1. Buffalo Hill Golf Course LeaseCharles A. xarball Office of City Attorney
City Attorney 312 First Avenue East
P.O. Box 1997
Kalispell, MT 59903-1997
TO:
FROM:
SUBJECT:
MEETING DATE:
Mayor Pamela B. Kennedy
and Kalispell City Council
Charles Harball, City Attorney
Jane Howington, City Manager
Tel 406.758.7708
Fax 406.758.7771
charball@kalispell.com
Buffalo Hills Golf Course — Renegotiation of Lease
August 10, 2009 — Council Work Session
Two weeks ago, Steve Dunfee, the executive director of the Kalispell Golf
Association, met with Council at a work session and discussed the KGXs capital
improvement plans for the municipal golf course and its desire to renegotiate its lease of
that property with the City. Council directed staff to negotiate such a lease with the KGA
and return to Council at the next workshop.
KGA is interested in renewing the lease for at least another 20 years from this
current year. The reason for this is that the KGA desires to make some substantial capital
improvements to the course which will require financing. This financing will not be
available to the KGA without considerably more than 8 years remaining on the lease.
Mike Baker submitted the existing lease and current financials of the course
operations to various experts in the field of golf course facilities, maintenance and leasing.
He received and utilized their comments and expertise in his negotiations with the KGA.
He will address the Council regarding the details of the comments he received.
The proposed lease incorporates the negotiations of the parties and some additional
requirements of the City regarding the management of the property to remain in
compliance with MS4 stormwater requirements as well as a plan for the parties to address
a capital preservation plan for the property.
A memorandum of legal opinion is also attached regarding the issue of whether or
not the lease needs or should go to the electorate for its approval.
Respectfully submitted,
Charles rball, C' y Attorney Ane Howington, City Mana r
City of Kalispell
Charles A. Harball Office of City Attorney Tel 406.758.7708
City Attorney 312 First Avenue East Fax 406.758.7771
P.O. Box 1997 charball@kalispell.com
Kalispell, MT 59903-1997
MEMORANDUM OF LEGAL OPINION
DATE: July 31, 2009
TO: Mayor Pamela B. Kennedy
and Kalispell City Council
Myrt Webb, Interim City Manager
FROM: Charles Harball, City Attorney
SUBJECT: Kalispell Municipal Golf Course Lease
ISSUE: Whether any of the property held by the City and subject to the Kalispell
Municipal Golf Course Lease can be deemed to he nronerty held in trmgt
for a specific purpose and if so, whether an election must be held for a
renewal or change in the terms of the lease?
APPLICABLE LAW: Montana law at MCA 7-8-4201 regarding the lease of
municipal property in pertinent part states:
7-8-4201. Disposal or lease of municipal property. (1) Subject to the provisions
of subsection (2), the city or town council may sell, dispose of, or lease any
property belonging to the city or town.
(2) (a) Except for property described in subsection (3), the lease or trans fe
must be made by an ordinance or resolution passed by a two-thirds vote of all the
members of the council.
(b) Except for property acquired by tax deed or property described in
subsection (3), if the property is held in trust for a specific purpose, the sale or
lease must be approved by a majority vote of the electors of the municipality
voting at an election called for that purpose. The election must be held in
conjunction with a regular or primary election.
(3) If a city or town owns property containing a historically significant
building or monument, the city or town may sell or give the property to nonprofit
organizations or groups that agree to restore or preserve the property. The
contract for the transfer of the property must contain a provision that:
(a) requires the property to be preserved in its present or restored state upon
any subsequent transfer; and
(b) provides for the reversion of the property to the city or town for
noncompliance with conditions attached to the transfer.
Legal Opinion on Golf Course Lease
July 31, 2009
Page - 2
This particular statute has been interpreted by an Attorney General Opinion
in 1986. 41 Op.Atty Gen. Mont. 42. In that matter the Attorney General was asked
to give his opinion on whether or not park dedication language within the formation
documents of a subdivision created a public trust for a specific purpose. The City of
Missoula wished to sell the property that had been given to the City as parkland.
