Commissioners Present: Anne O’Connell (Chair), Andrea Johnson (Vice-Chair), Rob David, John Kissida, Wyn Morton, and David Valcourt.
Others Present: Jay Packett (Director of Operations), Colin Walsh (Superintendent,), Rob Harris (CCMGA) Susan Olin (Women’s 9 Hole Association), Peggy McEvoy (Friend’s of Captains), Bill Meehan (Liaison to Finance Committee), Mimi Bernardo (Finance Team ), Donna Kalinick (Finance Team) Peter Lombardi (Town Administrator)
THIS MEETING WAS HELD REMOTELY WITH AUDIO AND VIDEO RECORDED. The meeting may be viewed at: https://reflect-brewster-ma.cablecast.tv/CablecastPublicSite/show/6294?channel=1
Anne O’Connell called the meeting to order at 4:00 pm after reading remote meeting guidelines and procedures.
Declaration of a Quorum – Six Golf Commissioners present and accounted for which constitutes a quorum.
Public Comment – No Public Comment.
Revised Financial Forecast Presentation (Mimi Bernardo, Donna Kalinick, Jay Packett) – Anne O’Connell thanked Mimi, Donna and Jay for revising the numbers so quickly. Donna Kalinick began by reviewing the slides that have been added to the previous presentation. Donna Kalinick began on slide 15 titled Revisions to the Financial Forecast (Please see meeting packet). Key discussion points listed below:
The revised financial forecast was presented, which takes into account a request from the golf commission to assume 2% revenue increases in FY25 and beyond.
The revenues were calculated by averaging the actuals of FY21 and FY22 at 98% for the FY24 baseline revenue assumptions.
Donna Kalinick discussed the decision points of setting the rates for 2022 and 2023, and projecting the expected rate increases over a five-year period.
The possibility of a new project manager procurement position was also discussed, which would represent $100,000 in salary and benefits.
Donna discussed the need to update the capital plan to reflect actual debt payments and to plan for future capital expenses.
The forecast shows a decrease in revenue projections if the 2% increase is assumed, leading to a larger deficit in the out years, specifically in FY27 and FY28.
Highlighted was that while the forecast includes proposed debt payments, it does not account for the other capital expenses of approximately $300,000 that are currently being paid for out of the golf department’s reserves.
Following Donna Kalincik, Peter Lombardi, Town Administrator, spoke on the topic. He discussed the need for a sustainable business model for the golf course, with the goal of having revenues closely match expenses. Peter Lombardi presented the possibility of increasing revenue through membership and green fee rate increases, with a minimum expectation of 5% annual rate increases in order to have a sustainable budget. He acknowledged the challenges in forecasting and the need to rely on more data, particularly three years of actuals, to make more accurate projections. They also discussed the need to update the capital plan to reflect actual debt payments and to plan for future capital expenses. The presenters highlighted the potential challenges in FY27 and beyond, particularly with the major debt payments that are expected to come due in those years. They emphasized the need to revisit the forecast and rate increases annually, in order to make informed decisions based on current data. Discussion Followed.
Discussion and possible vote on Golf Season 2023 Rates – Anne O’Connell noted that people needed to see the resulting financial impact of various rate increases and Jay Packett spoke on this topic. He discussed the need for a sustainable business model for the golf course through an increase in membership and green fee rates. Jay presented a snapshot of where the golf course was in FY22 and the potential impact of different rate increase scenarios on revenue, and also provided monthly projections for different rate increase scenarios, ranging from 2% to 5%. Jay Packett emphasized the need to consider the 2022 rate increase and the potential for future rate increases of 5% to 7% in the next five fiscal years in order to maintain a sustainable budget. He acknowledged that the decisions should be based on more data and that the decision points for this year’s rate increase should be discussed. Anne O’Connell clarified that they will be taking 25 people from the Non-resident waiting list regardless of what membership category they choose. Discussion followed.
A motion was made by Dave Valcourt to raise annual fee player rates by 4%, it was later amended to state that the increase would not be applied to Junior or Collegiate membership rates. The Motion was seconded by Andrea Johnson and passed with vote of 5 to 1.
A motion was made by Dave Valcourt to raise daily fee players greens fee rates by 4% – Seconded by Andrea Johnson and the motion passed unanimously. – It was noted that these increases would not affect the jr. or collegiate greens fee rates.
Donna Kalinick and Peter Lombardi quickly discussed the plan to present the financial forecast to the Select Board, including the additional analysis that was done during the meeting. They acknowledged the need to update the forecast annually and to select a single revenue assumption as the basis for future forecasts. They discussed the possibility of including the full forecast document in the Select Board packet and recommended a 4% rate increase with the exception of juniors, adding 25 new non-resident memberships and keeping the same tee time allocation.
