Costa Mesa reopens bidding for tennis center operator

City officials have reopened the bidding process for an outside operator of the Costa Mesa Tennis Center.

The goal, they said, is to minimize any taxpayer subsidy needed to run the TeWinkle Park facility.

The announcement comes after Hank Lloyd, the center’s longtime operator, said earlier this week that he would not be reapplying for his contract, which expires April 30.

City Hall initiated a competitive bidding process for a tennis center operator earlier this year, and among the conditions were that the winner start paying the center’s water and electricity bills, estimated at $2,200 a month.

For Lloyd and his company, HML Tennis LLC, this was potentially a prohibitively high cost.

“As a business decision, that really takes a hard look,” Lloyd said Tuesday.

City officials said Thursday that the second tennis center bid is likely to have to meet conditions similar to those of Lloyd’s current contract, though the details — including paying electricity and water costs — have not been finalized. A tennis center contract could go before the City Council for approval later this spring.

On Thursday, Lloyd said he wasn’t sure if he’ll reapply and that he’ll know more after seeing the conditions of the second bid.

“I don’t know what their recommendations are going to be and what they’re going to require of the operator going forward,” Lloyd said.

Lloyd and his wife, Maureen, began running the center, which includes 12 lighted tennis courts and a pro shop, on Junipero Drive in 1998. He said he’s increased the amount he gives to City Hall throughout that time and that it now averages about $4,400 a month — including rent, 5% of the shop’s retail sales and 10% of fees related to tournaments and lessons.

Lloyd noted that the center’s offerings have grown substantially under his tenure, and that it hosts several annual tournaments that attract tennis pros from around the world.