No trust documents had been created but the property was granted to the City for
"use of the public forever." The Attorney General issued his opinion that this
restrictive language in the deed created a property held in trust by the City for a
specific purpose and was therefore trust property as contemplated by the statute.
Therefore, before the City of Missoula could sell the property and take it out of the
specific use for which it was intended, the matter had to go before the electorate.
Only one case before the Montana Supreme Court has examined this issue.
In Prezeau v. City of Whitefish, 198 Mont.416 (1982), the City decided to change a
part of a park's use to a quasi -public rifle range although restrictive language
within the conveying deed directed that the property was "to be used exclusively for
public park purposes." The Supreme Court determined that because such a change
may be deemed an abrogation of the restrictions of the conveyance, a public election
was required by the statute.
BACKGROUND: The City of Kalispell is currently in a lease, executed in 1997,
for a term of 20 years with the Kalispell Golf Association [KGA] for the property
comprising the municipal golf course. When the lease was executed the City
Council approved the lease with the requisite 2/3 approval vote and the matter was
sent to the electors who also approved the lease. No previous lease, including the
lease executed in 1988 was ever taken to election. Apparently, in 1997, an analysis
was made creating some opinion, either that some portion of the golf course
property was held in trust or that it would be otherwise prudent to put the matter
to election. The existing records are unclear about the actual reasoning for this
course of action.
The KGA is now interested in renegotiating the lease for the purpose of
extending the lease termination date for the reason that the association has
formulated a capital improvement plan that calls for it to borrow funds. The
commercial institutions that would lend such funds will, for reasons of security,
require more time on the lease term.
ANALYSIS OF THE EXISTING EVIDENCE: The property comprising the
municipal golf course has come to the City in portions over the course of time and
from different donors. The initial property was gifted to the City in the early 1930's
by deed containing the deed restrictions that the property be utilized by the City for
golf course purposes.
Office of City Attorney
City of Kalispell
Legal Opinion on Golf Course Lease
July 31, 2009
Page - 3
In 1975 the Bitney Trust was created which donated 70 acres to the City for
the specific purpose of expanding the existing municipal course. This trust was
developed in conjunction with a federal grant which provided the funding for the
construction of additional golf facilities. The Conrad National Bank was named
Trustee and it administered the trust corpus. At the point in time that the grant
monies were expended and the construction of the additional facilities were
completed, the deed conveying the property to the City was recorded and the trust
was terminated. This deed also contains certain deed restrictions regarding the use
of the property as a golf course, although the deed itself, like the earlier deeds, does
not create a formal continuing trust arrangement.
Other minor parcels were also received over time and incorporated into the
municipal golf course but, after scrutiny, contain none of the same deed restrictions.
OPINION: Based upon the documents examined and the restrictions contained
therein, a trust does exist within the granting documents as that term would be
construed by the controlling statute. However, such a determination does not
necessarily lead to the conclusion that merely entering into a lease or renegotiating
a lease must require an election for its ultimate approval.
The purpose of the statute is to ensure that the taxpayers, who own the
public property, have a say whenever public property that is especially held in trust
for the public enjoyment is to be sold or its specific use abrogated by the terms of a
sale or lease. The question therefore becomes whether or not the terms of the golf
course lease abrogate the specific purpose of the deed restrictions. Those existing
restrictions can be succinctly stated that the property must be used for golf course
purposes.
The purpose of the lease with the Kalispell Golf Association is that the
property be managed and maintained as a municipal golf course with those
appurtenant uses customary to a golf course, such as a club house with food and
beverage services. All of the terms of the lease lend themselves to accomplishing
this purpose. It is the opinion of this office that there are currently no terms in the
lease that abrogate that specific purpose. Therefore the City is not required to put
the matter to election. The Council, however, always has the option of doing so if it
finds such election would be in the best interests of the City and its residents.
