Friday, July 24, 2009

Fiscal Responsibility

After the last couple of posts, I wanted to take this time to reiterate one of the main purposes behind this blog and that is Dayton needs to become fiscally responsible. We have all seen news stories about the toll the current economic conditions are taking on different cities.

For instance, some cities have been forced to shut down city pools early to save money. Other cities have been forced to cut job positions in order to maintain a balanced budget.

We, as a city, need to decide what services are the most important and how to move forward. City streets are in disrepair. People would like pay raises. Both of these are needed, but we need to get together and determine how we would like to move forward with regards to the golf course. Right now, the golf course eats up a major portion of the city's budget. If we do not get something done with regard to the golf course losses, our property taxes will continue to increase.

I think this is a good time for all of us to reflect on what services are the most important to Dayton and what we need to do in order to get things back on track.

Just as a side note, other golf courses are not seeing the best of times. Today's Des Moines Register is reporting that Glen Oaks County Club is in foreclosure. Here is the link:

http://www.desmoinesregister.com/article/20090724/BUSINESS/90724018

29 comments:

  1. I read in the Park and Rec board minutes that the golf course lost 17 thousand dollars after inventory and capital expenses. The way it read was for this past year. Is this the loss since the city taking it over or is this since the beginning of the fiscal year until the end? Or is this figure from when the city took over the golf course until the end of this fiscal year. If it is the first option then that would include two years of memberships, that would not be an accurate accounting. If it is the second option then it would be accurate. Does anyone know the answer for me.

    ReplyDelete
  2. It would have been nice to have some money in the coffers so we can pay for the painting and sealing of the water tower.

    ReplyDelete
  3. Money, money, and more money that is what is costing us anymore. Bottled water because we could drink the water but it smells bad and you never know when it is going to be on. Replacing the workings of the toliets because of the crazy water pressure and all the rust.
    Disinfecting the washing machine because it smells from the water and the dishwasher. It is one thing after another here anymore. Party on dude.

    ReplyDelete
  4. Don't believe the water tower renovations were budgeted for, our water rates are going up, our trash collection went up, our electric rates are going up, I bet our telephone service will not be far behind. We have the highest taxes in Webster County, and we have a city council person telling us that we should go out and eat, and not wash our clothes, just go buy new ones. But they can continue to spend money on their attorney and keep putting money into the golf course that continues to lose money, when are they going to get any sense. STOP THE MADNESS!!!

    ReplyDelete
  5. The water siuation is terrible in this town. I understand it may have needed to be done but a letter in teh mail with a warning would not have been to much to ask.

    ReplyDelete
  6. Somehow we will have to come up with a way to pay for the painting of the watertower. Is the plan to still buy that building?

    ReplyDelete
  7. There is a posting on channel 2 about the water but I don't know how long it's be on there.

    ReplyDelete
  8. Oh geesh--I was joking--making fun of myself, actually. That's why I put the smiley face there--emoticons should show the reader I AM NOT SERIOUS. Of course you can't buy new clothes and go out to eat all the time.

    I agree the water situation is terrible--but it will be better sooner rather than later. I expect by Tuesday morning we'll be back to normal. I agree a letter warning would have been nice--or a brief article in the Review--but that is "water under the bridge now"--and, in case you can't figure it out--that was a PUN on our water trouble--not a serious statement.

    I have three very messy kids. Our water problems have been a huge pain for me and my bathtub looks absolutely terrible because of the brown water. It is very frustrating--but I guess I would rather approach it with HUMOR (especially if I am making fun of myself and not others) than getting angry and lashing out at people.

    I was just trying to spread a little information and maybe get a smile out of someone in the process. I still believe this blog can be productive and not just a place where anonymous people can be mean.

    ReplyDelete
  9. I wasn't being mean, I was being honest. That is what the council and mayor ought to be-HONEST. Remember, you are not spending your money, you spending the citizen's money. Sometimes there a place for being funny, but when people are hurting, they usually don't want to hear jokes.

    ReplyDelete
  10. Let's get real with this. We the citizens of Dayton are paying a high price to be fashionable. We have bad water, bad streets, and the highest taxes in Webster County, but hey, we have a golf course. Never mind that the majority is paying so the minority can play. But that is what the Mayor and his minions want so now we have it. When are the majority of the council and the Mayor going to realize we are sinking in debt and need to allocate funds for the good of all in the community, not just a privileged few.

