The Pellucid Perspective - September 2017 - 8

MUNICIPAL GOLF

Don't get me wrong, the sky is not falling on municipal golf but there
is a day of reckoning coming (either gradually or suddenly) where a
substantial share of the municipal golf operations across the country
are going to have to come up with a better, mathematically and
financially-supported strategy and plan for the future.
makes all the Parks & Recs discussion boards, conferences and
professional networking conversations so it's rarely contained to
one particular place. (But I don't think states like Alaska have
anything to worry about given their financial health).
Don't get me wrong, the sky is not falling on municipal golf
but there is a day of reckoning coming (either gradually or suddenly) where a substantial share of the municipal golf operations across the country are going to have to come up with a
better, mathematically and financially-supported strategy and
plan for the future. Somewhat similar to the private sector, but
to a lesser degree of scrutiny and not nearly as quickly, moneylosing operations can't hide forever. Barring some unforeseen
uptick in rounds demand or, even less likely, a dramatic reversal
of fortune in the declining golfer base, the economics of municipal golf are extremely challenged. They are either losing money

DIS COV ER

or barely making money and there's a capital expenses balloon
that can't expand forever.
I suspect that many of them, like Tucson, will simply find
ways to pare back in numbers (in their case there's also likely
significant overlap in customers so they could actually retain
the bulk of their rounds while shedding a large expense item)
rather than exiting golf completely. The other larger debate will
rage on regarding whether municipalities should be in the golf
business or not but, judging by the politics and how slowly that
conversation has moved over the past 16 years, I don't see that
one being resolved or being a watershed event for the industry
in my lifetime. If you're in or directly related to the municipal
golf sector however, I'd constantly be looking for that little red
laser dot on your torso meaning that you're in someone's crosshairs and they're taking dead aim at your business.
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8 The Pellucid PersPecTive
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September 2017
9/7/17 1:33 PM

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Table of Contents for the Digital Edition of The Pellucid Perspective - September 2017