Page 7 - Boca Club News - October '19

Boca Club News, Page 7

Government

Council Corner:

“It’s the People’s Money! Should the People Decide?”

Andy Thomson was elected during the In addition, an independent consulting firm analyzed the taxpayers, to pay significantly higher interest rates on the
special City Council election in 2018. Price/Fazio plan and the area where the course will be built, money borrowed. Again, given the other available options,
In my July column, I talked about and concluded that spending anything above $15 million would this doesn’t seem like a prudent decision either.
the future of municipal golf in Boca be unreasonable and would lead to no additional benefit. As a In reality, the District has another financing option, although
Raton and my vision for a golf course result, the City Council offered to construct the 18-hole course it almost never mentions it: a general obligation bond. A general
that is family friendly and inclusive and infrastructure itself, with City funds, using an architect obligation bond is similar to a revenue bond but is backed by
for all as well, as a better deal for of the City’s choosing. The City even went a step further and the District’s much higher ad valorem tax revenue (and thus
taxpayers. Lots has happened since offered to discuss the City financing several other Beach & more viable). But it’s different in another important way: it
then that may impact your tax bill and Park District capital improvement projects, such as renovations requires voter approval. From the beginning, the District has
other recreational projects. to Gumbo Limbo Nature Center, the construction of necessary stated its belief that the $28 million Price/Fazio design is what
A bit of background: In 2018, the Greater Boca maintenance facilities, and other park projects for which the “the community wants.” If the District is so confident that the
Raton Beach & Park District (an independently-elected District currently lacks funds, and that have stalled because community supports its $28 million design, it should have no
government body separate from the City of Boca Raton) of the District’s focus on golf. problem asking the community to demonstrate that support in
bought the defunct Ocean Breeze golf course in the Boca Despite the evidence that a high-quality course could be a community-wide vote. But, strangely, it hasn’t.
Teeca neighborhood. The District paid $24 million for the constructed for far less, and even though they do not have the I still believe that the best option is for the City to build a
land. They later engaged a golf course architect, Price/Fazio, funds to construct it, the Beach & Park District has pressed high-quality (though less expensive) course with its own funds
who designed a luxury golf course that will cost $28 million ahead with its $28 million Price/Fazio design. The District now (which won’t require a tax increase or paying higher interest
to build, bringing the total cost to over $50 million. The plans on obtaining the funds to build this design in two ways: rates). But in the event that the District continues to push for
District came to realize that they did not have the money to (1) by raising taxes; and (2) by obtaining outside financing, its $28 million Price/Fazio design, it should do so only if the
build such a course and asked the City to donate $20 million either through a revenue bond or a private loan. In my view, community first approves it through an affirmative vote. Why
to help fund the construction. In my last update to you all, I neither is necessary. not let the people decide?
asked: should the District (or any local government) spend Regarding a tax increase, the District proposes to
a total of $50 million---and perhaps more---on a traditional affirmatively raise its millage rate by 15% (which is 19% above
course model that is dying, too expensive for the average the statutory rollback rate). It would take several years at this
resident, and used by only a small sliver of taxpayers? higher tax rate for the District to raise the funds to construct
Since then, the Boca Raton City Council---recognizing the luxury golf course design, meaning that this proposed tax
that $28 million is an enormous amount of taxpayer increase would remain in place for the foreseeable future.
money to spend on a golf course---issued a Request for Given the other available options, a 20% tax increase doesn’t
Information to qualified golf course architects asking them seem like a prudent decision.
if a high quality course (including 18 holes, infrastructure, Regarding outside financing, in the event that a revenue
maintenance facilities, and a minimalist clubhouse) could be bond isn’t sufficient (and the District’s yearly non-tax
built for $8 million, $20 million less than what the District revenues is only around $5 million, which would limit its
proposed. Sixteen respondents replied with a resounding revenue bond options), the District has proposed seeking
YES and provided concepts, ideas, and designs for how private financing--essentially a loan. Any such private
such a course could be built. financing, however, would likely require the District, meaning

e were happy that
Live like a member “Wwe could join Boca

Grove under the non-resident

for a day program. We came from
another country club and

were made to immediately

feel very welcome. A friendly
sta and great facilities made

this the perfect choice for us.”

Ray & Ann

NO TEE TIMES Award Winning Chef YOUTH
NO TEE TIMES

FITNESS & WELLNESSELLNESS CENTER Personalized Service programs
dynamic tennis program Jim Fazio Championship Golf Course

Contact Jennifer M. Jolly at (561) 717-6733 or email:jjolly@bocagrove.org