    ReplyDelete
  11. I have an idea. Maybe we shouldn't be charged for water and sewer this month. The water has been awful and it has messed so many things up. Talked to a plumber and can't fix the toliet stool until the water mess is cleaned up. The tolet runs all the time unless you shut the water off to it. Boy this is fun.

    ReplyDelete
  12. I haven't had time to even check the blog for the last three weeks, I have been dealing with other serious issues.

    Some people deal the their emotions differently, anger, frustration, humor, denial and depression. So I see a whole range of emotions here. It is still good to vent.

    I do think we need to be fiscally responsible and open with the facts and figures. I am very concerned with what is happening in this area. I do think it could become a real problem if anything else goes wrong and costs the city more money it is not expecting.

    The water has been awful. I know it is probably not anyone's fault but it is happening and has been a real problem.

    ReplyDelete
  13. I guess I didn't realize the humor in the "go out to eat" and "buy new clothes" comments either in this time of economic crisis. I do think there could have been better publicity about the low/no water pressure and rusty water too, just to let people know that it was going to be short term and to please be patient. I understand that at least the water situation should be back to normal this week. Now let’s hope we can get back to business with other situations within our fair city. Mr. Mayor, I have not had a response to my email I sent on 7/16 in which I asked that you consider make public comment about the golf course financials. I suggested that, quite frankly, because I feel that is the “bone of contention” that most people have in moving forward and supporting the city owned golf course. Just so there is no mistake, I DO support the City owning the golf course and know that at least breaking even is a good goal to have but as long as there is such division in the community regarding this, moving forward will be extremely difficult if not impossible. Next regular council meeting is August 12th. Is it appropriate to have someone from the Park and Recreation board and/or Mayor to address any questions people may have regarding the current financial status?

    Cindy Corson

    Cc: Mayor Richard Travis

    ReplyDelete
  14. Cindy, I too would support the course if it made its own way. I have a question for you, and that is all it is. What in your opinion would be the point at which you would not support the course any longer? Breaking even would be okay with me, even losing a couple of hundred a year I could live with. In fact I would like anyone to respond with their opinon as to what the course is worth in terms of enjoyment. Not what we could sell it for, but how much would you or anyone on here be willing to spend in deficits per year just to keep it. If it made money, there would be no problem having it. Break even, $1k loss, 10k loss or what. I am just curious to see what the results would be.

    ReplyDelete
  15. This is my opinion and my opinion only. Because I do consider it to be an asset to the community and not just a few people who golf, (remember, I have never held a golf club in my hand), I realistically think the golf course which includes the club house might never fully pay its own way, resulting in a loss every fiscal year. I would love for the golf course as it is currently set up to break even but I don’t know if that is realistic. You are asking at what point I would begin to question my support of the City owned golf course and this is my response. It is difficult to really come up with a good answer not knowing whose set of numbers to use but I would still support having the City owned golf course (set up as it currently is with the club house included) even if the loss was $5000-$8000 per year. But I also think consideration should be given to leasing the restaurant portion of the club house. Not only would that cut down on the losses but it might also prevent the conflict of the City competing with other restaurant/bar business in town.

    Cindy Corson

    ReplyDelete
  16. Cindy, thank you for your opinion. The reason I am asking for thoughts on this is that I have heard people say anywhere from if it loses a nickel we should get rid of it to keeping it no matter what the cost. As you and most everyone on here knows, my opinion is that it should at least break even. Leasing the restaurant is a possibility as long as the lease is in favor of the city. No $1.00 a year and we keep up the maintenence. It needs to be realistic wherein the city isn't subsidizing it. Anyone else care to comment?

    ReplyDelete
  17. When I talk of leasing, I mean a monthly rent plus utilities and the city not paying for the club house employees.....that being up to the leasee. All expenses (food and beverage)relating to the restaurant being the responsibility of the leasee. The golf course maintenance only, I believe, would still be up to the city. In my opinion that would be favorable to the city.

    Cindy Corson

    ReplyDelete
  18. I apologize for making fun of myself. Everyone who reads my column knows I love to shop and hate to cook. EVERY situation--no matter how much people are hurting--can be approached with a little humor, in my opinion. Sometimes this is called black humor.

    The rules of this blog continue to stymie me. It is okay to call me a "minion" and other things and not sign your name. It is not okay to publicly make fun of yourself.

    Oh yeah--and people who don't like what I post can call the mayor and complain about me. They can do this because I sign my name. If I was anonymous I would be "safe"--oh wait--is that what everyone means by retaliation???