Respectfully submitted,
Charles Har all, City Attorney
Office of City Attorney
City of Kalispell
Return to:
City Clerk
P.O. Box 1997
Kalispell, MT 59903
THIS LEASE, made and entered into as of the day of , 2009, by and
between the City of Kalispell, Montana, a Municipal Corporation, hereinafter referred to as
LESSOR, and the Kalispell Golf Association, a Montana Corporation, hereinafter referred to as
LESSEE,
WITNESSETH:
For and in consideration of the mutual covenants and promises hereinafter set forth, the
parties hereto agree as follows:
1. PROPERTY: LESSOR hereby leases to LESSEE and LESSEE hereby leases and
hires from LESSOR those certain premises and all appurtenances thereto situated in Kalispell,
Flathead County, Montana, as follows:
All of that property owned by LESSOR and commonly known, referred to and
utilized as the Kalispell City Golf Course. Attached as Exhibit "A" is a map with
the subject premises outlined. Attached is Exhibit `B" which identifies the
boundary and fence line between the golf course and the north portion of the old
Lawrence Park. The total area consists of approximately 240 acres.
2. TERM: TO HAVE AND TO HOLD the above rented premises during the full
term of twenty (20) years, which term shall begin upon the date above written [or the date on
which the agreement is approved by the electors] and shall terminate upon the expiration of said
full twenty year term, unless terminated sooner as hereinafter provided.
3. GROSS RECEIPTS: For purposes of this Lease, "Gross Receipts" shall be
defined as all gross receipts obtained by LESSEE from the operation of the driving range (golf
bail rentals), membership fees (season passes), the sale of green fee punch cards and other green
fees. All other receipts shall not be defined as gross receipts under the provisions of this lease
and shall be and remain the sole income of LESSEE.
Kalispell City Golf Course Lease
4. RENT: LESSEE shall pay to LESSOR, as rent, a sum to be determined annually
as herein provided, payable for the preceding year, on or before the 30th day of June,
commencing with June 30, 2010 and continuing on the 30th day of June throughout the term of
this Lease.
The annual rent for the full term of this lease shall be based upon Gross Receipts, as
defined in Section 3, hereof, and be calculated as set forth in "Exhibit C", attached hereto and for
purposes of this Agreement made a part hereof.
Said rent payment shall be mailed or delivered to LESSOR at the Kalispell City Hall. All
prior rents due by LESSEE to LESSOR under that certain lease dated April 1, 1997 are hereby
deemed and agreed to be paid in full and let it be known and agreed that upon approval of this
agreement as provided in section 2, hereof, this lease shall supersede any and all Leases between
the Kalispell Golf Association and the City of Kalispell.
5. USE OF LEASED PREMISES: LESSEE shall use the leased premises for the
primary purpose of operating a municipal golf course. In addition, on March 6, 2006, the City of
Kalispell City Council passed a motion to approve a Multiple -Use Policy for Buffalo Hill Golf
Course, attached hereto as Exhibit "B", which Policy is hereby fully incorporated herein by this
reference. LESSEE agrees to observe all Federal, State and municipal laws and regulations
including those related to human and equal rights and in particular Bureau of Outdoor
Recreation, or its successors, regulations.
LESSEE shall not sublease or assign any portion of the leased premises without prior
written permission of the LESSOR. LESSOR shall not agree to any such sublease or use
agreement unless such lease or use is accessory to the management of a typical golf course. For
example, a restaurant or golf cart concession would be considered such a typical accessory use.
6. MAINTENANCE AND REPAIR OF PREMISES: LESSEE agrees to maintain
the above described premises in as good a condition as the same are in at this time, or as good as
they may be put by LESSOR during the term hereof in case of a casualty loss causing repair or
reconstruction by LESSOR; and to return said property to LESSOR at the expiration of said lease
in said condition, reasonable wear and tear and damage by the elements alone excepted. In the
event LESSEE refuses or neglects to keep the above -mentioned premises in such order and
condition hereinabove mentioned, LESSOR shall have, after first giving ninety (90) days written
notice to repair, the right to declare this lease null and void and of no further force and effect. In
this case the annual payments of rent shall terminate and LESSEE shall not in any way be
responsible for any future rent payments. LESSEE agrees to maintain and keep in repair all water
lines and pumps on said golf course, and to attend to the shutting off of the water supply and
draining of all pipe lines in the fall, and to turn the water in to said system in the spring.
