HomeMy WebLinkAboutGolf Board Minutes - May 12, 2026(208) 359-3020
35 North 1st East
Rexburg, ID 83440
Rexburg.org | Engage.Rexburg.org
Golf Board Minutes – May 12, 2026
Board Members:
Karl Boehm
Paul Sorensen
Brian Parkinson
Eva Wright Non-Voting Members:
Board Chairman Johnson Matt Nielson – City Finance Officer
Colin Erickson – City Council Member
Brent Mendenhall – County Commissioner
Spencer Rammell – Attorney
Cameron Garn – Golf Pro
Seth McFarland – Golf Ground
Greg McInnes – City Parks Manager
Justin Beard – City Engineer
4:30 P.M. Golf Board Meeting
Roll Call of Board Members:
Attending: Eva Wright, Karl Boehm, Paul Sorensen, Brian Parkinson and Chairman Jon Johnson.
Absent:
Review Prior Meeting Minutes and approval (Action Item):
March 10, 2026
Board Member Johnson moved to approve the Golf Board Meeting Minutes for March 10, 2026; Board Member Sorensen seconded the motion; Board Chairman Boehm asked for a vote:
Those voting aye Those voting nay
Board Member Wright
Board Member Johnson
Board Member Parkinson
Board Member Sorensen
Board Chairman Boehm
The motion carried.
Financial Report
Fy 2027 Budget revenue with Elected Representatives and Recommendations from gold board (action item)
Finance Officer Nielson reviewed the FY 2027 Golf Budget Report.
Legacy Golf Course, focusing on daily fees, club rentals, and the increasingly popular Buddy Pass program. The Buddy Pass has become one of the course's strongest revenue sources, growing
steadily from approximately $64,000 to $76,000 annually over the past several years. Through April of the current year, revenue from Buddy Pass sales totaled about $39,000, which was
slightly below the same point the previous year despite a recent price increase. The Buddy Pass price has risen significantly over time, increasing from roughly $160 when first introduced
to approximately $255 plus taxes and fees today. For budgeting purposes, next year's projection was left at approximately $76,000, pending further sales results.
Revenue at Legacy Golf Course the total revenues grew from approximately $282,000 in 2024 to $350,000 in 2025. City Staff projected that revenues this year would be slightly lower, at
around $338,000, and budgeted a similar amount of approximately $337,000 for next year.
Revenue at Teton Lakes Golf Course, where revenue growth has been much stronger. Finance Officer Nielson highlighted significant increases in daily play revenue, driven largely by a
recent 25% rate increase combined with continued growth in rounds played. Other revenue categories, including driving range income and season passes. Like daily play revenues, range
revenue is projected to increase this year before leveling off slightly in next year's forecast. Season pass sales are identified as a major strength for Teton Lakes. The course has
already generated approximately $259,000 in season pass revenue, with final totals expected to exceed $260,000 by the end of the season.
Senior Pass has generated approximately $63,000 so far and is expected to reach around $69,000 by the end of the season. The Family Pass was also performing strongly, especially considering
that pass prices increased by approximately 25%. Revenues have already reached levels comparable to last year's totals, indicating continued strong demand.
Madison County resident discount program. Residents who can verify residency receive a 20% discount on eligible season passes. The city has already provided approximately $70,000 in
resident discounts, with total discounts projected to reach around $74,000 by year-end. The budget anticipated approximately $25,000 in resident discounts on daily green fees, but no
discounts have been recorded so far.
TagMarshal system, the golf course's cart-tracking and management technology. The line item reflects lease proceeds associated with financing the system. Because of governmental accounting
requirements and GASB reporting standards, the city is required to record the transaction in a specific way, resulting in accounting entries that may appear unusual.
Golf Fund Reserves, the fund began fiscal year 2026 with approximately $627,700 in carryover reserves, a dramatic change from earlier years when the city routinely subsidized golf operations
by hundreds of thousands of dollars. Although the proposed budget will require roughly $233,000 of reserves next year if all planned expenditures are approved, the fund balance is projected
to grow to nearly $800,000 by the end of the current season, meaning reserves are expected to increase despite planned spending.
