Golf Courses – 2000 Market Adjusted Green Fees

Recommendation:
That City Council approve an amendment to the previously approved 2001 green fees so that an l8 hole play at Riverside and Victoria Golf Courses is increased to $28.00 on weekdays and $32.00 on weekends (Attachment 1).

Report Summary

Approval is requested to amend 2001 green fees at Riverside and Victoria Golf Courses, only.

A corresponding increase will be reflected in the price of multiple-play passes and tournaments.

Previous Council/Committee Action

At Special City Council meetings held November 30, December 1/4/14/15, 2000, City Council approved the Community Services Department 2001 Price Schedule, including the green fees outlined in Attachment 2.

Report

  • City Council approval is required to change any 2001 green fees, as the current fees were approved by City Council as part of the budget discussions in December, 2000.
  • 2001 fee recommendations were developed in the fall of 2000 based on an assumption that 2001 Edmonton and area fees would remain relatively static. A recent survey of Edmonton and area golf courses revealed that golf courses have increased 18 hole green fees by an average of $1.20 weekdays and $1.70 weekends (see Attachment 3).
  • City of Edmonton green fees are established at a general mid-market price position relative to Edmonton and area publicly accessible golf courses. Golf fees are highly market driven and a $1.00 green fee increase weekdays and $2.00 green fee increase weekends will maintain a general mid-market pricing position. The green fee increase will be incorporated into tournament fees as well as multiple-play passes in accordance with current volume discount formulas.
  • The Municipal Golf Courses Advisory Committee reviewed the principal of maintaining a mid-market pricing position at its meeting held February 22, 2001 and April 18, 2001. The Committee requested at their April 18, 2001 meeting that the process for establishing golf course fees be amended so that fees are only adjusted once. Currently, the fees are adjusted in the fall as part of the budget process and again in spring once market information is available. The Community Services Department will be addressing this issue in the current review of the Department Price Schedule.
  • In 1997 City Council endorsed the establishment of the Community Services Department Enterprise Portfolio. One of the principles identified was to allow the establishment of fees, with the exception of general admission fees, within the Portfolio consistent with its operation as an “enterprise”, and to allow the adjustment of fees with the marketplace.

Budget / Financial Implications

This price increase is designed to assist in achieving revenue targets in 2001.

Justification of Recommendation

The $28.00 weekday fee and the $32.00 weekend fee for an18 hole play will maintain a general mid-market price position.

Background Information Attached

  1. Recommended Adjusted Green Fee for 2001, Riverside and Victoria Golf Courses
  2. Victoria and Riverside Golf Course Fees
  3. Edmonton and Area Golf Courses – 18 Hole Fee Comparison

(Page 2 of 2)

Attachment 1

Recommended Adjusted Green Fee for 2001, Riverside and Victoria Golf Courses

RECOMMENDED ADJUSTED GREEN FEE FOR 2001

RIVERSIDE AND VICTORIA GOLF COURSES

SINGLE GREEN FEE
DESCRIPTION / 2001 ADJUSTED FEE
Weekday -18 Hole / 28.00
Weekend -18 Hole / 32.00

No adjustment recommended at Rundle Golf Course.

Attachment 1 - Page 1 of 1

Attachment 2

Victoria and Riverside Golf Course Fees

THE FOLLOWING FEES ARE PROVIDED FOR INFORMATION

DESCRIPTION

/

2001 APPROVED FEE*

/

2000 FEE

VICTORIA AND RIVERSIDE
Weekday -9 Hole / 18.00 / 18.00
Weekday -18 Hole / 27.00 / 27.00
Weekend -9 Hole / 19.00 / 19.00
Weekend - 18 Hole
/ 30.00 / 30.00
RUNDLE
Weekday - 9 Hole / 11.00 / 10.25
Weekday - 18 Hole / 14.00 / 13.75
Weekend - 9 Hole / 12.00 / 11.00
Weekend - 18 Hole / 16.00 / 15.00

*Approved by City Council November 30, December 1/4/14/15, 2000.

Attachment 2 - Page 1 of 1

Attachment 3

Edmonton and Area Golf Courses – 18 Hole Green Fee Comparison

2001 / 2000
GOLF COURSE / WEEKDAYS / WEEKENDS / WEEKDAYS / WEEKENDS
Broadmoor / $28.00 / $34.00 / $27.00 / $32.00
Cardiff / $25.00 / $28.00 / $28.00 / $31.00
Country Side / $24.00 / $29.00 / $24.00 / $29.00
Devon / $28.00 / $32.00 / $25.00 / $29.00
Eagle Rock / $26.00 / $35.00 / $26.00 / $33.00
Golden West / $28.50 / $31.50 / $26.50 / $28.50
Leduc / $32.00 / $35.00 / $30.00 / $33.00
Legends / $22.00 / $29.00 / $20.00 / $27.00
Lewis Estates / $33.00 / $39.00 / $30.00 / $35.00
Links / $33.00 / $39.00 / $30.00 / $35.00
Mill Woods / $27.00 / $32.00 / $26.00 / $30.00
Pioneer Meadows / $27.00 / $30.00 / $24.00 / $27.00
Raven Crest / $25.00 / $35.00 / $25.00 / $35.00
Sandpiper / $26.00 / $32.00 / $26.00 / $32.00
Sherwood Park / $24.00 / $30.00 / $24.00 / $30.00
Stony Plain / $28.50 / $34.50 / $27.00 / $32.00
Sturgeon / $33.00 / $33.00 / $30.00 / $30.00
River Ridge / $24.00 / $28.00 / $24.00 / $27.00
MARKET AVERAGES / $27.44 / $32.55 / $26.25 / $30.86
VICTORIA / RIVERSIDE
2001 Approved Green Fee / $27.00 / $30.00 / $24.00 / $27.00
2001 Adjusted Green Fee
/ $28.00 / $32.00

Attachment 3 - Page 1 of 1