Sun City West Financial Plan. General Manager Mike Whiting

Transcription

1 Sun City West Financial Plan General Manager Mike Whiting 1

2 Housekeeping Copies of budget detail available Fee schedule, specific capital projects Entire presentation online Association/Financial Reports Please hold questions until the end Write down slide # and we ll refer back to it 2

3 The Purpose of this Forum is to Receive Member Comment. 3

4 Did you know We re in great financial shape No Debt We maintain our amenities Sun City West Standards We have over $22.5 million in reserves We educate our residents Forums TORCH / Rec Center News / Website Weekly/Monthly Board Meetings We plan for the future 5 Year Financial Plan Reserve Study Both are updated yearly 4

5 We re Tax Exempt Did you know No Federal or State Corporate Taxes Reduced Property Taxes on Golf Course Properties We invest our tax savings back into the Association-- Recreational & Golf Activities Recreational & Golf Facilities Recreational & Golf Equipment 5

6 How do we go about developing the Five Year Financial Planning budget? Staff Develops Preliminary Budget: December March Budget proposed March 30, 2018 Board Meetings / Committee Meetings Public Forums: 10:00 a.m. Tuesday, April 24, in Palm Ridge s Summit Hall A 1:00 p.m. Thursday, April 26, in RHJ s Lecture Hall 5:30 p.m. Wednesday, May 2, in RHJ s Lecture Hall Formal Adoption May 24th 9 am, RHJ s Lecture Hall 6

7 Current Community Size Comparison 7

8 Current Member Dues Comparison 8

9 Membership Dues Per FY (for year ending June 30) 9

10 Association Dues and Fees Current Effective % FEE DESCRIPTION Dues & Fees July 1, 2018 Inc Owner Member Dues $ $ % Associate Member Fees $ % Landlord Additional Card $ % Tenant Activity card 1 Month % Tenant Activity card 2 Months % Tenant Activity card 3 Months % Tenant Activity card 4 Months % Tenant Activity card 5 Months % Tenant Activity card 6 Months % Tenant Activity card 7 Months % Tenant Activity card 8 Months % Tenant Activity card 9 Months % Tenant Activity card 10 Months % Tenant Activity card 11 Months % Tenant Activity card Annual % Guest Card Fee daily fee % Card Reprint Fee * % Refund Processing Fee - Dues, Fees, Golf Cards % Refund Processing Fee - All Other % Lien Filing Fee % Lien Release Fee % Seller Resale Disclosure Fee % New Owner Resale Transfer Fee % New Owner Asset Preservation Fee 3, , % New Club Application Fee *$10 per card for the first two cards reprinted, and $25 per card thereafter. 10

11 The Recreation Centers are very efficient Here are Four Reasons Why: 11

12 Golf USGA Recommends: 18 personnel/course Rec Centers has: 15 personnel/course Groundskeeper with Benefits $40,000/yr Savings/Year = $ 840,000 12

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17 Recreation Centers Cities Provide Activities Recreation Leaders Recreation Coordinators Recreation Centers: Clubs & Volunteers Class Program Self Sustaining 317,000 Estimated Hours Minimum Wage + payroll taxes) Estimated Savings $3,750,000 17

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20 Aquatic Centers: Cities Provide Activities 2 Lifeguards/Pool Recreation Centers: No Life Guards/One PT Monitor 15 hours/day per pool Estimated Savings $900,000 20

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24 Street Landscaping: Cities Landscaper with Benefits = $38,000/year Recreation Centers: Prides x $0 = $0/Years 6500 minimum estimated hours (3 FTEs) Estimated Savings $114,000 24

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27 Governing Board Responsibilities Primary responsibility is to preserve, protect, maintain, and enhance the assets of the association. Provide cash needed to function for both operations & capital expenditures Inflationary environment annual increases are expected with goal to minimize over time. Avoid need to catch-up Multi-year planning Plan for the needs of the entire community not to the vocal minority 27

28 5 year Financial Planning Duty to run the association towards a successful future. Establishing Reserve Funding Goal Funding of Reserves (cash) for Repair & Replacement expenditures New Capital expenditures Funding Operations (cash) Revenues over Expenses 28

