The Frys.com Open, sponsored by San Jose-based Fry's Electronics stores, has been played in Scottsdale, Ariz., in recent years, but a report on an online golf news Web site indicates the PGA Tour is on the verge of making the move to San Martin for the 2010 annual event.

"Obviously, it would have a huge economic impact," said Morgan Hill Senior Project Manager of Economic Development Tammy Brownlow, who noted that this year's tournament in Arizona drew an estimated crowd of about 34,000 spectators.

That many visitors would occupy hotels from San Jose to Gilroy and patronize local restaurants for a week in October every year if the tournament comes to CordeValle, Brownlow said.

"Any type of big tourism events have direct and indirect positive economic impacts on the whole area," she added.

No local economic development people have conducted studies defining a potential dollar figure that such events could return to local businesses in the form of sales, and to cities in the form of tax revenues, but all agree that the effect would be significant.

"It's certainly going to fill up the name brand hotels for a week, but beyond that it's really hard to tell," Gilroy Economic Development Corporation President Richard Zahner said. "It's better to have (an event) like this than not to."

PGA Tour spokesman Joel Schuchmann declined to comment on a possible move of Frys.com Open because next year's schedule of events is not yet finalized.

Fry's Electronics spokesman Manuel Valerio said there is "nothing official" to disclose about the tournament's change of location. However, the company has actively worked on attracting a PGA Tour event to the area, specifically to owner John Fry's Institute golf course in southeast Morgan Hill.

"We're certainly interested in having the Frys.com Open here in the Bay Area, closer to our corporate headquarters, and having that kind of premier golfing event with the prestige and honor that comes with it," Valerio said.

He added the benefit to the local community would extend beyond extra sales at businesses and transportation services. The PGA Tour has a strong reputation of contributing significant dollars to charitable organizations, and such entities in South County that are struggling financially would enjoy that support, Valerio said.

A spokesperson for CordeValle said the course has not yet spoken to anyone from Fry's or the PGA Tour to set up the rumored move.

"If the Fry's Electronics company, a PGA Tour sponsor, would like to move their event closer to their corporate headquarters, we'd like to speak to them," said Travis Skeesick, director of golf and club manager for CordeValle.

"It would benefit all of us in this community," Skeesick added.

Aside from the economic impact, a PGA Tour event in South County would be a boon to the area in terms of golf prestige.

Gilroy Golf Course teaching pro Don DeLorenzo said the crowds attracted to a Frys.com Open in San Martin would necessarily include golf enthusiasts who are here not just to watch, but also to consider local playing options.

"That will be good for all of the courses in the area," DeLorenzo said.

Professional golfer and Live Oak High School grad John Ellis agreed, and said he has heard the "promising" rumors about the Frys.com Open's move to San Martin for the last week or so. Having qualified for and played in a handful of PGA events in the past, and currently in the midst of competing at "qualifying school" to become a full-time PGA pro, Ellis said CordeValle would be a "great venue" for a professional golf event.

"It would be really special to play in an event that's really close to home. That's exciting," said Ellis, who now lives in San Jose and attended Gavilan College in Gilroy.

The web report cited anonymous PGA Tour players and a source close to the Frys.com Open who said the organization's board of directors will take a vote on moving the tournament to San Martin in early November.

Since 2007, PGA Tour officials have indicated intentions to hold an event at Fry's golf course on Foothill Avenue, which is closed to the public. That course is not yet ready to host a PGA stop, as it requires the construction of a clubhouse and necessary permits.

The Frys.com Open, a four-day tournament, is played in late October each year. Troy Matteson won this year's event Sunday, at Grayhawk Golf Club in Scottsdale. The total prize purse for the 2009 tournament was $5 million.