a). Stormwater Regulations: The City of Kalispell, the LESSOR, is mandated by
the federal and state governments to monitor and enforce the Stormwater MS4 Standards within
the city limits of Kalispell. Because of the topography, watercourses and frequent, somewhat
extensive landscaping projects on the Kalispell City Golf Course, it is essential that the KGA
Superintendent or his designee closely cooperate with the Kalispell Public Works Department to
assure that the MS4 Standards are maintained. For this reason the KGA Superintendent or his
Kalispell City Golf Course Lease 2
representative shall meet with a representative of the Kalispell Public Works Department for a
training session on an annual basis so that compliance may be maintained. The KGA shall
submit its project stormwater compliance plans to the Kalispell Public Works Department prior
to commencement of such projects. The KGA agrees to remain in full compliance with the MS4
Storm water standards.
b.) Representatives from the KGA and the City's Parks Department and
Department of Public Works shall meet prior to December 31, 2009 to draft a capital protection
program for the property covered by this lease. Items of deferred maintenance shall be identified
as well as any other assets suffering or threatened with damage or devaluation. Estimated costs,
revenue sources and priorities will be developed as a part of a plan to protect and preserve the
assets. In the event that the KGA determines to expend its funds for infrastructure improvements
that are on the capital protection program prior to that time scheduled and that are otherwise
scheduled to be funded by the City of Kalispell, it may apply for a credit of those funds against
its lease payments.
7. (a) City of Kalispell's Access to Golf Course: For the purpose of maintaining public
utilities, the City of Kalispell may from time to time require access to the golf course. In the
event such maintenance is required, the City of Kalispell shall provide adequate written notice to
Kalispell Golf Association by providing the KGA with the bid documents upon advertisement.
In no event shall this information be provided less than 60 days prior to scheduled work. The
written notice shall outline the nature, purpose, access dates, and areas affected on the golf
course. In the event that emergency maintenance is required for the purpose of providing city
utilities, the City of Kalispell shall, upon discovery of need for access/maintenance, provide
immediate written and verbal notice to the Kalispell Golf Association. Upon notice thereof,
Kalispell Golf Association will grant access for emergency maintenance as requested.
8. ALTERATIONS AND IMPROVEMENTS: LESSEE shall not make any
alterations or improvements to the premises or the appurtenances located thereon in excess of
Twenty -Five Thousand Dollars ($25,000.00) at any one time without having first received
approval from the LESSOR of the intended alteration or improvement. LESSEE shall report to
LESSOR annually on alterations and improvements costing less than $25,000.00.
8. UTILITIES: During the entire term of this lease LESSEE shall pay when due for
required utilities serving the leased premises, including but not limited to, electrical, gas,
telephone, water, sewer and garbage services. LESSEE shall also be entitled to continue use of
LESSOR's appropriated water right of the Stillwater River adjacent to the golf course premises
without charge. LESSEE in using the water from the Stillwater River under said water rights
shall operate and maintain the system and pump for such purposes.
9. PERSONAL PROPERTY AND FIXTURES: All personal property hereinbefore
or hereinafter obtained in connection with the operation and maintenance of the Kalispell City
Golf Course shall be the property of LESSEE; provided, however, that all fixtures that have been
or may be installed on the premises and attached thereto have or will become part of the premises
and are the property of LESSOR.
10. COST OF OPERATION: All costs of operation including the cost or providing
Kalispell City Golf Course Lease 3
supplies, equipment, tools, labor and other such items and the entire cost of maintaining and
operating the golf course, the club house and other appurtenances shall be the sole responsibility
of LESSEE.
