Fore-gone conclusion? Brevard mulls bailing on golf business

After almost 30 years of Brevard County owning three public golf courses, declining revenue and use are prompting county commissioners to consider getting out of the golf business completely.

“I know we’re going to lose money if we hold onto this,” commission Chairwoman Rita Pritchett said last week.

Before a packed audience of about 100 mostly golfers, commissioners in a March 15 workshop agreed to take a few final swings by having County Manager Frank Abbate and County Attorney Scott Knox iron out new course-management proposals with two local organizations.

“This is the most crowded I have seen this room, on one issue, since I’ve been here,” said Vice Chairwoman Kristine Isnardi, who was elected in 2016.

Commissioners were expected Tuesday to approve:

n An agreement with nonprofit Golf Brevard to take over management of Spessard Holland Golf Course, south of Melbourne Beach, and the Habitat Golf Course in Grant-Valkaria.

n Creating a new community-development district to manage the Savannahs Golf Course, on Merritt Island, and then reverting the course ownership to the Savannahs at Sykes Creek Homeowners’ Association Inc.

County commissioners in 2015 realized the county was losing money on its three golf courses when former Parks Director Jack Masson pointed to an operating loss of $129,500 in the recent year.

Commissioners in January 2016 agreed to lease the courses to Orlando’s Integrity Golf Co. LLC in a pact that would yield at least $100,000 a year for the county. But last July, the company bailed out of the agreement because it, too, was losing money on the courses. The county has since sued the company.

Tom Becker, chairman of the steering committee for Golf Brevard, described the organization as a group of successful businessmen who love golf and want to keep Spessard Holland and the Habitat in play by improving the greens, boosting the number of golfers who play there and bringing in more money.

But before it could make its own money, Becker said, Golf Brevard would need the county to set up a transition fund of $390,000, if it is to start Oct. 1, or $250,000, if it is to wait until January 2019. He said Golf Brevard also needs a line of credit of $200,000 for unexpected costs, which he said company leaders hope they won’t need to use.

Becker tallied $203,000 worth of deferred maintenance at Spessard Holland, things the county hasn’t done, such as a $110,000 replacement of its main pumping station.

In addition, he pointed to $511,500 in deferred maintenance at Habitat, including $290,000 needed for new bunkers.

Golf Brevard would tackle those projects, Becker said. And once its reserves reach $500,000, he added, it would repay the county’s initial investment.

Becker also proposed charity as part of the revenue. Those who love golf, as much as Golf Brevard leaders do, would get to donate to keep the courses going, he said. “You’re very fortunate Integrity Golf’s departure was swift,” he said. “They could have bled county funds for years. The numbers just don’t work for profit companies in the present golf environment. But with Golf Brevard, there would be no profits. All the revenue would be reinvested.”

Some representatives from Aquarina Beach and Country Club, south of Melbourne Beach, said they would prefer the county sell its courses to the private sector than continue using county funds to keep rates low.

“Brevard County, by subsidizing its golf courses, is damaging us financially,” said Patrick Pollock, president of the Aquarina Community Association. “There’s no need for golf courses in the county that are county-run. There are already 28 golf courses in the county.”

Spessard Holland golfers, however, insisted they need the county courses because they couldn’t afford to use private clubs.

“We spend $1,000 a year at Spessard Holland,” Melbourne Beach resident Joan DeGregorio said. “I know it’s subsidized because society benefits.”

Golf Brevard could make the courses work, Becker said, because its leaders would be single-minded in getting the courses managed well.

Commissioner John Tobia, whose district includes Habitat and Spessard Holland, didn’t buy Becker’s pitch. He grilled Becker on the lack of collateral in seeking a county loan, on the lack of a proposed interest rate and the lack of any term for the loan. “I look at this as the taxpayers’ money,” Tobia said.

By Tuesday, Becker said, he expected to return to the county with harder numbers.

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