The Lynnwood City Council unanimously approved an agreement between the city and Premier Golf Centers for golf course management of the city-owned Lynnwood Municipal Golf Course at its Monday meeting.

Premier Golf Centers, based out of Seattle, currently manages 10 courses in the Puget Sound area, including Seattle, Everett, Bellevue, Maple Valley and Pierce County. The contract is only for management of the golf course and does not include maintenance of the course. Since the agreement was approved, Premier could assume operations of the course by Dec. 30.

The term of the agreement is five years with two five-year renewals. The management fee is $96,000 per year and starting in year two any increases to the fee shall be based on the Seattle-Tacoma Consumer Price Index. During the term, the city will pay the Premier a revenue growth incentive fee of 10 percent of the revenue gains. Premier shall submit an annual budget for review and approval by the city.

Premier will provide an annual report on or about Feb. 15 and also will submit monthly reports before the 20th day of each month. All fees and charges will be submitted to the city for review and approval. All revenues will be collected by Premier and submitted to the city. Expenses will be reimbursed by the city on a monthly basis without any mark-up.

Lynnwood has loaned millions to its struggling municipal golf course since 2008. Lynnwood’s course is supposed to be financially self-sufficient, but it started falling behind in 2008 and had to take out a loan from the city utility fund. The course was allowed to borrow $130,000 from the city utility fund in 2008, $550,000 in 2009, $1.4 million in 2010 and nearly $1.3 million in 2011.

City Councilmember Benjamin Goodwin did not attend Monday’s meeting due to an illness.