    Yes--i am exhausted and crabby--that might explain my ill humor. But I don't think I want to be a member of this little club anymore. The rules are too confusing and my feelings have been hurt too many times. If I wanted people talking behind my back and not taking responsibility for what they say--and then "telling" on me--I'd go back to 6th grade. The playground is way safer than the dayton observer/

    I'll still read the blog--but I'll sign my name anonymous after today. That way I can say whatever in the hell I want and no one can say a thing back at me. How refreshing that will be.

    kendra

    ReplyDelete
  19. Kendra: You know, I have considered not signing my name too on occasion...oh, how much easier that would be?! Easier on husbands and children.........You could get down right mean and nasty and not have to answer to anyone, but you know what? I still have to answer to myself and I think that neither you nor I could/should lower ourselves to that level. I respect your right to express your opinion/humor even if it might differ from mine.

    Cindy Corson

    ReplyDelete
  20. Kendra, did I call you a minion? No I did not. It was my attempt to lay out what I think is the Mayor and his "cronies", who pushed this through on a vote. They, I must admit were well organized and made sure the citizens did not have all the facts. Example: Unauditable books. Example: Someone that would have bought the course in foreclosure. Example: Not giving the city a chance to buy it in foreclosure. Yes there are some on the council that I feel would vote favorable for anything for the golf course. You? I don't know. The fact is the Mayor has appointed "his" park and rec board. Including 2 controversial appointments. That was hashed and rehashed long ago on here. So I will not rehash it again. I am merely explaining that he has a lot of people backing his golf course agenda. Those are his minions. Now Kendra, a question. As a council member what are your thoughts as to how much the golf course should lose before we rethink city ownership? I do think that is a reasonable question.

    ReplyDelete
  21. Lease the whole golf coarse out for a year and see how it goes.

    ReplyDelete
  22. Kendra,

    Like I posted earlier, there are a whole lot of emotions going on in Dayton. Everyone handles hardships life’s strife’s differently. I don’t think there are any real rules that I have ever read about the blog. I have noticed some really negative nasty posts have been removed by the Dayton Observer and I remember reading a post awhile about the posts being monitored about this.

    I have respected both you and Cindy for signing your names. I do not, even though I believe some people know who I am. That’s o.k. As far as calling the mayor about what you post I don’t agree with that because we still do have freedom of speech. I may disagree with what anyone posts and that is my right and their right. I also think maybe the mayor reads the blog. I can’t be sure of that but I assume it.

    Thank you Cindy for asking for someone to be at the meeting to explain the financials.

    Samaddams: In my opinion, I think with really diligent leadership the golf course could stand a chance of breaking even. It would take mega work but it could be done. I could also live with the course loosing 500.00 per year. I certainly do not have all the answers or any answers because I have a problem understanding the way that the financials are presented. I also am not involved enough to know just where money could be saved. I know an audit is looked at like a four letter word, it doesn’t mean it’s a gottcha moment it can be a really learning and working tool.

    ReplyDelete
  23. A talking/thinking point. You can overuse capital improvements. For each capital improvement it should be easily figured out how much this will increase the worth.

    ReplyDelete
  24. It is not always easy to figure out what capital improvements are worth. If you have a 50,000 dollar house that is essentially all it is worth even with a new roof. You might get the high side of 50 if you sell it, but you won't get much more for it. Kind of like an old car. A 1990 car is worth so much even with a new motor. What little I have bought and sold of real estate, improvements help something sell, but don't add much above what the market is in your particular area. At least that has been my experience. I hope that helps.

    ReplyDelete
  25. You can over improve a property and at some point your improvements can become a moot point or wasted money. You have to consider the area, the useage and resale value and if it really does increase the property's value. I think the golf and rec board should be considering this.

    ReplyDelete
  26. It is too late this year but a thought would be to have some form of a Country Music concert out west on the number 1 and 2 hole next year to go along with the rodeo with proceeds going to the golf course. Just a thought.

    ReplyDelete
  27. I feel that the short comings of the golf course is revenue. Since that is the case, you should get going and raise revenue to satisfy the debt. It will take a little work and some hard thinking but it could be done.

    ReplyDelete
  28. I think everyone should start thinking about making the golf course privately owned or member owned. A business is usually more efficiently ran when private owners are involved because they make decisions with their own money. Just a thought as the season starts to wind down.

    ReplyDelete