Though the town's water fund was tapped for cash to support the golf course in 2014 and 2015, Cedaredge officials are hoping the golf course won't be using more cash assistance from the water fund in 2016.
Town Administrator Katie Sickles told trustees during a Sept. 3 work session on the 2016 budget, "We are hoping for positive financial contributions this year."
The town board in 2014 authorized a resolution transferring $39,040 from the water fund to the golf course via a "purchase" of water shares. In the Cedaredge budget process, water shares act as vehicles for money that is transferred through purchase and sale among various funds to provide cash where needed. An additional $21,372 cash from other sources was transferred to the golf course that year, according to the town's 2014 audit.
The board's action was required, according to the resolution, because the golf course fund had projected a 2014 revenue shortfall of approximately $25,000 and additional shortfall in 2015.
In an email to the DCI, Sickles stated, "There is no need to sell the domestic (municipal) water owned by the golf course to the water fund, because of the great job done by the golf course staff."
She also noted, "The $66,000 [from the water fund] is slated to be repaid one half in 2015 and one half in 2016.
According to numbers from the town's 2014 audit, operating expenses for the golf course were $455,634 that year against operating revenues of $356,295, generating a loss of $99,339.
That hole in the golf budget was plugged partially with money from non-golf sources including restaurant lease income of $19,700 and cash of $63,374 from other sources including the water fund.
Audited financial results for 2015 won't be available until next year.
The town is asking voters in November to approve a 25 percent increase in sales and use taxes for "healthy living lifestyles."
The ballot measure is asking voters to approve an increase of the town's sales and use tax from 2.0 percent to 2.5 percent. The measure would amend the municipal code to specify that 20 percent of the tax revenue go to the street capital improvement fund, 20 percent to the recreational capital improvements fund, 15 percent to the capital improvements fund and 45 percent to the general fund. It would also remove TABOR restrictions from the sales and use tax.
General fund tax dollars have in the past been used to subsidize the golf course, a practice strongly disfavored by town residents. In a recent town hall survey, almost 60 percent opposed using tax money for the golf course.