and phone capacity to conduct such a large scale meeting was simply not there.

Alternative use of "senior living facility" area

The use of Zoom.us was also a challenge for both the town's host, Micheal Spaeth, and the participants. Muting and unmuting the participants was a challenge for allow. Displaying participant video simply did not occur for most speakers. Thus, if you spoke it is likely that you were not seen.

And, for some, the internet connection was simply either not sufficiently reliable or fast enough to allow for a seamless meeting.

Senior Living Facility on hold
We did learn that Romspen no longer has any company interested in building the proposed senior living facilities. Memphis based Spectra Properties has lost interest according to Peter Oelbaum, Romspen Managing Director. Romspen is now proceeding on "a more generic process." As a result, there is a second site plan which shows homes clustered on tiny lots, instead of a retirement home.

Town purchase not yet considered
According to Bayer Vella, Town of Oro Valley Planning Manager, the town has not considered purchasing the property or seeking grants to do such. The applicant's request and the potential alternate use are separate decisions. "That discussion is premature at this time", noting that the town is legally required to hear and consider the applicant's amendment request. The Phase 1 Parks and Recreation Need Assessment, released last week, did note the "Desire to preserve defunct the Rancho Vistoso golf course, at least in part, as an open space conservation area was consistently expressed through all community input opportunities." (Pages 7, 40 and 41)
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Town’s Golf Investment priority continues to run “off course.”

Below are the financial statistics for the Community Center and Golf since its inception in May 2015 through the last available financials in November 2018 (four months into the fiscal year).

Purchase Price

Total - $1,000,000

Total transfers from the General Fund to the Community Center Fund (CCF)

FY 2014/15 $1.2 million to start the CCF Fund
FY 2016/17 $350,000

Total Transfers - $1,550,000

Total sales tax revenues from the dedicated sales tax increase to fund the CCF

FY 2014/15 - $506,710
FY 2015/16 - $2,030,750
FY 2016/17 - $2,199,466
FY 2017/18 - $2,330,941
FY 2018/19 - $906,463 (through Nov. 2018)

Total Sales Taxes - $7,974,330

Grand Total of tax dollars funneled to the Community Center/Golf = $10,524,330.

That’s $10 million dollars of the people’s money and the Community Center is still not ADA compliant. This is your money that could have built a new, state-of-the-art Community Center. In addition, the sales tax increase could have been repealed after the new Community Center was built.

Total Troon losses – Forecasted vs. Actual

FY 2014/15 – Lost $1,112,252 (Opened for only two months)
FY 2015/16 - Forecasted - $1,518,343; Lost $2,567,385 -- (off by $1,049,042)
FY 2016/17 - Forecasted - $1,534,505: Lost $2,512,938 -- (off by $978,433)
FY 2017/18 - Forecasted - $1,822,941; Lost $1,993,040 -- (off by $170,099)
FY 2018/19 – Forecasted (see below); Lost $1,102,243 (through Nov. 2018)

In FY 2018/19, Troon initially forecasted losses to be $1,893,595. However, they updated their forecast to $1,936,101. We are only 4 months into the fiscal year, and they have already lost $1.1 million.

Total Troon losses - $9,287,858 and counting

Food and beverage losses (Overlook Restaurant)

FY 2014/15 – Unknown. (Opened for only two months)
FY 2015/16 - $255,570
FY 2016/17 - $114,792
FY 2017/18 - $96,100
FY 2018/19 - $62,325 (through Nov. 2018)

Total restaurant losses - $528,787

Member Dues

FY 2014/15 – $201,531
FY 2015/16 - $876,133
FY 2016/17 - $725,611
FY 2017/18 - $784,071
FY 2018/19 - $284,968 (through Nov. 2018)

Total dues - $2,872,314

The Town Council needs to ask staff the following questions:

• Why is the facility still not ADA compliant after almost four years of operations?
• Why are the citizens still subsidizing the Overlook Restaurant?
• Why is the staff still supporting the 45-hole golf model?
• Why is the staff still supporting a dedicated golf course for only 226 members?

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Editor's Note: We originally posted incorrect numbers for Troon losses in FY 17/18. We have corrected the information.