A proposed management agreement at Rolling Hills Golf Course between Tempe and a private firm could pay the city nearly $10 million over 30 years.

The Tempe City Council will consider a public-private partnership for operations and maintenance at the city’s Rolling Hills Golf Course during a public hearing at its Thursday, Feb. 16, meeting. A second public hearing and council vote is scheduled for Thursday, March 2, according to a city release.

The city is negotiating with Grass Clippings Inc. to assume operations for Rolling Hills, which is near Papago Park at 1415 N. Mill Ave.

The proposal is to allow Grass Clippings to run operations and maintenance of the course, pro shop and clubhouse starting July 1.

The firm would receive all revenues for the course and pay rent to the city in the amount of $250,000 annually plus an annual 2.3% adjustment, city officials said. The anticipated payments to the city over the initial 30-year lease would be $9.7 million.

The agreement outlines future improvements to the property, including: lighting the course and practice range, adding a family activity lawn and video display, building a hilltop bar and improving the practice range, clubhouse, pro shop and patio bar.

“The existing course footprint and layout will remain, with minor modifications on hole nine to accommodate the new family activity lawn,” city officials said in the release.

The city will not pay for operations, maintenance or improvements at the course during the lease term and, according to the city, Grass Clippings would be responsible for all development costs with an anticipated completion by Jan. 1, 2025.

“The course will remain open throughout the improvement process, with limited impacts to play,” officials said.

For years, the customer service operations at Tempe’s two golf courses – the other being Ken McDonald - have been privately managed.

The proposed agreement for Rolling Hills would be the first time maintenance and capital improvements also would be privately managed.

Rolling Hills will remain under city ownership, officials said.

The agreement outlines discounted golf rates for Tempe residents, veterans, juniors and members of the Rolling Hills Men’s and Women’s associations. Proposed rates include:
 
Tempe Residents and Rolling Hills Men’s and Women’s associations* 

• $35 (Sept. 1 – May 31)
• $20 (June 1 – Aug. 31)
• *Rates may be increased each year by CPI or 2.3%

Public rates**

• $65 (Sept. 1 – May 31)
• $35 (June 1 – Aug. 31)
• **These are expected rates for the first year of operation and may be adjusted based on market, demand and cost of doing business.

Veterans – 50% discount

Juniors – 75% summer discount; 50% winter discount. Free on Sundays with a paying adult.

The proposed lease and development agreements are available here.

Community members can attend and offer comment virtually or in-person in the council chambers, 31 E. Fifth St. Visit tempe.gov/clerk for details.