Fort Walton Beach Council agenda — 06-23-2009 special — reading text

AGENDA CITY OF FORT WALTON BEACH SPECIAL CITY COUNCIL MEETING June 23, 2009 5: 00pm CALL TO ORDER PLEDGE OF ALLEGIANCE 1. APPROVAL OF AGENDA 2. ACTION ITEM 2. 1 Review and accept Golf Course Audit. Synopsis: This audit was performed by O' Sullivan Creel, outside ofthe scope ofregular annual audit. (City Manager) ADJOURNMENT Discussion —Direction —Action items may be acted upon by the City Council by either a motion with vote in accordance with Robert' s Rules of Order, or by a consensus of the Council. Any person who decides to appeal any decision made with respect to any matter at this meeting will need a record of the proceedings, and for such purpose may need to ensure that a verbatim record of the proceedings is made, which record includes the testimony and evidence upon which the appeal is to be based. ( FS286.0105) The City of Fort Walton Beach adheres to the American with Disabilities Act and will make reasonable modifications for access to this meeting upon request. Please call City Clerk Helen Spencer at 850 -833- 9509 to make a request. For Hearing Impaired dial the City Hall TDD # 850- 833 -9925 or 1- 800 -955- 8771 ( TDD) or 1- 800 -955 -8770 ( Voice). Requests must be received at least 48 hours in advance of the meeting in order to allow the City time to provide requested service.  CITY COUNCIL SPECIAL MEETING June 23, 2009 Special Meeting Agenda Approval of Agenda Agenda Item Number: 1  CITY COUNCIL SPECIAL MEETING June 23, 2009 Special Meeting Agenda Review and accept Golf Course Audit Synopsis: This audit was performed by O'Sullivan Creel, outside of the scope of regular annual audit Agenda Item Number: 2. 1  CITY OF FORT WALTON BEACH Memorandum TO: Robert Mearns, City Manager FROM Brandy Wunker, Finance Director RE: Golf Club Procedures Review DATE: June 18, 2009 Background On April 20, 2009, the City engaged O'Sullivan Creel to perform an external review of policies and procedures at the City of Fort Walton Beach Golf Club. Discussion several Throughout the report, there are The report by O' Sullivan Creel is attached. provided below ( the number recommendations made by the firm. Each of these recommendations is addressed below corresponds with the recommendation number in the report provided by O' Sullivan Creel). 1. The incoming Golf Club Manager will evaluate Resolution 97 -30 and bring forth a recommendation to City Council during the August budget meetings. 2. The incoming Golf Club Manager will evaluate Resolution 97 -30 and bring forth a the August budget meetings. In addition, recommendation to City Council during necessary Administrative Policies will be established. 3. The use of, and the continued applicability of, comp rounds will be closely evaluated by the incoming Golf Club Manager and proposed changes will be brought forth to City Council during the August budget meetings. 4. The use of, and the continued applicability of, comp rounds will be closely evaluated by the incoming Golf Club Manager and proposed changes will be brought forth to City Council during the August budget meetings. Any comp rounds provided will contain an expiration date and will be numbered to allow for tracking. are in existence, as In addition, there is no way of knowing how many " free play cards" these cards were not tracked or monitored. The31,current 2009. cards have no expiration date. Staff will continue to honor these cards until July 5. Local school team play will be consistently entered into the POS system at the time of play. 6. The membership maintenance function will rest with the Golf Club Staff Assistant. This function will include membership additions, renewals, and deletions. No memberships will application, including a payment receipt be added without a complete membership attached. In addition, no marshal will be added without a complete marshal application, the payroll Club Manager. On a biweekly basis, including approval by the Golf department will forward all terminations or new hires in the Golf Department pursuant to the Golfto Club Staff Assistant for removal or addition of the Golf Club Employee, Resolution 97 -30. 7. The responsibility for membership billing and all member adjustments will reside with the City's Finance Administration staff. All membership adjustments pursuant to Resolution 97 -30 will be documented and approved by the Golf Club Manager. This documentation will include: the reason for the adjustment, the applicable section of Resolution 97 -30, 1 of 2  and any supporting documentation received from the Member. The Golf Club Manager will forward the approved adjustment to the Finance Administration staff, which will enter the adjustment in the membership database. The description of the adjustment will adequately detail the justification for the adjustment. 8. All voided transactions will be approved by the supervisor on duty and will be documented and forwarded to the Finance Accounting Department with the daily deposit. This documentation should include the ticket that was voided, a brief description of the reason for the void, and the initials of both the cashier and the supervisor on duty. 9. The point of sale ( POS) button that enables a cashier to add a temporary member will be disabled. In the instance where a customer comes into the Golf Club and pays for a membership, yet cannot be added to the system at that time, the cashiers will have access to a temporary member number. This temporary member number will be consistently used in every instance of the above -described occurrence. On a daily basis, the cashiers will document the use of this temporary member number. The documentation will include the name of the new member, the type of membership, the date the membership dues were paid, and the corresponding ticket number from the payment receipt. 10. The maintenance of the membership database will reside with the City's Golf Club Staff Assistant. This includes the addition and deletion of marshals. New marshals will only be added upon receipt of an executed and properly approved marshal agreement. In addition, the number of marshals required to maintain the established level of service at the Golf Club, as well as the continued applicability of the marshal program will be reviewed by the incoming Golf Club Manager. Any changes will be brought forth to City Council during the August budget meetings. 11. The placement of the starter will be determined based on the activity of the Golf Club. 12. This recommendation will be addressed by the incoming Golf Club Manager. Submitted by: ire Date Brandy Wunker, Fin o Reviewed and Concur: 6- AL C2 47 Jeff P er ar s and Recreation Director Date Reviewed for Agenda: Date ert Mearns, City Manager 2 of 2  CITY OF FORT WALTON BEACH, FLORIDA GOLF CLUB Consulting Report June 18, 2009  O'SULLIVAN C 0 Certified Public Accountants & Consultants 45 Beal Parkway, N.E. - Fort Walton Beach, FL 32548 - ( 850) 244 -5121 Robert Meares, City Manager City of Fort Walton Beach, Florida 3. Thank you for the opportunity to provide our recommendations to the City of Fort Walton Beach, Florida with respect to its Golf Club operation. Our engagement originated with a disparity in rounds played versus rounds paid noted by the City' s Finance Director since 2006, in addition to the accumulating operating losses of the Golf Club over the past several years. Audited figures as of September 30, 2008, report an accumulated deficit in the Golf Fund of $429,000 and the Golf Fund owed the General Fund $ 351, 000 as of September 30, 2008. The current and previous year audits contain management comments regarding the fiscal status of the Club. Management analysis nq indicates that the City' s Golf Club continues to incur operating losses with a projected net loss of approximately $ 45, 000 for the year ended September 30, 2009. Golf Club Regulations and Guidelines concerning operation are based on City Resolution 97 -30 found at Appendix A. Provisions K, L and N provide for the authority of the Golf Club Administrator to waive fees for school golf team play on official practice and match days, to establish fees for current full and part -time Golf Club employees and volunteer marshals, and to grant promotional fee waivers. Details of the volunteer marshal program are found at Appendix B. A summary of recommendations both operational and financial in nature are below: 1. 12, 166 employee comp and voluntary marshal rounds have been recorded in the Club' s point of sale system from January 2006 to February 2009. Total rounds played per the point