New Castle, Pa. City Solicitor Ted Saad says one of the conditions for the city to own the golf course is for it to be self-sustaining, which he said it is for the time being. If in the future the net gain falls to zero or becomes a deficit, Saad says council could consider transferring it back the family of the original owner.
While net profits from the city-owned Sylvan Heights Golf Course have been trending downward, New Castle, Pa. officials aren’t worried about the course facing financial challenges, the New Castle News reported. City Solicitor Ted Saad said one of the conditions for the city to own the golf course is for it to be self-sustaining, which he said it is for the time being.
“The property is still owned by the city and managed by the city. It has to be self-sustained,” Saad said. “Anything that we do there has to be approved by this governing body.”
He said if in the future the net gain falls to zero or becomes a deficit, council could consider transferring it back the family of the original owner, the New Castle News reported, but noted it has been difficult tracking down the heirs to the original owner.
“There are also deed restrictions on that property,” Saad said. “We couldn’t just sell it.”
“Sylvan Heights has a capital improvement plan budget specific to Sylvan Heights,” said Business Administrator Stephanie DiCarlo. “It’s funded through an extra fee that’s added on to certain rounds of golf.”
“The money gets directly allocated to that CIP, and any past surpluses gets added to that CIP,” she added.
DiCarlo said the CIP is split for capital improvements and equipment, and some is saved for reserves, the New Castle News reported.
She said if the net profit for the golf course is zero or a deficit, administration and council can look to reduce expenses, increase regular golf fees or increase the special fees that goes to the CIP, the New Castle News reported.
“In no way, shape or form would tax dollars be moved to fund the golf course because that’s now allowed by the [Act 47] exit plan,” DiCarlo said.
Councilman Patsy Cioppa said the clubhouse began selling alcohol last summer, so he hopes those sales plus the slight increases in rates approved by council will improve the financial stability of the course moving forward, the New Castle News reported.
“Hopefully the weather is better this year,” Cioppa said.
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