By Betsy Finklea
The golf course was the major topic of discussion at the Dillon City Council meeting.
City Administrator Glen Wagner said they have started doing some things, but they have a bank account with zero dollars in it.
Wagner said the anticipated budget and expenditures is $300,000, and on June 1st, they will have to start paying staff and bills. Wagner said he was “guesstimating” that they would need $75,000 in the account to start off with and council would have to give authorization to take the money from the hospitality tax.
They have asked the county for $75,000, but as of this point, the county has not approved any money for this project.
Wagner said if the county does not approve any funds, he will have to come back to the city council in July.
Wagner said they would have to spend at least $15,000 on a lease agreement the first six months. They would spend another $15,000 on a golf cart lease for six months, and the salaries for three full-time and three part-time employees would be approximately $50,000-$75,000.
In addition, Wagner said they had equipment they needed to buy which will cost around $130,000 and includes mowers.
Wagner asked the council how they wanted to finance that purchase. Did they want to borrow the money or use hospitality funds?
Finance Director Janet Bethea explained that she had set up the golf course as a separate account.
It was suggested to take $205,000 ($75,000 for operations + $130,000 for equipment) out of the hospitality funds.
Councilman Johnny Eller asked if they could cap it because he said they can’t keep going back to the hospitality fund.
Councilman Douglas Jackson said that if the county gives money that they could put it in the golf course fund and pay back the hospitality tax.
Wagner said that corners had been cut at the golf course previously and if they wanted people to play they have to present them something nice. He said the fertilization and watering will make a total difference. Wagner said that was the only way to get the course presentable to play.
He said the Senior Golf Tour in the state had not been to Dillon in years, but they now wanted to bring about 100 golfers to Dillon next spring for a one day event. The city would provide the course, and the golfers would pay the fees.
Wagner noted that they had over 50 rounds of golf played the Thursday before the meeting.
Councilman Phil Wallace said that the course “broke even” and had done a minimal amount of “stuff” and were also operating the restaurant, bar, and pool.
Wallace said the course ran a negative budget of $25,000-$30,000 a year and this was shared with the county, they had not only done a great job for the city but the county as well.
It was noted that the members plan to take over the restaurant and pool , and a temporary board has been put in place with Felix McLellan and chair. Their goal is to operate from a revenue standpoint. The have the lease, taxes, and maintenance on the pool as expenses.
Wallace made a motion that they allocate $75,000 from the hospitality tax fund for the golf course, that they borrow the $130,000 for the equipment from the hospitality fund and pay the funds back at $2,300 month (1.75 percent interest) for 60 months, and if the county provides funds that those funds be put in the golf account.
Wallace said that the county needs to be a part of this. “We’re going to surprise people,” he said. He said that they wouldn’t run a profitable golf course because those don’t exist anymore.
The motion was seconded by Councilman John Braddy.
Council approved the motion.
Wagner said they were going to have to get a retail license and give the state admission tax.
Wagner then presented the rate structure. He said he didn’t know if there was a magic formula, but they looked at the surrounding area. He said they want to set up a membership system like at the Wellness Center and take a photo and have keychain cards.
Councilman Phil Wallace, seconded by Councilman Douglas Jackson, made a motion to approve the rates. The rates were approved.
Wagner said that city employees will be recognized as members, but will not have to pay the member fees. They would only be responsible for fees paid by members such as cart fees.
