The Lebanon City Council Monday night approved a lease purchase transaction to finance improvements for the Lebanon Area Community Golf Course.
This was one of several actions taken Monday involving the golf course that was purchased by the city in September.
The agreement adopted by the Council is with a consortium of banks, First State Community Bank, Heritage Bank and Mid-Missouri Bank to provide financing for $3 million in planned improvements at the golf course.
City Administrator Troy Schulte said the city solicited bids for the financing. Two bids were received, with the consortium of banks providing the lowest interest rate.
According to the written memo from Schulte, the terms of the lease call for the $3 million to be repaid over 15 years beginning in October 2026 with declining annual debt service through April of 2041 with an interest rate of 5.15% and total interest costs of $1,223,668 over the term of the loan.
He said the largest expenditure is the financing of $2.8 million for a new pump and irrigation system at the golf course. An additional $100,000 will be provided to construct a new golf cart storage barn, and $100,000 for miscellaneous course improvements, such as new sand traps or tee box improvements. A new irrigation system was approved by the Council in November but no expenditures have been incurred on this project to date.
The Council approved hiring Bradley Axon as the new golf course general manager.
The Council also approved an agreement with foreUP for the purchase and implementation of golf course and club management software with an initial implementation cost of $699 and a monthly service cost of $908. Axon said the system allows staff to manage tee times, customer information, point of sale, inventory, food and beverage, billing, marketing, tournaments and leagues, payment processing, reporting, and course maintenance tools through one login.
Axon told the council the software provides a good technology-based system for golf course operations.
“I believe that the staff is the heart of the operation. Technology is the engine that drives a good golf operation. So again, this is a robust platform that offers better service and better operational control,” he said.
The council also approved the appointment of John Coffman to the Golf Course Advisory Board.
In September, the Council approved a real estate contract to purchase the Lebanon Area Community Golf Course from the Lebanon Area Community Golf Course. The course, located at 16744 Missouri Highway 64, was formerly known as Lebanon - GreatLife Golf and Fitness.
