REPORT TO SPORTS AND OPEN SPACE AUTHORITY
SUBJECT
Title
Santa Clara Golf and Tennis Club Report
Report
BACKGROUND
On June 27, 2017, the City Council approved an extension to the Management Agreement of the Santa Clara Golf and Tennis Club with the American Golf Corporation. Per the management agreement the American Golf Corporation is required to submit for Sports and Open Space Authority (SOSA) various fiscal operation reports.
DISCUSSION
This Report to Council transmits the reports on the Fiscal Operation of the Santa Clara Golf and Tennis Club for the second quarter ended December 31, 2017. These reports provide current information on the fiscal operation of the City's Golf and Tennis Club and include the Income Statement (Attachment 1), the Variance Report (Attachment 2), the Administrative and Management Fee Calculation (Attachment 3), and the Net Income Comparison Graph (Attachment 4). The Income Statement includes a summary of Golf Course attendance categorized as "Number of Rounds" that is presented at the bottom of the Statement. The Variance Report provides a brief explanation of variances between actual and budgeted Golf Course revenues and expenditures. The Net Income Comparison Graph provides a graphic comparison of the current quarter and fiscal year actual, budget, and prior year actual Net Income for the Golf and Tennis Club.
As discussed in the attached Variance Report, financial results for the second quarter ended December 31, 2017 were better than budgeted by $129,904 due mainly to unseasonable warm, dry weather that allowed for more golf rounds to be played during the quarter than anticipated. The higher than anticipated revenue from green fees and cart rentals was slightly offset by higher irrigation expense due to the warm, dry weather. The financial results also benefitted from lower than budgeted salary/wage expense as a result of fewer full-time maintenance employees.
ENVIRONMENTAL REVIEW
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