City council members were given the full report from an operation review of the Lloydminster Facilities Corporation (LFC), which operates the Lloydminster Golf and Curling Centre (LGCC).
The review focused on areas such as management and operational oversight, staffing, customer service, operations, and financial results.
Within the review, there were also recommendations for the city. One of those recommendations included the city operating the LGCC as a department of the city.
“I think that having it come into the city has its benefits, I think we will be looking at that from city council, we will ask administration to take a hard look at those recommendations and see what will work for the city,” said Mayor Gerald Aalbers.
Coun. Jonathan Torresan said he can see the merits of the recommendation.
“It’s often confusing as to whether or not it is a city department based on the fact it’s city managers and city councillors sitting on the board,” he said, however, he added council will have to go through the individual recommendations and take action one-by-one on how they feel they want to proceed.
The restaurant portion of the LGCC was highlighted during the presentation.
The report showcased labour costs as being very high in the food and beverage portion.
Labour costs were 54 per cent compared to the benchmark of 32 per cent in the industry, which was surprising to Torresan.
“Not being close to some of the benchmarks, as far as how much the costs at a restaurant should be, those are big concerns for me, and they are always potential symptoms of other problems. So a lot of things of concern that we need to deal with right off the bat,” he said.
A possible recommendation towards the food and beverage woes of the LGCC was to outsource a third party to run the restaurant.
“There was a lot of options laid out, is it a third party? We have done that at the Servus Sports Centre, we have had very positive results to this point so that might be something that is considered … it is way too early to speculate,” said Aalbers.
At Monday’s council meeting the councillors accepted the review package as information.
The plan from here is to have administration take the document and go through it thoroughly.
“We are going to engage the golf and curling centre staff because it affects them mainly. We need to sit down with the board of directors … so we will get that figured out and it will come forward in due time,” said Aalbers.
The report offers short, medium and long-term recommendations, and Aalbers added they will start on the short plans which equal up to six months.
In December of last year council approved a request for $50,000 to go towards the review. At a previous council meeting on Nov. 14, the LFC requested an additional $105,000 to cover 2017 operational deficits.