Legacy Golf Course Operating Expenses has four full-time employees, and their wages and benefits are allocated between the two courses, with 25% assigned to Legacy and 75% assigned
to Teton Lakes. The budget includes a 2.73% cost-of-living adjustment (COLA) for full-time staff. Part-time labor costs at Legacy are projected to be unusually high this year, largely
due to work associated with the irrigation project. Because those costs are expected to be temporary, the proposed budget reduces part-time wage projections for next year.
Clubhouse costs, which remain relatively stable at approximately $17,000 annually. Benefit expenses, however, have increased due to the addition of a new employee and the use of several
part-time employees in PERSI-eligible positions, which allow staff to work just under 30 hours per week while still qualifying for retirement benefits.
Fuel costs have been increased slightly to reflect current pricing and operational needs. Staff noted that fuel expenses also affect the cost of products such as fertilizer, which are
heavily tied to petroleum markets causing costs to fluctuate significantly.
Legacy irrigation is in the final phase of the system project, which is projected to cost approximately $78,000 this year.
Finance Officer Nielson noted that Legacy's expenses are unusually high in 2026, reaching approximately $344,000, primarily because of the final irrigation system investments. With
that project nearing completion,
expenses are projected to decline significantly next year to approximately $277,000, which is even lower than some previous years because no major capital projects are currently planned
for the course.
Teton Lakes Golf Course expenses. Because staffing costs are allocated between the two golf courses, 75% of the wages and benefits for the four full-time golf employees are assigned
to Teton Lakes, resulting in approximately $263,000 in full-time wage expenses. Part-time wages for both grounds maintenance and clubhouse operations continue to trend upward. In addition
to staffing changes and increased participation in PERSI-eligible positions, the city is anticipating a substantial increase in health insurance costs due to a particularly expensive
claims year. A potential increase in PERSI retirement contribution rates in next year's budget projections, pending decisions expected from the retirement system later in the year.
Supplies, the course naturally incurs higher supply costs than Legacy because of its size, level of activity, and maintenance requirements. Most supply categories are budgeted with
only modest increases to account for inflation and normal operational growth. Fuel and oil, where included a somewhat larger increase because of uncertainty surrounding future fuel prices.
General liability and property insurance, employee health insurance. Because renewal figures have not yet been finalized, the insurance estimate could still change before the budget
is finalized.
Credit card processing fees, which represent a significant operating expense due to the high volume of electronic transactions submitted at the golf course.
Operating expenses at Teton Lakes, most of the remaining budget categories, consist of smaller, routine expenses that have only received modest increases in inflation and operational
needs. Computer software and maintenance costs are related to the recently implemented TagMarshal system.
Capital equipment plans the budget to include approximately $90,000 next year for a new fairway lawnmower. A rough mower was purchased this year for about $47,000, which fulfilled one
of the major equipment replacement needs. A greens mower replacement, budgeted at approximately $110,000.
Utility vehicle replacement City Staff noted that updated pricing information has been received and that the estimated cost would be approximately $68,000, rather than the $90,000 currently
shown in the budget.
New driving range ball picker included in the budget includes approximately $10,000 for a new driving range ball picker, which will replace aging equipment used to collect golf balls
on the practice range. Tee green renovation project, budgeted at approximately $5,000. City Staff confirmed that work is already underway and that the allocated funding is expected to
be used as planned for improvements to the course. landscape material storage area, budgeted at approximately $30,000. The budget line is labeled as "storage," but the project consists
of constructing a four-stall storage area with six-foot concrete walls to hold landscape and maintenance materials more efficiently.
Teton Lakes parking lot expansion project, which currently includes $100,000 for paving and related improvements. The project will focus on expanding the parking lot near the maintenance
shop area and improving already prepared ground.
Finance Officer Nielson explained that the golf operation has historically transferred money from the operating fund into a separate reserve fund, originally created for debt service
but now used primarily for major capital planning. He noted that transfers have increased steadily over the years, rising from approximately $59,000 in 2024 to $107,000 in 2025, $110,800
in 2026, and a proposed $208,100 next year. The larger transfer is intended to strengthen reserves for future capital projects. He recommended approximately $54,000 be dedicated to equipment-related
obligations, while an additional $154,000 would be set aside specifically to prepare for future irrigation replacement and improvement projects.
