It appears Glencoe residents will vote on a $15 million bond sale referendum next spring intended to pay for massive changes at the Glencoe Golf Club.
At an Oct. 18 Committee of the Whole meeting held at the Golf Club, a majority of the village trustees expressed support to put the $15 million referendum in front of voters in next April’s municipal elections. Proceeds of the bond sale would fund construction of new buildings and spaces at the Golf Club including a large new clubhouse/pro shop.
With a $15 million bond sale referendum, property taxpayers could face as much as a $140 annual increase per $10,000 in paid property taxes, assuming a 20 year bond, according to Village Finance Director Nikki Larson.
Larson said the $140 figure was not guaranteed as the village has $800,000 in golf fund reserves that could be potentially used before tapping into the bond referendum proceeds. She added the bond could also be issued in two installments, potentially lowering the financial impact.
Moreover, the Friends of the Glencoe Golf Club, a private organization established to assist with this effort, continues to seek donors. Thus far, they have collected approximately $600,000 in donations and pledges, according to Golf Club Director Stella Nanos.
Still it appears the taxpayers will have to sign off to fund a large portion of most of the envisioned enhancements.
At the $15 million level, trustees are supporting a plan where the current clubhouse and pro shop would be demolished and replaced by a nearly 10,000 square foot building.
Other proposed features include a year round restaurant and bar, opportunities for cross-country skiing and sledding, children-family games, a croquet court that could be used for other sports or a putting green, a community garden, bicycle repair station and other outreach and education programming.
Officials believe the new opportunities would bring in anywhere between $300,000 — $325,000 in incremental annual revenue. Larson said for every $100,000 generated in incremental revenue, the impact on the property taxpayer would be lowered by $10.
Trustees agreed on the larger plan after reviewing an estimated $13.4 million option that would not have a basement that will be primarily used for cart storage. But the sentiment was the smaller proposal did not have enough of the amenities to make the project exciting.
Earlier in the process, staff’s original concept had a larger clubhouse/ pro shop and construction of a new maintenance building, but Golf Club officials believed the estimated $19 million price tag was too expensive.
On the other side of the economic spectrum, officials reviewed the possibility of a nearly $5 million prefabricated building that would have allowed golf course operations, but lacked other revenue-generating opportunities.
Trustees eventually settled on the $15 million plan, acknowledging the uncertainty of whether the voters would be interested.
Village President Howard Roin said, “This is harder than the bonds that Glencoe typically does. We do streets, we do sewers, we do water. Everybody gets that, it’s obviously necessary. If it doesn’t pass, we will have to go to Plan B.”
Trustee Jonathan Vree said the village has been “kicking this issue down the road for too long” in advocating the $15 million plan, but cautioned the United States could be in a recession next spring.
“The conversation around a $15 million debt issuance for golf in the middle of a recession is going to be difficult. That is the one thing that concerns me about the big number,” Vree said.
Some audience members agreed with the concerns and conceded that some residents will need convincing.
“Obviously, the people who are not golfers are going to be the hard sell,” said Lynn Goldschmidt. “We are going to have to convince people in the village that this is an underappreciated jewel in the crown that would be wonderful to enhance.”
Village Manager Phil Kiraly wrote in an email that he expected the village board to formally vote to place the referendum on the ballot at their December meeting.
Daniel I. Dorfman is a freelance reporter with Pioneer Press.