Where the Money Goes.

Quoted from this year’s City budget document

"This will be the sixth year the golfcourse operations will be accounted for in a separate fund. Previously, the golfcourse operations were accounted for in the General Revenue Fund. It is believed that with the new fund, total Golf Course Revenues/Expenditures and long term commitments can be better managed. The long term commitments are in the form of Certificates of Participation (COP) payments which end in Fiscal 2017 and were used to complete the renovation of the course in 2002.

As part of that financing, the City received a grant from the Steadley Foundation of $200,000 a year for nine years to help defray a portion of the overall project cost. The nine years ended in Fiscal 2010. Total principal and interest payments amount to approximately $2.8 million which terminate in Fiscal 2017. Based on cash flows prepared at the beginning of the project, the course could generate adequate funds to make the remaining payments on the COPs in addition to operating costs, based on periodic rate increases and increasing rounds played to 40,000 by the end of the planning period. Fiscal 2011 revenues are based on 22,500 rounds being played. Staff has discussed the problems with the golfing industry nationwide at various meetings throughout the current and previous years. The City’s numbers, as well as most other courses in the area, are showing a decrease in rounds played. Further, as of the end of April 2010, the course’s revenues were approximately 14% (approximately $54,900) below projections with rounds 4.99% (850 rounds) below projections. However, the revenues for this fiscal year are about $3,727 higher than last year. The City’s course has seen a relative increase in revenues collected compared to rounds played. This was due to a previous rate increase adopted by the Council. The golf pro also has plans to increase marketing the course this year to help generate the additional revenues. Additional revenues are expected from the operations of the golf driving range. Due to agreeable terms, the City is leasing the land for the driving range from the former owner. It is anticipated that the course will provide supplemental revenues for the golf course with the range operations by approximately $3,800. Total golf course revenues are being projected at a rate of 26.9% ($203,865) below 2010’s budget level. Revenues are budgeted at $553,490. The main reason for the large drop is the payment of the Steadley grant. The grant funding has been completed. There is also a budgeted subsidy from the General Fund of $76,690. There is currently a planned deficit in this operation that will have to be covered by a subsidy from the General Fund currently budgeted at $76,690. Fee increases were discussed, but because of the area courses inaction regarding fees, it was determined raising fees would not be to the course’s. advantage. Depending on the course’s operations, only the amount necessary to balance the budget will be transferred from the General Fund. Total expenditures are budgeted at $736,865, which include a COP payment of $183,763 and capital expenditures of $42,658 for a lease purchase of needed golf equipment. Operations and maintenance portions of the budget have also been reduced in line with other departments as much as possible in light of the long term obligations of the course while still providing for the overall condition of the course."

This year the City’s 197 page budget document has been uploaded to the City web site. The City saved printin’ about twenty hard copies of the small novel and presumably save a little cash as well as time in the process. Most Council members are usin’ the web site for their reference.

The "Where the Money Goes" series we are puttin’ in the Mornin’ Mail comes directly from that document. Those who have the inclination and the hardware can download the entire document at www.carthage-mo.gov. It’s in pdf format so it’s easy to follow on screen or can be printed for reference.

For those who’d rather absorb a smaller dose at a time, we’ll publish some select portions for the next few days.

This is some fact, but mostly,

Just Jake Talkin’.

---

Weekly Columns

THIS IS A HAMMER

By Samantha Mazzotta

Is It Time to Make Home Improvements?

Q: I’ve been holding off on redoing the bathrooms in my house because of worries about the economy and whether my wife and I would be laid off. Now we’re in a disagreement: She wants to redo the bathrooms, but I still don’t want to risk spending money. What do you think? Is it worth it? -- Worried in Washington state

A: Well, the home-improvement industry is anxious to have you believe that it’s time to take the plunge and spend money on home renovations. DiggersList says that industry estimates point to homeowners in the U.S. spending twice as much money this year -- $270 billion -- on remodeling projects as they did in 2009.

That’s all well and good, but the story is different for each homeowner. If you’re not sure about your company’s situation and whether you’ll continue to be gainfully employed in the near future, yeah, you may want to hold off.

At the same time, some renovations just need to get done. If there is a functional problem with the bathrooms -- the plumbing needs work, the bathtub or toilet is leaking -- then spend some money. If it’s more cosmetic, talk it over with the wife, and sit down together to figure out how much money you are both comfortable spending on the renovation.

You could compromise by redoing just one bathroom this year, and the other bathroom next year. Or you could both promise not to splurge on unnecessary items like gold-plated fixtures. But creating a renovation budget and working together to come in at or under the limit will help break the impasse.