11. USE OF CLUBHOUSE BY LESSOR: Although LESSEE shall have the
exclusive use and supervision of all buildings on said premises including that structure known as
the clubhouse, it is agreed that LESSOR shall be entitled to use of the clubhouse at any
convenient time to LESSEE upon adequate notice with LESSOR reimbursing LESSEE for all
actual expenses incurred by LESSEE for the reason of any such use by LESSOR.
12. GOLF COURSE FEES: A schedule of membership fees (season passes), green
fees punch cards and other green fees shall be presented by LESSEE to LESSOR prior to the first
day of April of each year of this Lease. The schedule for such fees for the 2009 golfing season is
attached hereto as Exhibit D, and by this reference made a part hereof.
LESSEE, at its discretion, may from year to year, during the term of this Lease, increase
or decrease its Schedule of Fees, then in effect, up to ten percent (10%) without prior approval of
such an increase from LESSOR. LESSOR shall not unreasonably withhold its approval of any
proposed Fee Schedule for which its approval may be required under this Lease.
13. LESSEE'S FINANCIAL REPORTS: Annually, on or before the 30th day of June,
in conjunction with the payment of the annual rent, LESSEE shall present to LESSOR for review
a copy of LESSEE's annual financial report completed in accordance with generally accepted
accounting principles. The Association's financial records will be subject to an audit conducted
by, and at the option of, the City (internal staff or contract auditor). The cost of such audit shall
be paid by the City.
14. LESSEE'S LIABILITY INSURANCE: LESSEE shall obtain and keep in full
force and effect during the term of this lease, full general liability insurance in the amount of One
Million, Five Hundred Thousand Dollars ($1,500,000.00) with a company licensed to do
business in the State of Montana; and said policy of insurance shall name LESSOR as additional
named insured. In the event the Montana legislature increases the limitations on government
liability for damages in tort LESSEE agrees to increase its liability coverage appropriately.
LESSOR shall be furnished with a certificate that such insurance is in force and the same shall
provide for reasonable notification to LESSOR prior to the same being canceled. LESSEE agrees
to hold LESSOR harmless from any and all liability of any nature, whatsoever, arising from or
out of LESSEE's possession, use, maintenance, improvement or occupancy of the property
herein described; LESSEE further agrees to defend, at LESSEE's expense, any action brought
against LESSOR arising out of LESSEE's possession, use, maintenance, improvement or
occupancy of said property.
15. FIRE INSURANCE: During the full term of this lease, LESSOR shall maintain its
own fire insurance adequate to cover replacement costs on the improvements on said premises.
Should the premises during the term of this lease suffer damages which are covered by said fire
insurance policy, LESSOR agrees to utilize all insurance reimbursements therefore, toward
rebuilding or repairing the damaged premises, or toward providing adequate replacement
facilities. The contents of buildings and fixtures located on the premises shall be insured by
Kalispell City Golf Course Lease 4
LESSEE and shall be in such amounts as to assure replacement. The parties mutually agree as to
waiver of subrogation rights each with the other.
16. DEFAULT AND BANKRUPTCY: In the event that:
(a) LESSEE shall default in the payment of any installment of rent or other sum
herein specified and such default shall continue for thirty (30) days after written notice thereof; or
(b) LESSEE shall default in the observance or performance of any other of LESSEE's
covenants, agreements, or obligations hereunder and such default shall not be corrected within
ninety (90) days after written notice thereof; or
(c) LESSEE shall be declared bankrupt or insolvent according to law, or, if any
assignment shall be made of LESSEE's property for the benefit of creditors;
LESSOR shall have the right thereafter, when such default continues, to re-enter and take
complete possession of the leased premises, according to law, and to declare the term of this
lease ended, and to remove LESSEE's effects, without prejudice. In doing so no additional rent
_1__ _lt_ 1C.__ TT(Y !^ITT t •(`T
payments maybe collected morn Lh-JJEE; nowever, A LESSEE shaii default, after reasonable
notice thereof, in observance or performance of any conditions or covenants on LESSEE's part to
be observed or performed by virtue of any of the provisions in any article of this lease, LESSOR,
without being under any obligation to do so and without thereby waiving such default, may
remedy such default for the account and at the expense of LESSEE.
