Recreation Resource Management provides recreation facility management solutions to government

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Recreation Resource Management is a leading manager of recreation facilities for local, state and federal governments

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FAQ
Frequently Asked Questions about Concessionaires

What is a concessionaire?

We are a private company that runs recreation facilities, like campgrounds, for government organizations (like the US Forest Service) on government land.  Typically, this relationship is embodied in what is called a "Special Use Permit".

How does a Special Use Permit work?

Special Use Permits are entered into with private companies for a defined number of years (usually 5-10).  Though the terms vary, in most cases the permit grants the private company the right to operate on and collect revenues from a certain site.  In addition, the private company is required to pay all normal operating expenses.  Typically, the private company pays a fee for this permit, usually calculated as a percentage of revenue collected.

How are these permits granted?

The government conducts a competitive bid process.  Selection criterea typically include evaluation of the company's qualifications, its financial stability, its operations plans, and the percentage of revenue bid as a return to government.

Once granted, can the private company do anything it wants with the site?

Hardly.  We operate under a very detailed set of guidelines that specify the condition the facilities must be kept in, the fees we can charge, the training we must provide, etc.  In fact, the documents that outline our operating plan and restrictions often can fill a 3-inch binder.  Failure to comply with these requirements will cause a concessionaire to lose their permit.

Where does my money I pay for camping fees go?

The vast majority of your fee goes to pay operating expenses at that site, including cleaning, maintenance, safety patrols, etc.  A large portion also goes to the government in fees.  Because of efficiencies in private vs. government operation, these fees we pay are typically higher than the what the government was making running the facility on its own.  By law, at least on US Forest Service lands, the fees we pay to the government stay in the local forest and are used for improvement and new construction.

Don't my taxes pay pay for all this anyway?  Why do I have to pay extra fees?

Unfortunately, it has been years since the tax money that flows to the US Forest Service was sufficient to fund the operations of all of its recreation facilities.  Recent administrations as well as the Congress have decided that organizations like the US Forest Service must recover an increasing part of their budget from users directly.  The same can be said in most states, as budget crises are constantly threatening to close parks and recreation facilities.

This problem continues to get worse.  For example, in 2002, due to fires and the mandate to help recover parts from the Space Shuttle Columbia, most local forest rangers found their discretionary recreation budgets slashed nearly to zero.  However, as a private operator, we were unaffected by these mandates and we were able to maintain service and staffing levels at their optimum levels.  By putting operation of recreation facilities in private hands, government recreation managers can help protect recreation spending and keep parks open.

 


 

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