Board of Park Commissioners

Board of Park Commissioners Special Meeting Minutes Monday, May 17, 2021 CITY OF 3:00- 5:00 P.M. WICHITA City Hall, pt Floor City Board Room Wichita KS 67202 Members Present: Eddie Fahnestock, Troy Palmer, Philip Simon, Dale Goter, Tori Deatherage, Alejo Cabral, Ty Tabing Members Absent: City Staff: Troy Houtman (Director, Park & Recreation), Penny Garding {Clerk), Reggie Davidson, Gentry Theisen, Elizabeth Harlenske Item Descri�tion Call to Order Eddie Fahnestock, President, called the meeting to order at approximately 3:00 p.m. Announcements No announcements at this time. Public Comments Emails were shared with Board 1 GAC opposition to RFP process Fahnestock: Last Thursday, a motion was made to stop the RFP process and to hire a new Golf Director. That motion was passed with a 4-2 vote, the Nay's being himself and Michael Ward. Goter: Vote was supported by 4 board members and are for the public golfers. RFP will hurt courses more due to delays in making critical decisions. Cabral: What and when was the motion made. In absence of golf manager, who is currently making those decisions? Houtman: He is the one making those decisions at this time. Goter: Serious concerns regarding delayed maintenance and staff shortages. Houtman: Currently hiring some staff and purchasing equipment. Goter: Finances are key. Was looking for end of year projections. Tabing: How long is the hiring process for Golf Director? Houtman: It will be 2-3 weeks to get the job ready, then posted, so you're looking at 3 months, best scenario. Tabing (to Goter): During the 4-1 meeting, during the Kemper discussion they were proposing $7SK fee per course. How do we know this is the best deal? We don't know until we test the market. He said Dale mentions 2 other entities that are interested in this opportunity. With that, I would support going forward so we know what an RFP can bring. Goter: He believes going to an RFP says we are saying we cannot do it ourselves. Simon: There are multiple articles over the last decade, stating the numbers do not support continuing with large golf systems. Most municipalities have closed or sold them. What is the best way to manage what we have, for the long-term, to operate these courses but get to the point where the money isn't there anymore? Goter: What is the position on the financial picture placed before the RFP respondents with regard to money currently directed to general fund versus First Tee proposal? What will the RFP specify as to the resources available to respondents? Houtman: The third party operator would step in, take over daily operations of the courses, work with our equipment, and work with us to replace equipment. They want to focus on BOARD OF PARK COMMISSIONERS Special MEETING May 17, 2021 Page 1 of 2  food & beverage and marketing. Long-term, we definitely need to put some investment back in to the courses. Goter: Two elements of concern: $240K Central Administrative fee, Golf revenue that goes to the General Fund; and $82K Public Safety fee that goes to the Police and Fire departments. Will the respondent be expected to make that same payment to the City or will the City forgo those two payments? Houtman: That overhead would go away. Mr. Manning had stated with the Enterprise fund it is not required that those overheads be paid back to the City. They will have their own payroll system, marketing, finance, and IT departments. Tabing: Would the City accrue some profits from the operations of this system? Houtman: We won't know what is being proposed without reaching out. Goter: Would the City or Golf Division receive those proceeds? Houtman: We would make sure correct wording is in the contract. Fahnestock: Everyone wants the end product to be good. Goter: I'd like to see definitive numbers from Finance. As a board, you should want to see that too. Houtman: As we finalize the specifications for the RFP, put the RFP out, and able to get responses, 2-3 months from now we will have a much better idea of what the projections are; we can compare our operations with some of those that are bidding. Cabral: We can go through the RFP process and decide we don't want to go with any of them, correct? Houtman: Yes. With proposals we will be able to take a look and compare to what's being done and offered. Motion by Fahnestock, second by Palmer, IT WAS VOTED to move forward with the RFP process (6-1). Nay - Goter 2 Golf Update & First Tee (GAC Appointment) Deatherage: No update Fahnestock: Will put on 6/14 Park Board meeting 3 President's Update No update at this time 4 Director's Update Will continue moving forward with specifications of the RFP looking for beginning of June to bring to Park Board and GAC. Adjourn There being no further business, the meeting was adjourned at approximately 3:51 p.m. The next regularly scheduled meeting will be held on Monday, June 14, 2021. BOARD OF PARK COMMISSIONERS Special MEETING May 17, 2021 Page 2 of 2