SDMGA: San Diego Union Tribune Article;
Rumor mill rampant about TP leadership
The Union Tribune reported on the rumors concerning the take over of Torrey Pines by special interests. Some of the statements made by Bill Evans, proprietor of the Lodge at Torrey Pines, were misleading and if left unchallenged may have been confusing to the reader. Please read our clarification of these statements below. _______________________________________________________________________
· Evans: “Residents’ rounds are being subsidized at Torrey Pines”
The truth: greens fees have already risen dramatically and are supposedly set at the cost of a round of golf which means that golfers are pretty unique in paying the cost of our recreational use of a city park: do tennis players, swimmers, picnickers in Balboa park, dog park users, library goers for example pay for the cost of their activities? Is there any other park and recreation activity or any other city activity that is throwing off a surplus?
It appears that by “subsidized,” Mr. Evans can only mean that Torrey is not charging visitor rates to local golfers, since the current rates are producing a $5.4 million dollar surplus of which $2.4 million is going to the general fund.
o The real subsidies go to Mr. Evans:
As a lessee, he does not pay property taxes
He has a cost-free golf course to draw hotel guests (for resort hotels, the golf course is usually a loss leader, costing them a good deal of money
He gets extra business by booking tournaments at Torrey off the books of rounds played
As the U-T article points out, Evans would get world-wide publicity for his hotel
· Evans: claims if he were running it, “his operation of Torrey Pines would fall under the same parameters and audits that are now in place.” But then he goes on to say that “there is a responsibility to run the golf courses in the most profitable manner we can”
The truth: these statements are inconsistent. The only way they can be "run in a most profitable manner" is by charging the highest rates to everybody, including local golfers who have suffered huge increases. If Evans were running it, the highest rates - over $200 per round - would be charged to everyone, including local golfers.
· Evans: states he has “given up more than $4 million in revenue from hotel rooms, hospitality areas and food and beverage rights to the USGA.”
The truth: Mr. Evans’ room rates are regulated by the USGA, but he will be booked to capacity and doing quite well. Mr. Evans giving up rights assumes that he, not the USGA, owns the U.S. Open franchise and that he should be making all the money from the refreshments and accommodations at the Open. And as has been pointed out by in the U-T article and as Mr. Evans points out, there will be world-wide publicity which will increase the value of his leasehold exponentially.
· Evans: “The Friends of Torrey Pines fund paid for the renovation of the South Course.”
The truth: The Friends of Torrey Pines, supported by Evans, loaned the money to the City and are being totally paid back by the U.S.Open proceeds. The Golf Enterprise Fund is paying for the renovations and Evans and others of the so-called “Friends” are getting their money back: proceeds from the U.S. Open that should have gone to the Golf Enterprise Fund were paid instead to the "Friends". Any money from the U.S.Open should be going back to the San Diego City Golf Enterprise Fund which is losing an estimated $2 million in greens fees from the North course closures for nine months, the loss of twilight revenue from the South for four months and millions in un-reimbursed expenses to get the course ready for the U.S. Open.
We hope this clarifies the statements made by Mr. Evans in the U-T article. Please contact your district city councilperson and ask what their position is on saving Torrey Pines from special interests and keeping it a municipal golf course for the main use of local citizens.
Sincerely,
John Beaver
Paul Spiegelman
Joe Burwell
Co-founders of SDMGA