Discussion regarding the profitability of each golf course. Legacy Golf Course has consistently generated annual profits of roughly $60,000 to $63,000, although it is expected to post
a small loss this year because of the final phase of the irrigation project. Teton Lakes has experienced more variation, producing profits and other time
losses depending on capital spending levels. This year, Teton Lakes is projected to generate a substantial profit of approximately $198,000. For next year, however, the budget projects
a loss of roughly $293,000. Finance Officer Nielson emphasized that this is largely intentional and reflects the decision to set aside significant funds for future irrigation work and
other long-term capital needs rather than an operational shortfall. Even with those planned reserve contributions and capital investments, the golf fund is expected to remain in a strong
financial position. The ending fund balance would decrease from approximately $820,000 at the end of the current year to around $586,000 by the end of next year.
Finance Officer Nielson reviewed the Golf Debt Service or Capital Reserve 51 Budget Report.
Finance Officer Nielson explained that the fund no longer carries any debt and is being used exclusively to accumulate reserves for major future capital projects. Current projections
show the reserve fund carrying over approximately $369,000 at the end of the current year. This balance is being strengthened through contributions
from both the city and county, which are each contributing $50,000 this year. He proposed increasing those annual contributions to $60,000 each next year, while also continuing transfers
from golf operations. Combined with the golf fund's contribution, the reserve fund would receive approximately $329,000 in new revenue next year.After accounting for ongoing golf cart
lease expenses of roughly $54,000, the reserve fund is projected to end next year with approximately $645,000 in reserves. The reserve balance is projected to exceed $600,000; however,
the irrigation replacement remains one of the largest future liabilities facing the golf operation and that building reserves early will reduce future financial strain.
Board Business/issues/problems/events
Waivers Update-How are they working and being collected- Cam Garn
Update on sign orders for parking lot area- Cam Garn
3-5 signs -Ie. “Slow down- high traffic area” and “watch for pedestrians” (Action Item)
Other items as brought forward by Board Members
Non-Golfers/Infants Waivers: The board reviewed the status of the waivers and noted that several participants had not yet signed them.
Digital Waiver Implementation: The waiver process has not yet been implemented while staff explore digital signing options. Golf Pro Garn was tasked with following up with Noah to identify
potential solutions.
Alternative Waiver Collection Method: If a digital option is not available, they discussed using hard copy waiver forms and maintaining them in a binder. Another possibility is having
customers sign receipts that could be filed with deposit records.
Final Waiver Document: The final version of the waiver is still pending. City Attorney Rammell has planned revisions, and a follow-up is needed to provide Golf Pro Garn with the completed
document.
Parking Lot Signage: Golf Pro Garn gave an update on parking lot and roadway signage, including "Slow Down" signs. The vendor is reportedly working on these signs as well as new entrance
signage.
Board Member Johnson brought forward the following concerns.
Fairway Narrowing Concerns: discussion recent narrowing of fairways across the course and expressed concern that thicker, rough could slow play by making golf balls harder to find.
Impact on Pace of Play: He noted that golfers may be spending more time searching for lost balls, with one member finding several abandoned balls in the rough.
Course Conditions: He observed the narrowing on multiple holes, including Hole 1 (Middle Course) and Hole 3 (North Course), with fairways reduced by approximately 10–15 feet in some
areas.
Suggestion for Rough Maintenance: He suggested keeping the rough mowed lower to minimize delays and improve playability.
Hole 11 Concerns: He felt the fairway on Hole 11 had been narrowed too much, increasing the difficulty of an already challenging hole and affecting preferred landing areas.
Potential Adjustments: Grounds Manager McFarland said that the mowing patterns are not permanent and can be modified. Adjustments to fairway width and location would continue to be evaluated
based on player feedback and course conditions.
Board Member Johnson also expressed his concerns regarding the following items:
Hole 16 Discussion: He discussed conditions on Hole 16, including concerns about turf quality in an area that had previously struggled with weeds and poor grass growth.
Course Improvements: Staff reported that conditions on Hole 16 had improved compared to previous years and that management practices are helping maintain healthier turf.
Drainage Project Benefits: He noted that drainage improvements and additional ditches would likely provide significant benefits during future wet years.
Fairway Size and Maintenance Costs: Staff explained that the course has larger fairways than many comparable facilities, making them expensive to maintain. Narrowing fairways by 10–15
feet could reduce maintenance demands and costs.
Thicker Rough Conditions: He observed that the rough is particularly thick and lush due to aeration, fertilization, and favorable growing conditions.
Fertilization Impact: Staff confirmed that recent fertilization has contributed to the increased growth and density of the rough, which may be affecting playability and ball recovery.