Update FY23 HVAC Project
Jay Packett and Donna Kalinick updated the Golf Commission on the project as Jeff Odell was unavailable to speak. They noted the project manager was confident that the project could be completed in two phases and equipment is expected to start to arrive on site at the beginning of next week. There will be a pre-construction meeting held with all parties involved to ensure that everyone is on the same page. The project manager has family ties to Captain’s Golf Course which is hoped to be beneficial for the project.
Superintendent’s Report –
Colin Walsh spoke on the upcoming maintenance plans for the golf course, including greens aeration, drainage projects, leaf cleanup, etc. He noted that the staff is getting along well and that they had a successful season. Laurie Kennedy and Horsley Witten visited the golf course to check out the pump protection project. They were on site to assess the current state of the pump protection project and to provide input on how to improve it, specifically looking at ways to manage the water flow in the area to prevent flooding. Laurie Kennedy is expected to provide a report on her findings in the spring, which the golf course staff will use to make any necessary adjustments to the project. There are several drainage projects going on on the golf course, particularly on hole number 8 on the starboard side in front of the green, where there is a wet area. They have addressed this issue by trenching 500 feet of sand and stone to try and drain the area. There are also a few other minor drainage projects planned for holes 18, 10, and 13 on the starboard side. Additionally, it was mentioned that they have applied snow mold protection to the greens to prevent pink and gray snow mold, which can be damaging to the greens during the winter. This is a preventative measure to ensure the greens are protected through the spring. Colin also mentioned that there is interest from architectural and engineering firms for the maintenance building project and that they are looking into purchasing GPS spray rigs.
Director’s Report
Jay Packett reported on the overall budget status through the month of November, which shows that 46% of the budget has been spent, compared to 45% at this point last year. He also mentions that wages were higher than usual due to the busy season, and that the professional technical and alarm line items have exceeded the allotted budget. He noted this is not a major issue. He also reported on the monthly comparison report, which shows that revenues were lower than in previous years, due to inclement weather and lower profits from the driving range and pro shop. However, for the calendar year of 2022, revenues were $600,000 higher than in 2021. He also reported on the fiscal year bottom line numbers, which show a $143,000 increase from the previous fiscal year, and that play totals for the month of November were lower than the previous two years, but with the exception of the last two years it is still the highest since they have started operating two golf courses.
Course Operations Questions and Concerns
Jay Packett announced that a longtime employee, Vince Scales, who worked at the starter shed and driving range at the golf course, passed away last Friday after having a stroke. A group of his friends from his tennis group would like to install a memorial bench in his honor, and the commission is being asked for their approval to include the proposal in the Select Board’s consent agenda for their meeting on Monday. Rob David moved to approve Jay Packett’s request and it was unanimously approved. Jay Packett also noted Vince’s services are this coming Sunday, the 18th at Nickerson funeral home on Eldridge Parkway in Orleans, from one to three with a celebration of life directly after that at hog Island, right across the street. In another somber note, Jay Packett mentioned that Steve Knowles’s father also passed away and the commission wants to extend their condolences to him and his family.
Other Strategic Planning Updates (Commission)
No updates at this time.
Questions and Comments from Associations and Liaisons –
Rob Harris commented that he sent a summary of the meeting to the members of CCMGA and asked for their comments. He received a lot of comments, but the main takeaways were that members want to know what is happening at the golf course and want to hear it from the golf course management directly. They are interested in knowing about capital improvements and projects, how much money has been spent and when they can expect to see results. Additionally, there is a perception among members that tee times are going unused because people are not showing up, which is a big concern for the CCMGA membership. Rob Harris suggested that addressing these issues in the coming weeks would go a long way towards the golf course mission and help justify the need for rate increases. Dave Valcourt noted if other commissioners could push information toward him he will work to assemble a message with Anne to send out to the membership.
Review and Approve 11/1, 11/15, 11/29 Minutes –
All minutes approved with amendments – Motion to approve made by John Kissida and Seconded by Andrea Johnson – Unanimously approved.
Future Agenda Items and meetings (1/3) –
Anne O’Connell noted the meeting on December 27th was canceled and the meeting on January 10th had to be moved due to the election to January 3rd.
Matters not anticipated by the Chair:
None.
A motion to adjourn was made by Rob David, seconded by John Kissida, to adjourn the meeting. Motion passed unanimously. The Meeting was adjourned at 5:35 p