Siloam Springs city directors talk funding golf course

SILOAM SPRINGS — City directors discussed the possibility of funding the Siloam Springs Country Club golf course Tuesday.

The discussion stemmed from a presentation given by Curtis Smith, a representative of the golf course, during which he outlined the current state of the golf course.

Presently, the golf course, also known as The Course at Sager’s Crossing, recently became managed by Maxim Golf Solutions, according to Stacy Gray, the pro-shop manager.

HISTORY OF THE COURSE

Smith detailed the financial history of the club beginning with a $120,000 loan the club borrowed in the late 1990s from local banks to redo greens and purchase new equipment.

Smith then said the club had 170 members in 2004. In 2007 the board of directors of the golf course struck an agreement with a concessionaire to manage the clubhouse for profit, while the board retained control of the course, Smith said.

Membership began to decline around that time and the club used a revolving line of credit to make it through the winters, Smith said. In 2014 the club bought out the concessionaires and began managing the whole golf course again, Smith said.

In 2018, the board cut staff to save money, and plans were made to maintain the course by using members for labor and the board even considered closing the course at the time, Smith said.

By that time, membership had dwindled down to 25 members, Smith said. In 2019, the manager and other investors developed a business and began to operate the course for profit with an agreement that a rental payment would be made to the club and would enable them to cover their debts, Smith said.

During the summer of 2020, membership increased to around 60, but a year later the club began to fail to meet its financial obligations and the golf course began to look for a suitable alternative by the fall, Smith said.

In February of 2022 Smith had met a district sales manger for a golf cart company and the manager recommended working with Maxim Golf Solutions, which currently manages a network of nine facilities throughout Kansas and Missouri, Smith said.

Brian Minnis, the founder and CEO of Maxim Golf Course, visited The Siloam Springs Golf Course in June to meet with the course’s creditors and to analyze the golf course and the surrounding area, Smith said.

This analysis indicated the need for updating and repairing the current irrigation system along with basic turf management equipment costs, which are estimated to be $120,000. That amount will include $70,000 for irrigation repair, $30,000 for equipment and $ 20,000 to guarantee Maxim’s managerial fees, Smith said.

Smith said he met with school officials as well as other civic and community leaders.

“The results of those meetings indicated a concern for golf continuing in our community,” Smith said. “Corporate leaders and employees voiced me at that time that one of the first questions a new hire will have is where do you play golf around here.”

Smith went on to say those business leaders are asking the city to take the lead and have voiced that they will follow. Simmons Foods had already committed $ 30,000, Smith said. Smith also said he is here to ask the city if it will match the $30,000 commitment from Simmons as a challenge grant for other businesses.

If the city matches Simmons’ commitment, the golf course would have half of the amount they needed and believed others in the community would follow, Smith said. Smith then asked if Minnis, who was also at the meeting could speak.

Minnis spoke about his brief career as a professional and how he moved on to golf course manager and how he had eventually founded Maxim Golf Solutions. Minnis also said he enjoyed Siloam Springs and the Northwest Arkansas area.

“I hope that the city, whether we’re involved or not, I hope that the city will do everything in its power to keep golf opportunity alive in Siloam Springs,” Minnis said.

BOARD REACTIONS

Several board members voiced their support for the golf course. Director Carol Smiley asked Minnis what was the number one thing he feels Maxim can do for the golf course and does Maxim manage golf courses in Arkansas.

Minnis said the number one thing Maxim could provide is agronomic expertise. Siloam Springs Golf Course’s turf conditions are very poor and how that could be a sign of many things, he said.

He also said it is expensive to operate a golf course successfully on the agronomic side, but Maxim has a regional agronomist that visits Maxim’s properties and is already working on behalf of the golf course to try to assess it and start its recovery process.

Minnis also said Maxim does not own or manage any golf courses in Arkansas and that the Siloam Springs Golf Course will be the first one.

Director Mindy Hunt went over the figures Smith provided and also reviewed Maxim’s website for his credentials. Director Brad Burns said the problems with the golf course did not happen overnight but said he was excited about what he had heard.

“I know this community,” Burns said. “We have the funds available even in this economical climate, and I know they would step up with us helping in that leadership role.”

Director Marla Sappington said she enjoyed visiting with Minnis and Smith and said what was provided was very informative. Director Reid Carroll said he appreciated the history provided by Smith and said he would like to see the city “sock this thing in the jaw.”

City Administrator Phillip Patterson said he appreciated the input and will try to bring back a resolution in the coming weeks for the board to consider.