Board Meeting 7-28-11

All Board Members Present

President Ray Massey opened the meeting in prayer.

The June Board meeting minutes were approved.

Financial Report – Treasurer Tom Lockette

See Financial HighLights in separate post.

The performance this last month wasn’t very stellar. I am getting a little concerned that we may have a trend going. We really got to keep an eye on it, and watch our spending. We missed our budget by about $20,000. About $4,000 of that is in POA dues. Even though Lot payments are coming in pretty good. They are down about 50 from the lots that paid last year….which is good because we had anticipated loosing another 100 this year. The houses are not coming in as good as anticipated. This time last year we had 59 houses that had not paid anything at all. This year we have 84 that have not paid anything at all.
At the 19^th Hole, we are still fighting food costs. Percentages are pretty good on beer and liquor. We are still getting about 25% net profits on food sales. We are also a little bit over on salary. I think we are going to have to take another look at those numbers to see what we can do there. We anticipated taking another look at the budget after the first 6 months. But if we continue to see this trend, we probably need to take another look in a couple of months, rather than wait another 3 months on out. When we get the new board in, our general manager situation settled down, and take a good hard look at what we are looking at for the rest of the year.
We are looking at cash flow now. There is a negative $7,000 on operations for this year. That doesn’t mean we have to borrow money. I think there is $40,000 in the contingency fund. But, it is getting closer than any of us wanted.

President Massey: Thank you Tom … for letting all of us know where we are so we can make the necessary adjustments that we need to. Our present general manager (Todd Belz) will use a very sharp knife when looking for requests for expenditures.

Financial Report was approved.

New Business:
The Board approved the dethatching equipment for $2374.68 + tax. Todd wanted all to know that he did get the approval of 5 board members before he purchased this equipment last week.

Charles Wood asked: “Where is the money coming from?”

President Massey: “The money is in the $10,000 capital improvement budget that has already been approved for the golf course.”

Charles Wood voted against this measure.

Road Committee – Bob Jones
$125,000 was approved for the road resurfacing work. The only bid received was from SPA Construction for $116,343.00. We would like the Board to approve that bid. As part of the resurfacing project this year, there are 4 additional items.

Chemicals to kill vegetation that has encroached onto the roads [$350.00]

1. Blue Hill Drive will be resurfaced to save wear-&-tear on the equipment. A low water area needs to be done before the work of resurfacing work is done. [Blue Hill Drive was taken off the resurfacing list and another road will take its place.]
2. $8600 remains from the allotted budget of 125,000. Out-bound Independence needs repairs. It has been advised that these areas will not make it through the winter. We would like SPA to rebuild these areas while they are out here with their equipment.
3. Resurfacing Independence from the Police Station to Plum Hollow. The culvert at the bottom of the hill between the driving range and the #1 fairway needs to be replaced before the resurfacing. [$10,800.00]

There is a culvert fund of $41,000. There is one other culvert that needs to be replaced for about $6,000.00. This should leave about $19,000 left in the culvert fund for future needs. In addition:

• Flag posts to set out for drivers to know to stay away from the eroding edges of culverts that can not be repaired at this time.
• Flashing lights to aid in causing drivers to slow down when passing the road equipment in operation.
• We have a roller and a sweeper for road work. We still need the chipper to clean up tree limbs along the road ways. [The roller was purchased at a very good price!]

Tom Lockette explained that we need to put off the Blue Hill Roadimprovement in favor of resurfacing roads that lead to member’s houses. We have a grader that can continue to keep that dirt road smooth, as has been done for the last 30-40 years. Tom made a motion to approve the base bid of $116,343.00 plus the additional 6-8 thousand. Motion passed.

Tom Lockette made a motion to approved $11,000 for the large culvert on Independence. Charles Woodseconded it. Passes unanimously.

Reflector lights, chemicals, & Flag posts are less than $1,500 total. No need for approval by the Board.

Tom Lockette made a motion to approve $6500 for the second culvert. Motion carried.

Architectural Committee –Jack Watson.
New house construction requested an H-2 status. Charles Wood and Mary Pracht cast dissenting votes. Motion passed.

President Massey: An H-2 status has always been automatically granted when a house is built on two lots.

The Lions club has donated two defibulators at $2400 and repair of a third. This gift was approved by the Board.

Tom Lockette made a motion to approve the [one] bid for the Liability Insurance. Terry Shipp abstained. Motion approved.

The Board retired to Executive Session to discuss “The Citizen of the Year”. We will find out the results of this action during our Annual Meeting - August 20th 7:30pm

Notes submitted by,

Diane Porterfield