The Powell Golf Club has a problem, and it’s a great one to have.
After two profitable years, the club has used up all its tax credits from previous years’ losses, meaning that …
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The Powell Golf Club has a problem, and it’s a great one to have.
After two profitable years, the club has used up all its tax credits from previous years’ losses, meaning that it had to pay taxes.
“We’re in really good shape and expect continued, good growth this year,” said Pat Day, Powell Golf Club Board President, during a presentation Monday to the Powell City Council.
The club is finishing a complete rebuild of the patio outside the clubhouse, which had deteriorated considerably over the years. They expect to pour concrete any day now.
“The older deck was in pretty bad shape,” Day said in an interview Wednesday. “I think the new deck is going to be a great gathering place for the community, for meetings and so forth.”
This year, Day replaced Jerry Herweyer, who served in the position since 2011. Herweyer took over at a time when the course was facing such insurmountable debt it was having trouble making payments on its principle. Today, it’s debt free.
Last year, the club had a net profit of $57,806, which was a 241% increase over 2019. That figure included roughly $67,302 of outside support: a Paycheck Protection Program grant of $44,302, a $15,000 grant from the Moyer Foundation for some carts and a city match of $8,000.
Total revenues — which includes green fees, membership dues, snack bar sales, and pro shop revenues — were up 15% over last year, for a total of $569,384. Total expenses were up 12% to $461,361.
It was a positive and somewhat unexpected outcome in a pandemic year that forced many businesses to close or limit access.
“This past year was a lot of fun,” Day said sarcastically. “We were fearful we wouldn’t even open.”
Club managers worked with Park County Health Officer Dr. Aaron Billin to open the course safely. They disinfected carts and maintained social distancing rules throughout the time county and state health restrictions were in place.
Day said that, since the course offered an outdoor activity where COVID-19 is less likely to spread from person-to-person, it did really well despite the restrictions.
Over the previous year, green fees were up 16.5% in 2020, membership dues were up 3.6%, and tournament fees were up 33.6%. Beer and liquor sales were up 45.5%, but since the snack bar wasn’t selling food, those revenues dropped 100%, from $13,815 in 2019.
Day said the club would be approaching the council this year for an increase in the city’s match to address some lingering maintenance needs.
With the new patio finished, Mayor John Wetzel asked whether the Powell Golf Club would market to more tournaments.
Day said they were completely booked up every weekend; the club even looked at scheduling some competitions on Friday afternoons to accommodate the demand.
“We are full, mayor,” Day said.