Future of three Brevard County-owned golf courses in question

The future of the three Brevard County-run golf courses is in the hands of the County Commission, whose members are considering whether to turn over their operation to two private entities.

Commissioners generally aren't happy about the county being in the golf business. But they're not quite sure what to do about it — even after nearly 2½ hours of discussion at their last meeting, which was packed with county residents interested in the issue.

So they now plan to hold a workshop on Feb. 15 to hear more details about the proposals of the two newly formed private groups interested in taking over operations of the golf courses.

Savannahs Inc. wants to operate and maintain The Savannahs on Merritt Island. Golf Brevard wants to operate and maintain The Habitat in Grant-Valkaria and Spessard Holland, south of Melbourne Beach.

The county would be responsible for various capital projects and stormwater maintenance, as well as providing operating subsidies for a period of time to the two groups that would operate the courses.

Commissioners hope to make a final decision in March about what to do.

During the County Commission's Jan. 9 meeting, Brevard County Parks and Recreation Director Mary Ellen Donner detailed financial projections indicating that The Savannahs would have a $150,033 operating loss in the current budget year that ends Sept. 30. In contrast, The Habitat would have an operating profit of $127,441 and Spessard Holland would have an operating profit of $93,872.

The volunteer Brevard County Golf Advisory Board in December unanimously recommended that the county pursue the two proposed partnerships with the private entities.

Commissioners voted 3-2 to schedule the workshop on the issue, and have county officials continue discussions with the two groups, with the target of making a decision in March. As part of that measure, they authorized County Manager Frank Abbate to use up to $400,000 of county reserves for any needed unanticipated maintenance, repair or other expenses at the courses not covered by golf course revenue.

Supporting that approach were Chair Rita Prichett and Commissioners Jim Barfield and Curt Smith. Opposed were Vice Chair Kristine Isnardi and Commissioner John Tobia.

Many of the 12 speakers to address the County Commission spoke in favor of these public-private partnerships. Among them were residents of the community surrounding The Savannahs golf course.

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One of the Savannahs-area residents supporting that approach was Doug Martin, who told commissioners that "this is not the time to pull the rug out from under the course and the residents." 

Martin cited the increased home construction on north Merritt Island and the increased employment at companies in the commercial space industry, which he believes will lead to more rounds of golf played at the course.

Martin said the course, "for the first time in its history, is well-poised for growth."

The majority of commissioners felt that it was worth taking more time to consider the proposals, since January, February and March typically are relatively strong months for the golf business locally.

"My belief is this — that we give them a shot," Barfield said.

But it seemed like none of the commissioners wants Brevard County to continue being responsible for all three courses indefinitely.

"I think we need to figure out a way, as a county, to get out of this," Pritchett said. "It's a money situation. I struggle with government being in a position of competing" with the private sector.

"We're not good at" the golf business, Pritchett added.

The county's golf course consultant, Melbourne Beach resident Greg Christovich of Christovich & Associates, told commissioners that "the numbers kind of don't lie. The trend lines are still showing decline in rounds and revenue at our three courses, in the Florida market, regionally and nationally. We're still losing golfers."

"I feel pretty strongly that we shouldn't be continuing to throw good money at a failing course," Isnardi said, referring to the financial losses at The Savannahs. "I personally would get out of the whole Savannahs disaster. Golfing is down, and it's not probably going to go up, if you look at the trend across the country."

Isnardi said she would be "OK with a public/private partnership — anything to get this county out of this black hole" of losses at The Savannahs.

But she indicated that she wants to see more financial information about the partnership that wants to run the course, as well as more of a financial commitment from the Savannahs Homeowners Association, rather than the county "taking the full risk." 

"We have to have some financial protections," Isnardi said. "Otherwise, we're just throwing more money at a bad idea. And I don't want that to happen."

Merritt Island resident Fred Shea, a representative of the Savannahs Inc. partnership, said The Savannahs golf course currently "is in a death spiral" of decreasing rounds played, with expenses exceeding revenue. But he said he believes his group's efforts can increase rounds played and make the course profitable.

Isnardi said part of the problem is that the three county golf courses "didn't get the proper maintenance that they deserved" in the past.

Barfield, whose district includes The Savannahs, said, if working out a public-private partnership "doesn't work, that's probably going to be it" for The Savannahs.

Tobia said after the meeting that he is disappointed that "a majority of commissioners refuse to make a decision," even though there have been continuing losses in the county's golf operations.

He said he is concerned because "there's a ticking time bomb out there of things that are going to break and cost hundreds and hundreds of thousands of dollars" at the golf courses if the county remains responsible for the courses.

"It is time we prioritize our failing infrastructure and sick lagoon, instead of trying to compete in the declining golf industry," said Tobia, whose district includes The Habitat and Spessard Holland.

Integrity Golf Co. LLC was managing the three courses for Brevard County, starting on Feb. 1, 2016. But, in July 2017, Integrity notified the county that it was terminating the management agreements, effective July 30, because it was losing money on the operation. 

Commissioners in July unanimously decided to have International Golf Maintenance Inc. temporarily provide operation and maintenance services for the three courses while the County Commission considered long-term options.

Commissioners in October directed the county attorney's office to begin legal action against Integrity, for its alleged breach of its 10-year agreement with the county.

It also directed Abbate to enter into an agreement with Christovich & Associates for consulting services to provide limited oversight of the courses. This would include stabilizing and elevating the level and consistency of customer service, as well as assisting with the overall facility and course presentation.

During the last three months, the county staff also worked to improve the conditions of the courses, and replaced some equipment, such as air-conditioning units and pumps.

Pritchett said she is hoping to come up with an agreement that all parties can live with.

"There should be something here, I'm hoping, that everybody ends out in a good place by the time we're done, and the county is not losing any more funds," Pritchett said. "We're working real hard to get something that's a bit of a win-win for everybody. Everybody's not going to be ecstatically happy with this, either way. My goals are that the county loses no more money in golf courses, and that the county is no longer in the golf business.

"We're going to be working hard for you," Pritchett told those in the audience.

Dave Berman is government editor at FLORIDA TODAY. 

Contact Berman at 321-242-3649 or dberman@floridatoday.com.

Twitter: @bydaveberman

Facebook: /dave.berman.54

Workshop planned

The Brevard County Commission will hold a workshop on the golf course issue beginning at 1 p.m. Feb. 15 in the Florida Room on the third floor of the Brevard County Government Center, Building C, 2725 Judge Fran Jamieson Way, Viera.

Brevard's golf courses

Here are some details about Brevard County's three county golf courses. The fiscal year runs from Oct. 1, 2017, to Sept. 30, 2018.

Course: The Habitat

Location: Grant-Valkaria

Size: 18 holes, par 72

Projected 2017-18 operating profit: $127,441

Projected 2017-18 rounds played: 35,054

Course: The Savannahs

Location: Merritt Island

Size: 18 holes, par 72

Projected 2017-18 operating loss: $150,033 

Projected 2017-18 rounds played: 25,023

Course: Spessard Holland

Location: South of Melbourne Beach

Size: 18 holes, par 67

Projected 2017-18 operating profit: $93,872

Projected 2017-18 rounds played: 36,171

Source: Brevard County Parks and Recreation Department