Golf Concessions May Be Up for Bids

The Los Angeles Board of Recreation and Park Commissioners next Wednesday will consider putting out to bid contracts worth $10 million to run concessions at four golf courses in the San Fernando Valley and Westside.

The contracts have expired for the four different companies operating pro shops and driving ranges and giving training classes at Hansen Dam, Woodley Lakes, Encino-Balboa and Rancho Park golf courses, said Richard Sessinghaus, parks director for administrative services.

Leaders of a citywide golf group have expressed concern that the city has written the contracts so a single company could operate concessions at all four sites.

Marty Tregnan, president of the Los Angeles Municipal Golf Assn., said he fears that a nationwide chain might not provide services as conscientiously as a small, independent contractor and that it might try to extend its control to the golf courses currently operated by the city.

“We think we can get better services from small businesses rather than corporate giants because the little guy is more interested in keeping the contract,” Tregnan said. “For the big guy, money is the objective. Once he gets in, the services drop.”

Tregnan and others met with Park Commissioner LeRoy Chase Wednesday to discuss their concerns about the proposed contracts, which would run for 10 years.

Under its charter, the city is required to put contracts worth more than $100,000 out for bids.

The new contracts propose higher rents for concession operators. For example, driving-range concessionaires at the four courses now pay the city 20% to 30% of their gross earnings, but the city staff is proposing they pay 40% to 50%.

The new bid specifications also require that driving-range operators make capital improvements to their facilities of $194,000 each per year.

If the proposed contracts are concluded, Sessinghaus predicted that for the next 10 years the department would receive at least $1 million in rent a year, 58% more than it does now.