Golf Courses Claim Misunderstanding, Tight Budgets While Tossing In Greenery To Win Cost Sharing Agreement

By Robert Thomas

On paper the water supply cost and major capital repairs for the Hillcrest and Lynbrook golf courses are suppose to be two separate and distinct issues.

But this past Monday evening the two golf courses successfully argued they were unaware of the fact to have Executive Committee agree to cost share a new pump to supply the courses with irrigation water.

“Everyone assumes there was a three-way split that we worked in partnership on these things,” Deb Higgins president of the Lynbrook golf course told Executive Committee.

“ I assumed… the City paid for repairs paid paid for repairs and maintenance. I didn’t realize we were billed back for that also,” Higgins said.

The creek where the water flows - MJ Independent file photo

“It was a surprise to see the worksheets and the calculations that were in the package,” she said.

The report from Administration called for the two golf courses to each pay 50 percent of the approximate $68,000 cost for the new pump. Each golf course would pay $7000 per year for five years to pay for the pump according to Administration’s report with no contribution from the City.

It’s something that did not sit well with either golf course.

Background

Director of public works and utilities Darrin Stephanson said the understanding Administration had from an agreement reached in July 2020 was that the City would operate and maintain the pump at Snowdy Springs for a flat rate.

The flat rate would cover the cost of electricity as well as maintenance on a cost recovery basis. It would not cover major infrastructure capital costs.

The rate would be based upon the five year average for electricity and maintenance of the equipment.

Larger capital repairs would be the responsibility of the Lynbrook and Hillcrest golf courses, Stephanson told Executive Committee.

“We put agreements in place that represents cost recovery for the tax payers of the city from our external agreements. And that was our agreement, passed and approved by Council for the (two) golf courses,” he said.

Responding to a question from Mayor Clive Tolley if the agreement meant to golf courses would have to pay 100 percent of the $68,000 pump’s estimate replacement cost Stephanson replied “that is Administration’s opinion yes.”

At a July 2020 meeting Council agreed to a new water supply agreement with the two golf courses based upon a five year average cost.

The agreement would mean both golf courses would pay 50 percent each for the city to pump water from the Snowdy Springs dam to the Spring Creek where it would flow downstream to fill the golf courses’ reservoirs, and then be used for course irrigation.

The agreement to supply the water as well as for the City not to be financially responsible for major capital purchases was formulated over several years.

The issue first came to light one former city manager.Matt Noble presented I report about the severely deteriorated condition of the Snowdy Springs dam, pump and water lines.

At the May 25, 2020 Executive Committee meeting former Councillor Brian Swanson brought forth concerns about the infrastructure problems with the system and questioned if City taxpayers would end up on the hook for repairs, potentially costing in the millions of dollars.

“It would be my hope there would be no guarantee for the provision of water from Snowdy Springs as it will be a seven figure number to upgrade the infrastructure there,” former Councillor Swanson said at that time.

“I don’t want to see us get into a situation where we are guaranteeing hundreds of thousands if not millions of dollars in capital upgrades,” he said at the May 25, 2020 meeting.

City manager Jim Puffalt said at the 2020 meeting there had been discussions with both golf courses regarding capital upgrades but in order to get the ball moving there needed to be an agreement for supplying irrigation water first.

“Just to add we had very lengthy discussions about capital. There is no blank check written that whatever that cost would be that we would provide it,” Puffalt said at the April 25, 2020 meeting about the discussions with the Hillcrest and Lynbrook golf courses.

The city manager said at that time also stated that no discussions could really be held about capital cost and tell her study was done on the system‘s infrastructure.

Mayor Tolley Asks Questions

At this past Monday’s council meeting Mayor Clive Tolley asked Stephanson if the City could call share the cost of the pump replacement on one-third, one-third and one-third basis.

Meaning each golf course as well the city would equally pay one-third of the cost of the pump replacement.

Stephanson responded the City could, but it was”a Council decision to make.”

Mayor Tolley asked about the water being used by the serpentine in Crescent Park.

Stephanson replied that was not happening as there was insufficient water supply to do so.

“Generally we only pump enough to fill the reservoirs the golf courses have on site and then we shut the system off.”

He cautioned against using the water to help clear out Crescent Park’s serpentine because “we have eight seasons where that has run dry…you run the risk of running that Reservoir Road which puts the golf courses in a poor spot.”

“I would say, proceed with caution on any decision on that piece…I think it was three years ago. We actually ran it dry by the end of the season and that’s providing no additional water to Crescent Park.”

Green Spaces

A major theme in both golf courses’ presentation was the water was needed to maintain a highly valuable green space within the city.

“We water too huge amounts of green space to R. City as well as actually maintaining it,” Jasmine Cameron general manager of the Hillcrest golf course said.

Cameron said she understood the agreement but it was a question of fairness.

“I know the agreement states one thing, but we are also trying to be on the same playing level as many other sports organizations in the city as well,” she said.

It’s something that Higgins reiterated in her presentation.

“We operate and maintain the largest green spaces in Moose Jaw,” she said.

The green spaces argument hit a chord with Councillor Heather Eby.

“It’s the green space aspect,” Councillor Eby said later in the discussion, adding “both golf courses are very visible from traffic areas in our city…is the visual that I think is so important. I think it’s a fair trade off. If the golf courses we’re not watering and irrigating it would look pretty terrible.”

COVID - good for golfing

Both Cameron and Higgins said the pandemic had financially been good years for both golf courses.

The reason being golf courses could be open during the pandemic when many other facilities were close by COVID - 19 related restrictions.

“I’m not going to lie the pandemic actually did help golf. So we are good with having two really good years and now we are going down,” Cameron said about the pandemic.

Higgins agreed the pandemic was good for golf.

“COVID years were very good year for golf,” she said.

With that said though both pointed to financial problems, they had not planned for when it came to replacing the pump.

For the Hillcrest it meant money that was put aside to upgrade the course would have to be spent on the pump.

“We a position we can do this, but it takes us two steps back where we could be putting more into other projects on the course that we have on a priority list,” she said.

“We a nonprofit organization, as well as we are also trying to make ends meet at the end of the day.”

Higgins said “now it’s slowing down, so this was a bit of a head to everyone’s planning…it’s just one more spot it makes things very tight to operate, and do any additional projects to the course and put money back in.”

“If the City can be a partner in this it would be greatly appreciated,” she said., adding “if the City could afford to pay for the pump that would be better.”

Higgins additionally pointed out that over 95 percent of the Lynbrook’s membership were Moose Jaw residents as well as taxpayers and this the City should give some of those taxpayer dollars back to the golf course.

Councillor Jamey Logan said he supported the City paying one-third of the pump’s cost.

“There are a number of members who are local citizen I would like to support them,” Councillor Logan said.

Stephanson asked if this was a reversal of policy or was it a one off item.

Mayor Tolley said the intent of his motion was specifically for the replacement of the pump.

This discussion turn to whether or not to amend the agreement to the golf courses to include the pump.

Councillor Logan said he could not support such an amendment because it has the potential to tie a future Council’s hands financially especially when it came to what he saw as expensive water lines.

“Let the future Council of the day make the decision,” he said.

In the end Executive Committee agreed to split the waterline costs evenly with the two golf courses. The City will however finance the two golf courses interest free over a five years at a financing cost of $6,000 absorbed by the City.

Funding for the pump replacement will come from the City’s water and wastewater account.

Mayor Tolley requested Administration to contact the golf courses sooner when it came to future major infrastructure repairs and upgrades so they would be better financially prepared.

The decision still needs to be ratified at a future Council meeting.