17. NOTICE: No notice from LESSOR to LESSEE relating to the leased premises or
the occupancy thereof, shall be deemed duly served unless personally served upon or mailed to
LESSEE, registered or certified mail, return receipt requested, postage prepaid, and addressed to
LESSEE at its address as follows:
Manager, Kalispell City Golf Course
Post Office Box 1116
Kalispell, Montana 59903
Any notice from LESSEE to LESSOR relating to the leased premises or the occupancy thereof,
shall be deemed duly served, if personally served upon or if mailed to LESSOR by registered or
certified mail, return receipt requested, postage prepaid, and addressed to LESSOR at the address
as follows:
Manager
City of Kalispell
201 First Avenue East
Kalispell, Montana 59903-1997
18. EXISTING LEASE: It is mutually understood and agreed between the parties
hereto that no actions taken or not taken by either party in the negotiation or execution of this
agreement shall constitute a waiver of any rights that either party may now have or hereafter have
relating to or arising out of the existing Lease between the City of Kalispell and the Kalispell
Golf Association dated April 1, 1997; and, and each party specifically reserves the right to
Kalispell City Golf Course Lease
present any claim or defense to any claim relating to or arising out of said Lease.
19. TIME OF ESSENCE AND BINDING EFFECT: It is mutually agreed by and
between the parties hereto that the time of payment shall be an essential part of this lease
agreement, and that all of the covenants and agreements herein contained shall extend to and be
binding upon the parties hereto, and their successors and assigns.
IN WITNESS WHEREOF, the parties have executed this lease as of the date first above
written.
ATTEST:
Theresa White
City Clerk
ATTEST:
Terry Williams
Association Secretary
CITY OF KALISPELL
Jane Howington
City Manager
KALISPELL GOLF ASSOCIATION
Doug Kauffman
President
Kalispell City Golf Course Lease
STATE OF MONTANA )
) ss.
County of Flathead )
On this day of , 2009, before me, a Notary Public for the State of Montana,
personally appeared Jane M. Howington and Theresa White, respectively, proved to me to be the
persons whose names are subscribed to the within instrument, and acknowledged to me that they
each executed the same in their respective authorized capacities as City Manager and City Clerk of
the City of Kalispell.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed my official seal the day
and year hereinabove first written.
Printed Name:
NOTARY PUBLIC for the State of Montana
SEAL Residing at:
My Commission expires:
STATE OF MONTANA )
) ss.
County of Flathead )
On this day of , 2009, before me, a Notary Public for the State of
Montana, personally appeared Doug Kauffman and Terry Williams and proved to me to be the
persons whose names are subscribed to the within instrument, and acknowledged to me that they
each executed the same in their respective authorized capacities as President and Secretary of the
Kalispell Golf Association, a Montana not for profit corporation.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed my official seal the day
and year hereinabove first written.
Printed Name:
NOTARY PUBLIC for the State of Montana
SEAL Residing at:
My Commission expires:
Kalispell City Golf Course Lease 7
Exhibit "A"
MAP WITH THE SUBJECT PREMISES OUTLINED
� f I
7
i
I
s
Kalispell City Golf Course Lease 8
Exhibit `B"
BOUNDARY BETWEEN THE GOLF COURSE AND THE NORTH PORTION OF THE OLD
LAWRENCE PARK
FENCE LINE 1tELOCATIU..s KALISPELL }fUNICIPAL
COLD COURSE LAWRENCE PARK
Commencing at the KE comer of the Water Dept.
Maintenance Building in Lawrence Park, thent*
N ii' E, 56 feat ,to the MR fence corner of the
Wator Dept. Sit* in Lawrence Fork, thence M 68'
W, on and along the existing fence line SO foot
to a point, thence B 10' S on and along the
existing fence line 263 feet to the point of
beginning of the test* line relocation, thence
along the following courses. X 20' 9, 290 feet,
ff 3' W. 190 feet, M a V V, 41 fort, M 20' V.
