1979/04/16 City Council MinutesROHNERT PARK CITY COUNCIL MINUTES
April 16, 1979
The Council of the City of Rohnert Park met this date in
adjourned regular session commencing at approximately 7:00 p.m.
in the City Offices, 6750 Commerce Boulevard, Rohnert Park,
with Mayor Roberts presiding.
Call to Order Mayor Roberts called the meeting of the adjourned regular
session to order at approximately 7:55 p.m.
The adjourned regular session was preceded by a Council
golf course committee meeting at which Councilmen Beary
and Stewart and City Manager Callinan and Mr. Michael
Rawitser were present.
Staff present for all or part of the meeting: City
Manager Callinan, City Attorney Flitner and Director
of Recreation Pekkain.
Others present for all or part of the meeting: Michael
Rawitser of San Jose Municipal Golf Course and Mr. E. C.
"Sandy" Burns of California Golf - Tennis, press correspondents
and other interested parties.
Golf Courses City Manager Callinan reminded that at the April 9th City
Council meeting he had reported that discussions were being
held with two parties concerning the possibility of leasing
out the golf course operations. He informed that copies
of the proposed agreements received from Mr. Michael Rawitser
and California Golf - Tennis had been transmitted to each
Council member and reflected briefly on the city's golf
course operation and recent negotiations with Golf Pro Bill
Ross, and the Smiths and Sam Singh, regarding leasing out
the golf course facilities.
City Manager Callinan informed that in order to get information
and review various operations that he had visited San Jose
Municipal Golf Course, Tilden Park, and the Napa Valley
Golf and Country Club. Fie explained some of the various
factors taken into account during the negotiations, i.e.
insuring acceptance of the three year snack bar lease agreement
with the Smiths, fair and equitable treatment of the city's
golf course employees, and assuring that the golf courses
would be'adequately maintained. He then reviewed in detail
each of the proposed lease agreements received from Mr.
Rawitser and California Golf - Tennis, as the latter firm
amended its proposal in a meeting with the Council's golf
course committee lateinthe afternoon.
Councilman Beary explained that the Council's golf course
committee (Councilmen Beary and Stewart) had met on several
occasions with both of the prospective lessees and City
Manager Callinan. He said that the golf course committee's
recommendation had not been an easy one to arrive at and
that the committee recommended that California Golf - Tennis
be granted the lease with the City of Rohnert Park to operate
the Rohnert Park Municipal Golf Course and Mountain Shadows
Golf Course.
Page 2
April 16, 1979
Mayor Roberts inquired if any of the prospective lessee's
desired to speak to the Council.
Mr. Michael Rawitser was recognized and commented that he
had been negotiating with the city staff and had submitted
his proposal when he was informed that California Golf -- Tennis
had also made a proposal. He was told that the city would
consider both proposals and that each party would have two
chances to amend its proposed lease agreement. He informed
that his proposal was the last and final proposal, whereas
California Golf-Tennis, upon receiving notice that City
Manager Callinan would recommend that he be given the lease
to take over the golf course operation, had submitted another
proposal. He noted that California Golf - Tennis had a good
track record in Southern California and he had a good track
record in Northern California. He described his promotion
and operation of the San Jose Municipal Golf Course.
Councilman Beary explained that there had been some last
minute changes in the negotiations which were a deciding
factor. Overall, the City Council was interested in getting
the best proposal for the community and that this was a
good opportunity to change the golf course facility from
a revenue consumer into a revenue producer.
Councilman Hopkins initiated a discussion concerning a provis
that upon an individual's death or any major change in the
make -up of the corporation that the lease would be considered
null and void. Discussion followed concerning whether or
not th 2 go-111 7 course lease agreement should be transferable o
Mr. E. C. "Sandy" Burns, President of California Golf - Tennis,
was recognized and indicated that his firm was agreeable
to inserting adequate language with reference to a change
in the partnership's make -up. He said that the partnership
consisted primarily of David Price with many other share
holders,some of which were corporate entities, indicating
he could have a list of the individuals and firms having
an interest in the partnership in the morning.
Councilman Hopkins indicated that he was also concerned
that the city be guaranteed that the golf courses were operat
at a profit and not as a loss for tax purposes.
Mr. Burns informed that staff had pretty well taken care
of that possibility and that the proposed lease includes
a strict maintenance schedule.
Councilman Carbone initiated a discussion concerning enlargin
the language contained in the proposed lease agreement to
include any changes in the partnership. Discussion followed
between Council members and staff concerning the length
of the lease and option to extend the lease for a total
of 40 years.
Page 3 April 16, 1979
Mr. Burns explained that California Golf - Tennis had a similar
lease with Tilden Park and that his firm would like to obtain
a 40 year lease if possible because of the tremendous amounts
of capital that will be invested, but would settle for twenty
years with a ten year option as discussed with the Council's
golf course committee.
Mayor Roberts :invited members of the audience to speak if
they 'so desired.'
Councilman Hopkins inquired if Mr. Rawitser's offer was
his final offer and Mr. Rawitser responded in the affirmative.
Councilman Hopkins made a motion to tentatively approve
the lease agreement proposal presented by California Golf-
Tennis subject to both parties approving the final draft
of the agreement and it being scheduled for Council approval
at its regular meeting of April 239 1979.
Discussion followed after which Councilman Carbone seconded
the motion'.'
Mr. Roy Smith, 7710 Beth Court, operator of the snack bar
at the golf course, was recognized and inquired what provision
had been made in the lease agreement to cover the snack
bar operation.
Mayor Roberts informed that the firm would honor the city's
three year extension of the snack bar contract. City Manager
Callinan read that portion of the proposed lease which related
to the snack bar operation.
Mr. Joe Stafford, 5793 Dexter Circle, was recognized and
asked what other alternatives had been taken into consideration
by the golf course committee with reference to the golf
course's operation and if the agreement might possibly short
change the city. Councilman Stewart informed that there
was money to be made at the golf courses, but whoever took
over the operation would be loosing money initially. Mr.
Stafford commented that the 'golf course spoke for itself.
Councilman Stewart explained that the decision to lease
out the facilities was based on how much could be put into
the operation, that the city couldn't stand to take such
a loss in the next few years.
Councilman Beary informed that in order for the city to
stay in the golf course operation it would be necessary
to make major capital improvements at the golf course.
Taking into consideration the impact of Proposition 13 the
city is not able to make those kinds of expenditures, whereas
a professional type firm like California Golf would be
in a position to so do.
Councilman Carbone said that it was best to address priorities,
that he would like to see a nice golf course, but not at
the expense of other priorities, i.e. public safety personnel.
Page 4 April 16, 1979
Mayor Roberts,explained that w4en,the city was smaller it
had more control and high expectations for the golf course
operation. The city, he said, was not in a position to
continue maintenance and operation of the facilities whereas
California Golf - Tennis will continue to so do.
Councilman Hopkins' motion to tentatiyely approve the lease
agreement with California.Golf- rtennis, subject to both
parties approving the final draft of the agreement, was
unanimously.approved by the following roll call vote:
AXES: (5) Beary, Carbone, Hopkins, Stewart and Roberts
DOES: (0) None
League of California Councilman Hopkins noted that the League of California Cities
Cities Conference was having a meeting for Mayors and Council members in Sacrame
on May 21, 22 and 23.
Upon motion of Councilman Hopkins, seconded by Councilman
Carbone, and unanimously approve.d,.authorization was given
to any Council member desiring to attend the May 21 -23,
1979 Mayors and Council Members Legislative Conference in
Sacramento to so,do.
Golf Course Equipment City Manager Callinan informed that the Council's considerati(
of the disposition of the golf course equipment would be
taken up at the Council's April 23, 1979 meeting.
Councilman Hopkins & Councilman Hopkins and City Attorney Flitner left the Council
City Attorney Leave Chambers at approximately 9:10 p.m.
Reimbursement for Upon motion of Councilman-Stewart, seconded by Councilman
Legal Expenses Beary, and unanimously approved, the City Council authorized
(Rawitser) that -any legal expenses incurred by,Mr. Michael Rawitser,
up to a maximum of $1,200, for the preparation of the propose(
lease agreement that he had drafted be reimbursed by the
city.
Adjournment There being no further. business,.Mayor Roberts adjourned
the meeting at approximately 9:12 p.m.
s
Deputy Cit _ "Clerk Faus
APPROVED:
Mayor Koberts