City staff presented operating projections for the recently acquired golf course and reviewed operating concerns for the Woodland Aquatic Center and cultural center during the 2026 budget work session.

Staff built the golf-course budget from recent profit-and-loss statements and conservative assumptions. The draft projects roughly $676,000 in revenues and $749,000 in expenditures for 2026, producing an anticipated first-year subsidy of about $75,000. "We do hope over time to be able to run, including capital expenditures and other things, at a 0. However, this first year, we definitely want to be conservative and ... expect that we're gonna have to rebuild the base and and bring the revenues up," Aaron said.

Staff said the city has not decided whether municipal staff will operate the course or whether it will be outsourced; the budget is structured so the city can operate the facility if elected.

On parks and recreation, staff reviewed the Woodland Aquatic Center's recent revenue impacts — a heater failure reduced capacity during a peak season — and said part-time labor cost increases tied to state minimum-wage changes have raised operating expenses in recent years. Staff reiterated a target cost-recovery goal near 55% for the aquatic center.

The cultural center request included $10,000 to replace an aged dishwasher used for rentals and events; staff said the center had lost availability for reservations during construction-related closures and expects reservations to increase once the facility is fully available.

No formal Council decision on operating models or subsidies occurred at the meeting; staff asked for direction on future operating choices and said final recommendations would come back with more detail.