FY 2021 2122 ADOPTED OPERATING AND FY 2021 2526 CIP BUDGETS

Membership and Program Services (continued)

• Implement miniature golf at the Aquatics Center to support increased attendance and revenue generation (Supporting Our Youth, Seniors, and Entire Community; Fiscal Sustainability) • Continue to offer a myriad of Developmental Asset based youth development programs (Supporting Our Youth, Seniors, and Entire Community) Financial Comments Prior to FY 2008-09, the City operated the Centennial Recreation Center, Aquatics Center, and recreation programs as independent divisions. Once combined to operate as one integrated division, the City was able to reduce duplication, leverage resources, and add value to the community membership model. As a result, the annual General Fund investment for these services is limited. Today, Membership and Program Services is responsible for generating the largest percentage of revenue for Recreation and Community Services and is the General Fund’s third largest source of revenue (behind property and sales tax). This market driven revenue source is dependent on attracting and retaining members and daily customers. Membership grew significantly each year since the facility was opened through FY 2012-13. The growth rate began to plateau in FY 2013-14 as the facility reached its load limit and an unprecedented community penetration rate (percentage of the population that is members – currently 23%) stabilized. With the recent Covid-19 crisis stabilizing reductions in memberships and re-opening the facility will be the priority for the near term. The soon to be completed CRC Expansion will add needed space to support this effort. Member engagement and well-maintained facilities and equipment will continue to be the cornerstone of this effort. The escalating cost of maintenance and minimum wage are accounted for in this budget. Additional costs associated with new cleaning and sanitization protocols associated with Covid- 19 have also been incorporated. Per the City’s partnership agreement with the YMCA of Silicon Valley, the City Budget formally establishes the partnership budget.

158 COMMUNITY SERVICES