Thornton Golf Club. Notes On The Resolutions To Be Presented To The Membership At A Special General Meeting On 1 November 2018.
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1 Thornton Golf Club Notes On The Resolutions To Be Presented To The Membership At A Special General Meeting On 1 November Resolution 1 - Budget For Year To 30 September 2019 The financial management of the Club remains a clear priority for the Executive Committee. The year ended 30 September 2018 has continued to be one of significant challenges. The continuing decline in membership numbers at the Club is in line with the experience of many other clubs across the country and is a trend that appears difficult to reverse. It has also been a year of challenging weather conditions. The drought in early summer had a major impact on the presentation of the course and along with many other courses the recovery of turf conditions has been a slow process. However arguably the condition of the greens and fairways are now back at their best. During September, our Head Greenkeeper, Andy Graham, tendered his resignation after 25 years service with the Club. We wish Andy well for the future but his departure now creates an opportunity to recruit a high quality successor whose challenge will be to return and develop the presentation of the course to its former high standard. Based on the quality of the applicants for the post the Executive Committee are optimistic about the achievement of this objective. This year has also witnessed the first of our outsourced bar and catering operations. After an excellent start Greenside Bar and Catering appear to have struggled to maintain acceptable levels of customer service and the Executive Committee is well aware of the criticisms levied by members. We are working with Greenside to address these matters. It is with some sadness that we will lose our Head Golf Professional later this calendar year. Scott Gillespie has been a huge positive influence and contributor to the running of the Club over the last three years. We will all miss his presence but we wish him well in his new post at Balbirnie GC. Recruitment for his successor is underway with a number of strong candidates showing interest in the post.
2 The Executive Committee would also like to extend their grateful thanks to those members who have continued to contribute to the Capital Donations Fund. This has enabled the replacement of essential kitchen equipment that might otherwise have been difficult to fund. In the year to 30 September 2018, based on the forecast management accounts for the period, the Club will return a deficit of 18,466. The Club continues to operate at a loss this is now the ninth year in a row. However, despite these book losses the cash outturn for the year was positive with debt being marginally reduced. Through the operation of strict expenditure controls the Club is in a stronger financial position than many others and the Executive Committee is determined to try to avoid any degradation of this position. Despite continued efforts to recruit new members and an increase in membership fees for the year to 30 September 2018, subscription income at 176,599 was 23,401 below budget, reflecting yet another net drop in membership levels. Bar and catering performance remained behind budget with an overall loss of 12,758, incurred largely as a result of the additional labour costs associated with the long term absence of two employees and the settlement of their severance packages. The financial benefits of the outsourcing arrangements will be fully realised in 2018/19. Operational costs were less than budget during the year largely as a result of under-expenditure on the course and the maintenance of greens equipment. This has therefore been yet another challenging year in financial terms and the outlook in the near term remains just as difficult. In seeking to establish a budget for the 2018/19 period the Executive Committee has sought, once again, to balance the requirements for effective cost controls with the needs to present a quality service and presentation of the course and clubhouse to members and visitors alike. The Executive Committee has undertaken a thorough review of other areas of our operating cost base. In recognition of a new Head Greenkeeper appointment and the need to re-invest in the course, the Greens/Course budget for 2018/19 has been increased. It is hoped that the members will see the benefit of this additional resource in course presentation during In a further change for 2018/19 George Hall, our Treasurer/Administrator, has indicated his intention to cease his support to the administrative aspects of the Club. As such the Club is now seeking a part-time General Manager to fulfil these duties. The bottom line budget for 2018/19 is set to deliver an operational deficit of 11,918 in the year to 30 September This deficit recognises the increasing burden of Irrecoverable VAT but also includes an allowance for a substantial financial pledge from a member. The Executive Committee would like to express a huge vote of thanks to the member concerned.
3 The Executive Committee are proposing this budget but need the membership to fully support the proposals to deliver a successful outcome. Please support your Club. THORNTON GOLF CLUB INCOME & EXPENDITURE ACCOUNT FOR YEAR ENDING 30TH SEPTEMBER 2018 AND BUDGET FOR BUDGET FORECAST BUDGET INCOME Subscriptions, Entrance Fees. 167, , ,000 Visitor Fees 40,000 40,198 46,000 Surplus/Deficit on Bar ,700 Surplus/Deficit on Catering 2, Competitions 6,965 8,105 9,060 Course Advertising 6,000 6,018 6,600 Locker Rents 1,000 1,143 1,000 Capital Project Donations 15,500 4, , , ,110 EXPENDITURE Course 147, , ,551 Clubhouse 31,874 31,380 30,000 Management 53,830 54,293 59,000 Affiliation 6,439 6,167 6, , , ,795 Pre-Tax Surplus (Deficit) 82-7,150 6,315 Irrecoverable Vat 12,000 11,316 8,400 Net Surplus/(Deficit) -11,918-18,466-2,085
4 Resolution 2 Five Day Membership The Executive Committee are proposing to remove the existing restrictions applied to the Five Day Membership category. This will enable this category of membership to enjoy full privileges on a Monday through Friday basis. In line with these improved membership benefits the annual subscription level has been aligned with that of Concessionary Senior category. Resolution 3 Subscriptions For 2018/19 The Executive Committee propose, subject to approval of the Club s Budget for the period to 30 September 2019 as outlined in Resolution 1 to increase the annual subscription for Ordinary members for 2018/19 to 545 (2017/18 528) including affiliation fees, as collected through the Monthly Subscription Scheme. However in an effort to promote positive cashflow in the winter months, the Executive Committee is offering a discounted subscription rate of 490 for a one-off payment to be made by 31 January It is hoped that such a discount, creating a competitive annual subscription, will attract new members from other clubs and offer existing members enhanced value. The subscription rates for other membership categories will be adjusted in line with the table undernoted. For those wishing to continue to pay monthly a modest increase of 17 is proposed - the equivalent of 33p per week and has been set to retain the Club s competitiveness with other local clubs. Members who choose to transfer to the one-off payment method will achieve a net reduction on their 2018 subscription level. It should be noted that Concessionary Senior members, who opt to pay the one-off annual subscription, will effectively have no increase in their annual fee in 2019.
5 THORNTON GOLF CLUB SCHEDULE OF PROPOSED SUBSCRIPTIONS FOR 2019 Monthly Subscription One Off One Off Scheme Payment Payment Cost Monthly Cost Saving 2019 Sub Ordinary Member - Gentleman Ordinary Member - Lady Ordinary Member - Aged Under Ordinary Member - Aged Under Ordinary Member - Aged Under Ordinary Member - Aged Under Ordinary Member - Aged Under Ordinary Member - Aged Under Concessionary Senior Membership - Gentleman Concessionary Senior Membership - Lady Concessionary Veteran Membership - Gentlemen Concessionary Veteran Membership - Lady Associate n/a 100 n/a Associate n/a 40 n/a Country Members Five Day Membership Administration Fee 35 n/a 35 0 David Rae Secretary October 2018
2015/ /15 Notes
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