103 foot to a point on the Low Rater Line of the
Stillwater livar, said point on the Low Water
Line of the Stillwater liver being the and of
the fence line relocation.
Low Water Line Of
Stillwater River NOUt All bearings were obtained through the
use of a hand compass. All information hereon
was obtained on November 18, 1987.
�4 u
w �
N
z a
Point Of Beginning
Of Fence Line Relocation
Is Section Of Fence
No Removed
W r^_ N.E. Fence Corner Water
i Dept. Site In Lawrence Park
Point On Fence Lined, N.B. Corner Water Dept.
Maintenance Building Id
F�i Lawrence Park
Kalispell City Golf Course Lease 9
EXHIBIT "C"
Formula for Calculating Annual Lease Payments
1. In determining lease payments the parties shall utilize a rolling average of "Gross Receipts"
over the previous three years in calculating the lease payment for a particular year.
2. A minimum base lease payment $13,000 shall be payable so long as the rolling average of
"Gross Receipts" as defined under section 3 of the Agreement do not exceed $750,000.00.
3. In the event the rolling average of "Gross Receipts" exceed $750,000.00 but do not exceed
$850,000.00, the Lease Payment shall be two percent (2%) of said AGross Receipts@.
4. In the event the rolling average of "Gross Receipts" exceeds $850,000.00 the Lease Payment
shall be two and one-half percent (2 1/2%) of said "Gross Receipts".
Example:
Rolling Average Level 1 Level 2 Level 3
Gross Revenue Base Lease
$0 — $750,000 $13,000
$750,001 — $850,000
$850,000 +
2.5
Kalispell City Golf Course Lease 10
Exhibit "D"
Buffalo Hill Golf Course
2009 Schedule of Fees
*Membership (Season Pass) 2009 2008
Adult — All 27 holes $659 $599
Adult — Cameron 9 $499 N/A
Student (Full -Time College) $225 $225
Junior (High school Senior and below) $150 $140
**Green Fees
18 Hole Championship Course $ 53 $ 50
9 Hole Cameron Course $ 22 $ 20
*Above adult season pass rates reflect "regular season" prices. An "early bird" discount rate was
offered in 2008 of $499, and $549 in 2009. In addition, a separate "capital fee" of $125 was assessed
to each adult member
**Above Green fees reflect peak season rates. Discounted rates offered to allow for non -peak
conditions, promotions, and package rates. In addition, (not reflected in the fees above) a $5 capital
fee is charged for each 18 hole green fee on the Championship 18, and a $3 capital fee is charged for
each 9 hole green fee.
Kalispell City Golf Course Lease 11
Exhibit "E"
Kalispell Golf Course Multiple Use Policy
The Kalispell Golf Association (KGA) leases the golf course from the City of Kalispell for the
purpose of providing the best possible golfing conditions for its paying members and guests. As a
result, the KGA and the City of Kalispell must be responsible for controlling access to the golf
course for both golfers and non -golfers. Personal safety is highest priority.
Golfer Access•
1. Golfers are allowed on the course only during "open tee time" periods as posted in
the Clubhouse
Rational: There are predictable periods of time when the course is closed for maintenance;
consequently, there are no "open tee times" during these periods of time.
2. Golfers are allowed on the course when the course is safe and ready to play as
determined by the Golf Course Maintenance Staff.
Rational: There are environmental conditions that occasionally occur that result in the closure
of the course. For example, heavy rains can cause dangerous soil conditions for golfers and
traffic during saturated soil conditions, resulting in soil compaction, which is detrimental to the
playability of the turf. Frost covered turf can die if traffic is allowed; consequently, the course is
closed until the frost melts. High winds can result in dangerous debris and hazardous trees on
the course; consequently, the course maybe closed until the dangerous conditions have been
corrected. The Goff Course Maintenance Staff is responsible for making the course playable, and
as a result, making the determination when the course is safe to play,
3. Golfers are not allowed on the course when lightning is in the area, as determined
by the Pro Shop Staff.