Board Member Parkinson asked about the driving range mats. The Board Member had previously discussed the idea of installing mats on the driving range to allow the turf to recover from
heavy use. Current driving range conditions remain in poor condition due to extensive wear, divots, and weeds, despite temporarily relocating the teeing area.
Golf Pro Garn explained that installing mats properly would require a larger project, including a concrete teeing area, expanded hitting space, netting, and relocation of the range
ball machine. These improvements are included in the long-term budget plan for 2028.
Discussion: Board Chairman Boehm asked for board member feedback on mats for the driving range: While board members acknowledged that most golfers prefer hitting from grass, they agreed
that mats may be necessary to preserve and improve the condition of the driving range. Heavy Usage Impact: Staff reported that golfers remove a significant amount of turf each day due
to the volume of practice activity, making it difficult for the grass to recover naturally. Best long-term solution: indicated that a permanent concrete hitting area with mats is the
most effective long-term solution for maintaining the driving range while accommodating heavy use.
City or County Input/Issues
Other Items as brought forward Staff or Elected Officials
Golf Pro’s update of issues/concerns/problems/projects
Update on rental club and pushcart options available for purchase (Action Item)
Update on Tag Marshall:
Installing update
Marketing and Marketing Plan Update
Cart Condition Update
All Other Items as brought forward by Golf Pro
Golf Pro Garn reported on the following items:
Rental Club Update: 12 new rental club sets have arrived. He is planning to assemble additional rental sets using remaining equipment from older inventory.
Push Cart Status: The push carts have not yet arrived and are still on order.
Tagmarshal Installation: Installation of the Tagmarshal cart screens are scheduled between June 15 and June 21. The system will provide GPS and geofencing capabilities, including monitoring
cart movement and vehicle activity.
Strong Golf Season: the golf season is performing very well, with participation and activity levels returning to strong numbers.
Marketing Opportunities: discussion regarding marketing opportunities associated with the cart screens. He believes sponsorship and advertising revenue could help offset the cost of
the system, pending further discussions about pricing.
Golf Cart Fleet Condition: The current cart fleet is holding up reasonably well, although carts experienced more wear and tear on the Legacy course. Overall, he felt the fleet is in
better condition than those at many comparable golf courses.
Future Cart Replacement Plan: Staff discussed returning to a regular replacement cycle by purchasing 15–20 new carts at a time and rotating older units out of service. The Tagmarshal
screens could be transferred to future carts as replacements are purchased.
Cart Purchase Timeline: Golf Pro Garn said he believes the current fleet could remain in service for at least one more year.
Budget Planning: Finance Officer Nielson recommended including the golf cart replacement in the 2028 Capital Improvement Plan (CIP) to ensure the project remained on future budget schedules.
Maintenance Expectations: Grounds Manager McFarland noted that while the carts should remain operational through 2028, repair and maintenance costs will likely increase as the fleet
continues to age.
Golf Grounds Manager update of issues/concerns/problems/projects
Update on mapping with GIS and our City Works Coordinator to mark the location of all the irrigation lines and equipment on a map with coordinates
More work to be done here with marking sprinkler heads and noting pipe sizes.
Update on irrigation project a Legacy
Other items as brought forward by Golf Grounds Manager
Grounds Manager McFarland reported on the following projects being completed on the golf courses.
Course Maintenance Update: the irrigation work has been completed, and the tee aerification has gone well. Favorable weather conditions have helped accelerate recovery, and the course
is expected to be approximately 90% recovered within a week.
Turf Recovery Progress: Board members noted significant improvement in course conditions over just a few days and expressed satisfaction with the pace of recovery.
Blue Tee Project: that work is underway to complete a blue tee project that has been delayed, with final improvements expected to be finished soon.
Homeowner Concerns About Golf Balls: The board revisited complaints from nearby homeowners whose properties have been struck by golf balls. Discussion whether the issue is associated
with Hole 2 or Hole 3.
Tree Planting as a Solution: Staff and board members agreed that planting additional trees near the affected homes could help reduce errant golf balls reaching residential properties.
No Formal Approval Needed: Staff indicated that adding trees would be a relatively minor expense and could be completed without requiring formal board authorization.
Determine Next Board Meeting Date/Time
06/09/2026 at 4:30pm or sooner if needed
Tabled Agenda Items to Consider: