Carson City supervisors narrowly approved a plan to loan Eagle Valley Golf Course $400,000, money which course officials need to buy equipment and make repairs.
The financially-strapped golf corporation needs $186,000 worth of new equipment and about $17,000 to fix the irrigation system on the West Course.
Mark Sattler, chairman of the Eagle Valley Golf Corporation, said new equipment hasn't been purchased for the golf course since 1996. Existing equipment literally is falling apart, he said.
Supervisor Pete Livermore criticized Sattler saying information from the golf corporation is always changing. Last year, golf officials presented a plan to add a junior golf course, saying they weren't in financial trouble. This year, they want more money, Livermore said.
He and Supervisor Robin Williamson voted against the improvement loan for the course.
"This seems like a reasonable solution," Supervisor John Plank said. "If the city was running this operation, we would have bought this equipment long ago."
The city plans on advancing the golf course $400,000 for the improvements and to augment the golf corporation's savings. The city refinanced the golf course's debt in 1999 and has extra money in the bank that could be borrowed for improvements, said Carson City Deputy Controller Tom Minton.
The bonds sold were roughly $2.5 million, creating $200,000 yearly debt payments. The golf course had planned to pay the 20-year bonds in 15 years by paying the city $240,000 a year. By extending the bond payment schedule out two years, from 2015 to 2017, there is enough breathing room for the golf course to pay back the extra $400,000.