Rational: Lightning kills golfers every year. The Pro Shop Staff will do it best to close and clear
the golf course when lightning is threatening. The Pro Shop Staff will also determine when the
lightning appears to have left the area, and then re -open the golf course for play.
4. Golfers are not allowed on the course during the nighttime hours when the course is
"open for the season."
Rational. The golf course is irrigated during the nighttime hours. The golf course irrigations
system operates at high pressure (up to 120 PSI). Anyone hit by this high-pressure. high -velocity
water can sustain significant injury and possibly even death, consequently, the course is closed
to non -golfers during the nighttime hours when the course is "open for the season. " Buffalo Hill
Golf Course has significant elevation changes throughout its grounds, and the limited light
during the nighttime hours can impair one's ability to accurately judge the terrain, consequently,
the course is closed to non -golfers during the nighttime hours and when the course is "open for
the season. "
Kalispell City Golf Course Lease 12
5. Golfers are not allowed on the course when the course is "closed for the season" as
determined by the General Manager.
Rational: Once the course is "closed for the season, " other non -golfer activities begin such as
jogging, sledding and skiing. These non -golfers are not aware of the risks golf balls pose and will
not be prepared to look -out for flying golf balls; consequently, when the course is closed for the
season, golfers may not play on the course.
Non -Golfer Access:
1. Non -Golfers activities such as jogging and walking are encouraged when the golf
course is "closed for the season," subject to hours governing city parks, generally
open at 6:00 a.m. and closed at 11:00 p.m.
Rational: Non -golfing activities such as walking and jogging are encouraged when the golf
course is closed for the season, and during hours consistent with other City of Kalispell parks,
2. Skiing and sledding is encouraged when adequate snow cover exists as determined
by the Golf Course Maintenance Staff.
3. Non -Golfers are not allowed on the course during the daylight hours when the
course is "open for the season."
Rational: Golf balls have been clocked at over 150 mph, and typically land with a velocity of
over 50 mph, consequently, flying golf balls pose a significant danger to non -golfers who may
stray into landing zones.
4. Non -Golfers are not allowed on the course during the nighttime hours when the
course is "open for the season."
Rational: The golf course is irrigated during the nighttime hours. The golf course irrigations
system operates at high pressure (up to 120 PSI). Anyone hit by this high-pressure, high -velocity
water can sustain significant injury and possibly even death; consequently, the course is closed
to non -golfers during the nighttime hours when the course is "open for the season. " Buffalo Hill
Golf Course has significant elevation changes throughout its grounds, and the limited light
during the nighttime hours can impair ones ability to accurately judge the terrain, consequently,
the course is closed to non -golfers during the nighttime hours and when the course is "open for
the season, "
5. Non -Golfers are not allowed on the course when frost covered turf conditions exist
even when the course is "closed for the season."
Rational: Frost covered turf can die if traffic is allowed; consequently, the grounds are closed to
all traffic until the frost melts as determined by the Golf Course Maintenance Staff.
Rational: Skiing and sledding can cause damage to the turf when there is inadequate snow
cover, consequently, the course will be closed to skiing and sledding during periods of limited
snow cover as determined by the Golf Course Maintenance Staff.
Kalispell City Golf Course Lease 13
6. Consistent with other public golf courses in the area, dogs are not allowed on the
grounds at any time, whether with golfers or non -golfers.
Rational: For purposes of liability and safety of pedestrians, dogs are not allowed on the golf
course at any time, Additionally, fecal deposits pose significant health risks to skiers and
sledders as well as for the Golf Course Maintenance Staff during the turf maintenance seasons,
Damage to turf is also a common result of dog waste. Finally, like a baseball field or football
field, golf course turf is intended for a specific use, as such, dogs and their waste do not belong
on the golf course because both can negatively impact the competition.
This policy is for the benefit and welfare of both the golfing and non -golfing community.
Violations are subject to public ordinance, which may result in fines or other penalties.
Kalispell City Golf Course Lease 14