Mendota Heights Par 3 Revenue Slumped in 2011

The golf course closed their 2011 season in November with an operating loss of $16,616.

The golf course is run through an enterprise fund, and operations are expected to be self-sustaining.

The course was purchased after a $2.3 million referendum passed in 2007. Those bond payments are not calculated into the bottom line of the enterprise fund.

Expenses for the course were actually lower than anticipated, but revenue was even lower, according to city documents.

Despite a net profit through June, rounds per month at the course were lower than the four-year averages March through July. Rounds played August through November were in line with four-year averages and did not make up for the losses.

 “The very start of the season was OK, not good, but we were hoping to break even,” said Assistant City Administrator Jake Sedlacek.

Positive revenue of $9,790 was reported through Sept. 30, 2011. 

However, fall maintenance projects quickly erased those profits. Maintenance included aeration and seeding of the fairways and tee boxes, treatment of a grub problem that also affected other courses in the metro, golf cart repairs, tree trimming and golf cart lock station installation.

A $5,963 loss posted in 2010 had prompted the city to pursue additional revenue through marketing of the course and its classes, special event capabilities and rentals.

The city council has set a floor of $40,000 for the course’s operating fund. Where that fund balance stands now will be released in February.

 “We simply have to do more,” said Sedlacek. “We need to do more to make sure people are aware of the product. We consider ourselves the best value in the Twin Cities.”

Final numbers for the course’s finances and operating balance are expected in February, with a council discussion likely to follow.