Board Workshop – 2-13-14

Board Members Present:

President Suzie Combs                Diane Jones

Vice President Joe Claflin             Larry Hibbs

Secretary Faye Taylor                  John Cummings

Treasurer John Porter                   Ken Benck

                                                      Mary Pracht

Finance Committee Chairman, Frank Pohlkamp

General Manager, James Turner

19th Hole Proposal 

President Suzie Combs began the meeting by asking GM James Turner to bring the Board members up to date with regard to the 19^th Hole.  Mr. Turner listed a number of reasons for closing the doors of the 19^th Hole about a week ago:

• Staffing problems
• Alcohol Beverage Control Board violations
• “Free Pours”, “non-approved” containers,
• Permit violations
• Gambling violations
• Inventory discrepancies
• Consistent financial loss for the last 9 years
• $80,000 Loss this fiscal year

GM Turner presented a proposal to the Board describing the advantages of leasing the 19^th Hole to the Green Herb catering business.  The two owners of the Green Herb are Tammy and Carolyn with 20+ and 40+ years of experience in the food industry.  The Green Herb was highly recommended by DH residents Virginia Paxton & Jeannie Zdziardski.  Tammy & Carolyn 'have the experience to run a successful restaurant which offers great food'.  This proposal will allow Diamondhead residents to enjoy the benefits of the 19^th Hole without the huge financial burden and possible government citations.
* Note:  This proposal will not pay all the expenses for the 19th Hole.

The Board took a vote to approve the negotiations with the Green Herb to continue while a legal document can be brought before the Board for approval.  Director John Cummings voted “NO” to this proposal explaining his concerns in detail.  Motion passed.

Financial Budget for 2014-2015 Proposal

The second hour of discussion was presented by Finance Chairman Frank Pohlkamp.  The proposed Budget for the 2014-2015 Fiscal year was passed out to the Board members.  Click on the picture below:

Areas of concern to the Finance Committee:

·        12 hour Security

·        Pool – Last year saw a $49,000 Loss

·        Golf Course

·        19^th Hole – Last year saw a $80,000 Loss

Finance Committee Recommendation: 

• An assessment to all Home Owners (not lot owners) of $50.00
• Sticker Fees of $10.00 per motorized vehicle

Director Diane Jones stressed the need to raise the Annual Dues.  Treasurer John Porter stated the fact that the DPOA will not be “borrowing” from next year’s budget may make it difficult to explain a Dues Increase. [President Suzie Combs said this is due in part by 'not having a GM' to pay for] However, Mr. Porter went on to explain the need for a considerable increase to the Capital Improvement Fund that was initiated last year.  This Fund currently shows a $30,000 balance.  The additional $30,000 that may be collected from the 600 Home Owners will be directly deposited into this Capital Improvement Fund.  “All of Diamondhead’s infrastructure is over 40 years old and must be maintained.”  There is, and will be, a huge need for repairing and replacing large ticket items in the very near future.

Meeting ended just before 7:pm

Agenda meeting is scheduled for Thursday, Feb. 20^th, 2014

Notes provided by,

Diane Porterfield

adianerdh@att.net