Vote on Fate of 2 Golf Courses Again Put Off

The City Council on Tuesday once again postponed a vote on a controversial proposal to privatize the operations of two city-owned golf courses, although an independent report called it “a good deal.”

Council members said they wanted to give the city’s budget advisory commission a chance to review the report presented Tuesday by a management consulting firm outlining the pros and cons of the proposal.

A contributing factor to the delay was the absence of Councilman Frank Feldhaus, who left the meeting midway through. Councilman Irv Pickler explained to the audience that Feldhaus had “another meeting to attend.”

The idea of privatizing the H.G. (Dad) Miller and Anaheim Hills golf courses has lead to a fierce debate between those who maintain it would create additional revenue for the city and opponents who say the city would lose control of a valuable asset.

American Golf Corp., which submitted the most attractive offer for the 20-year contract, would make about $2 million worth of improvements to the irrigation systems and pay rent of $1.6 million a year.

A report by KPMG Peat Marwick Management Consultants said privatization would mean the immediate transfer of more than $2 million into the city’s general fund, because that’s money the city wouldn’t have to spend on golf course irrigation systems. It also would mean an upfront profit of $1.7 million and a guaranteed income to the city of $1.65 million per year.

“In our opinion, these benefits outweigh the risks of losing some control over the golf course operations,” the report states.

Councilmen Bob D. Simpson and Fred Hunter have opposed privatization, saying the return wasn’t enough to justify relinquishing control of the courses and that the city should be loyal to its workers.

The 25 full-time workers and 40 part-time workers would no longer work for the city, but American Golf officials have said those employees would be rehired.

Mayor Tom Daly and Councilmen Feldhaus and Pickler have favored privatization but have not yet endorsed American Golf’s proposal.

“We really need to put this to conclusion,” Simpson said. “There are a lot of folks out there who’ve been waiting for a long time for us to make a decision we should have made a long a long ago.”