Agenda Packets - 2001/04/23 - Laserfiche WebLink

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Mounds View City Council April 9, 2001 Regular Meeting Page 5 rounds each you would have the 30,000 rounds needed for the additional nine holes. He also stated the phone calls break down to the eight-mile area. The Springsted Representative stated that normally the golf course studies that they do would involve a little greater area than the eight miles but he stated he feels comfortable that the eight miles is a wide enough sample of cities. Council Member Stigney referred to the statistics for average weekly pay that indicated an increase of 30.24% over the last six years and asked if that was factored in. The Springsted Representative indicated that if you use 3% over 20 years you would get that number but that they did not factor in the 30.24% figure. He then stated they used the national CPI which they confirmed with the state before using. Council Member Stigney noted Tiger Woods is attracting people to golf but indicated that he feels the economy is slowing down and people may not have as much money for golfing. He stated his main concern is the financial projections are based on using the course the City has now and doing another nine holes. He then stated Mr. Hammerschmidt had a list of items that the City would need if it added an additional nine holes and questioned whether those items were figured into the cost factors for the additional nine holes. The Springsted Representative explained the cost list drafted by Mr. Hammerschmidt was not submitted to them and the costs were not used. He stated those improvements would need to be taken into consideration based on the success of the course. He suggested Council and the public should decide if the course could support those improvements. He further stated that this is not a high end facility but is a low end one that people will want to back up to if they cannot afford $50.00 courses due to slower economic times. Council Member Stigney stated he is concerned that if the City does not look at the up front projected costs to make the course viable and practical then the City is missing a big chunk of the actual costs. He then stated that to go ahead with the project and look at costs later is how the City got into trouble last time. Council Member Marty stated Springsted was contracted to look at the black and white hard figures and those hard figures included the prospective or proposed possibility of another nine holes to determine the cost effectiveness and what the possible outlay against the income would be. He then explained Mr. Hammerschmidt developed a plan in the event the billboards did not go through. He then requested that the discussion be kept to what the City has asked Springsted to do. Mayor Sonterre stated he appreciated Council Member Stigney’s concern for the eventuality but stated he feels that Springsted was asked to look at specific numbers that did not involve moving the range, adding a larger parking lot, or a larger clubhouse. He then stated the City does need to be cognizant of the fact that the second course may not be completely viable if the City does not