Coral Hospitality will take over 5 Georgia State Parks

As a supporter and "friend of" GA state parks, I did some research on the "takeover", this is all I could find.

State Announces Management Change for Two Park Lodges
ATLANTA, GA. September 26, 2012
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Today the Georgia Department of Natural Resources (DNR) announced plans for management changes at two north Georgia state park facilities. The lodges and cottages at Amicalola Falls and Unicoi state parks will soon be operated by a hotel management comp
any, allowing the state to improve both the financial performance and guest experience. Through a third party operator agreement, Coral Hospitality will assume operation of the lodge guest rooms, conference facilities, restaurants and cottages at Unicoi State Park
on November 1 and at Amicalola Falls State Park on December 1. Other park facilities, including campgrounds, will remain under DNR management. Unicoi is located near Helen and Amicalola Falls is located near Dawsonville. Earlier this year, the DNR announced plans to close Unicoi State Park’s lodge during 2013 for renovations. However, further exploration of renovation plans revealed that the
costs, coupled with revenues lost during the closing, exceeded available funds for the project. Instead, Coral Hospitality will upgrade Unicoi’s and Amicalola Falls’ guestrooms , while keeping the lodges open, with more major renovations of the conference facilities, restaurants and cottages scheduled during the next two fiscal years. The DNR was able to engage Coral Hospitality through an existing agreement with the North Georgia Mountains Authority (NGMA). The NGMA is affiliated with the DNR and was the state authority responsible for originally developing Unicoi’s lodge. The NGMA also manages the state-owned Brasstown Valley Resort & Spa in Young Harris and the Lake Blackshear Retreat and Golf Club at Georgia Veterans State Park, which have been operated by Coral Hospitality since 2005.Coral is a full-service hospitality management company specializing in resorts, hotels,clubs and residential communities. Coral’s expertise well equips it to operate the state park lodges while enabling the DNR to focus more on its core mission of protecting the parks’ natural resources and providing outdoor recreation to Georgia’s citizens.
“Both Amicalola Falls and Unicoi state parks are natural treasures for Georgia, and we are committed to preserving them for future generations,” said DNR Commissioner Mark Williams. “We are pleased to be partnering with the NGMA and Coral Hospitality to achieve improved efficiencies and customer service at these state park lodges. We
are confident that visitors will have an exceptional experience when they stay overnight and attend business functions."

As I said earlier, Coral manages the lodges, restaurants, and special "hospitality" industry parts on several of our parks. DNR still runs the camping/outdoor activities/and actual parks. I think this may be a better way for things to work.

CLOUDLAND CANYON is one our favorite GA State Parks. What one does usually gets followed real soon by all the other locations. The high country of GA ALA SC NC TN and VA are all in close proximity of each other and have some of the best East side US camp grounds around...

Moving money shells around always looks like a good deal when put on paper. One of our high dollar electric bills for a govt owned radar operation ran about $60K a month from the local power company. Then the govt comes along and says we must privatize all of this. Now some post office box company in another state won the Govt electric contract bid and charges $130K a month now for the same service. They still buy the electric service from the same local power company for 60K a month and we still call the same power company folks when we need service. But now we pay over double the cost for electricity and have never laid eyes on the Post Office Box company. We still invite the same local electric company folks to our annual picnics.

Blows my mind how all of the this is saving monies...

Roy Ken

There is no doubt that the state of Georgia could/should do a better job. Government is a poor way to run any thing. But as noted above, look at Lake Lanier Islands and Stone Mountain. This just isn't what I want to see happen on a large scale. Out sourcing almost always leads to corners being cut in maintenance and service, and a reduction in wages & benefits. Which will at some point effect the end user (me).

Gypsy, my main point is in the post-script. That explains the essential difference between legitimate free-market enterprise and a give-away of the public trust. Coral Hospitality may well do a great job of managing the parks, but our disagreement is philosophical. I do not believe that a few investors should profit from a public resource that is being paid for by the taxpayers.
As for the fees and prices, you are correct that my guess as to where they will go is pure conjecture, but it is one that I would feel relatively safe betting on.

Miles

On edit: It occurred to me that I should explain why I have this opinion. When the proceeds from the public wealth stay in the public's hands they are more dispersed throughout the broader economy and that benefits everyone. When those proceeds are given to private corporations they become more concentrated and in fewer hands.

Son of Norway wrote:
"the state is planning to make $5 million in improvements"

I hope the citizens of Georgia realize that their tax money and natural heritage is being handed away to profit a few owners of a large corporation that will only make it more expensive for the average person to enjoy what should be their birthright.

Miles

P.S. and Noel I would be the first to agree that if Coral Hospitality was bearing the cost and risk of owning a state park that they should enjoy the profits. But that is not the case in these private give-aways of what should be part of the public trust.

I will start my response with I have no ducks in the hunt and I don't. But there are several issues with this statement. The contention that "their tax money and natural heritage is being handed away to profit a few owners of a large corporation that will only make it more expensive for the average person to enjoy what should be their birthright." is complete conjecture. I know nothing of this company but the article says their take is 3.25% of the gross from which they will pay expenses. Their track record appears to be good in managing hotels, golf courses and investing but no venture is guaranteed. The state so much as admitted they were doing a bad job of managing the parks so why not give them a chance. I am certain the fees that can charged were part of the negotiations and they will not have carte blanche to charge fees at will. You can bet that any archeological significant areas require strict oversight by the state and the contract has a definite term of limits in which they will manage the properties including clauses of termination for failing to meet their obligations.

Just to clarify - Coral Hospitality is taking over management of 5 State parks and the facilities located within them. Coral will be paid 3.5% of gross income from the Parks. The land, the building, golf courses, etc., will still be owned by the State of Georgia.

For what it's worth - GA State Parks has missed the boat on providing customer service and keeping up with neighboring states and what they offer. I think the Coral action is a direct result of really, really poor senior management. The Director of the Park system has been there a long time and is not receptive to any input from the little people. (AKA tax payers)

Makes me think of this one: "If things get much worse, we may have to lay off Jose."

Does anyone else notice that when cost-cutting occurs, the smallest, lowest costing, lowest paid expenses are the first to get cut?? If cutting started from the top down, wouldn't it be more effective?? eliminate one $100 item, then you can buy 5 $10 ones and still make a profit.

I'm kind of in the middle on this issue. I really hate to see public parks made private but I also abhor the top-heavy bureaucracies involved in the public park systems. Too bad there is no real oversight that doesn't involve self-interest.

That is sad to hear. Sounds like a real sweet deal for Coral Hospitality. I wonder if there is anything that would prevent them from selling the land to developers after they aquire it?