Recreation Centers of Sun City, Inc.-Press Release -Public Golf Yields Revenue Results

Last September’s decision to allow the general public to play more golf at Recreation Centers of Sun City, Inc. courses is paying off, as RCSC has generated nearly $110,000 in revenue between January and April of this year from the 4,877 golf rounds played by non-Sun City residents during that span. The total revenue amount surpassed RCSC’s goal of $71,680 for the 2008 winter months. The extra revenue generated by public play has helped offset increased costs of running and maintaining golf courses, which has allowed RCSC to keep cardholder rates low.

Costs have increased for items used at the golf courses such as fuel, fertilizer and sand. For example, through April of this year, RCSC had spent $19,000 more on fuel than it did during the same period last year. Also, the 2008 fertilizer budget went up more than $109,000 from 2007. RCSC has had to pay more for sand, too, which has increased by more than $5 per ton. “With rapidly increasing costs, it is important to look at ways to bring in additional revenue instead of just passing the increase onto our cardholders,” RCSC General Manager Jan Ek said. “We are pleased that the increased public play has yielded such positive results.”

Without the additional revenue coming in from public play, RCSC would have had to increase member golf rates more to make up the extra costs. “If we did not open up the courses to the public, we would have had to raise rates an additional 5 percent,” said John Snyder, RCSC Director of Golf and Grounds. “For example, without the added revenue from public play, the Surcharge Annual Golf Pass, which members may purchase for $685, would cost $720.”

The 4,877 rounds of golf played by the public from January to April reflects only about 3 percent of the more than 160,000 rounds of golf played during that same time frame. They include 9-hole and twilight golf rounds, as well as regular 18-hole. Plus, 83.5 percent of the public rounds were played at either Riverview or South, which are the only two courses RCSC has actively marketed. “Our goal was always to control public golf rounds,” Ek said. “Even with the success of public play and the additional revenue it has brought in, the truth of the matter is that the vast majority of our golf rounds are still played by Sun City residents.”

Even with the added revenue, the RCSC Golf Department still stands to lose $97,000 for 2008. RCSC management will continue to work on reducing the golf deficit during 2008 and into 2009 until the department budget breaks even.