29 5 year Financial Planning (Cont) Long Range Planning Committee Recommended (not in current 5yr plan) Library Expansion Project Property Expansion Fund Solar Covered Parking Project Recommended (included in current 5yr plan) Kuentz Renovation Grandview Irrigation Replacement SCW Entrances & removal of landscaping Bell Rd Wall Recommended Echo Mesa Irrigation (beyond 5 yrs). 29

30 Financial Model Ensure Sustainability Preservation of Assets Keep Dues & Fees Low Revenues Assessments Fees Asset Preservation Fees Expenses / Expenditures Operating Capital Reserves 30

31 Goals & Objectives - Budget Meet / Exceed Reserve Funding requirements - this budget projects a 66.7% funded level which is below the 70% funding goal established by the Governing Board in May Funding for New Capital Projects - this budget continues to fund enhancement of facilities with $2.26M in new capital projects/enhancements in budget. Financial Plan (Budget) maintains all current programs, activities, repair & maintenance standards which have contributed to National Recognition as #1 55+ Best Communities & #1 Best Value Adult Communities in the State of Arizona for

32 Goals & Objectives - Budget This budget has a 4.49% increase in Member Dues, no increase to member golf or bowling fees and, no increase to the Asset Preservation Fee (APF). Budgeted Expenses have been reviewed and adjusted based on historical trends/inflation rates adjusted for specific increases or decreases as requested by senior leaders. Many operational efficiencies have contributed to lower than historical expense growth percentages on controllable costs, management will continue to challenge operational processes and implement solutions to increase cost effectiveness. 32

33 Key Assumptions CPI 5 year Forecast Inflation Strong economy, federal fund rate increases, etc. Historical Inflation Trends RCSCW Market Basket versus CPI Reserve Funded Goal percent 70% Wage Increases Merit/Market/Min Wage Minimum Wage to $ /1/19 ($ /1/20) Dues & Fees (keep up with inflation) APF Fees & Units Flat to current levels Reserve Study Assets-Updated Roofs Replace (30yrs); Restore (10yrs) Parking Lots Mill & Resurface (30yrs) Irrigation System Replacements at all Golf Courses (30yrs) 33

34 Key Assumptions Golf Rounds-Slight increase expected with Super twilight fee reduction Maintain courses consistent with current model Recreation-maintain current hours of operation Recreation-continued program development of RHJ new aquatic center and green space 34

35 Budget Calendar 35

36 Budget Reserves Why? Fiduciary Duty Governing Documents Minimize need for Special Assessments Enhance Home Re-Sale Values Community Appearance translates to higher property values Buyers don t want to purchase homes in communities with debt or inadequate reserves. Real Estate Market Competiveness 36

37 Budget Capital Reserves Savings needed to meet targeted funding percentage (70%) Based on Reserve Study Major equipment & building elements Predict when they need repaired or replaced $$ needed to insure that maintenance and upkeep of community is kept in continuity. 37

38 Budget Capital Reserves Funding Plan collecting of funds from owners through regular and/or special assessments to fund reserve needs. Operating Cash Flow Operating Revenues Over Expenses Asset Preservation Fees Investment Earnings on Reserve Funds 38

39 Budget Capital Reserves Underfunding Biggest reasons for special assessments levied on homeowners No owner likes to pay to repair or replace something that should have been accounted for in the past. 39

40 Reserve Requirements & Funding Repair & Replacement Funding Industry standard for a strong reserve is where funding percentage is between 70 and 100%. Governing Board goal, in Spring 2017, increased goal to 70% Current % Funded as of June 30, 2017 approximately 72.7%. However. 40

41 Fixed Assets Audited Financial Statements Net Change Land 5,196,987 5,196,987 0 Water Rights 2,234,499 2,234,499 0 Land Improvements 37,544,399 39,132,058 1,587,659 Buildings 28,501,691 28,501,691 0 Building Improvements 16,567,523 17,712,501 1,144,978 Furniture & Fixtures 1,051,347 1,152, ,470 Vehicles 1,421,601 1,574, ,450 Computers 1,205,559 1,213,737 8,178 Equipment 14,383,210 15,351, ,983 Construction in Progress 536,962 2,890,459 2,353,497 Total 108,643, ,959,993 6,316,215 41

42 Fixed Assets Reserve Study by Location Life Net Change Recreation Centers RH Johnson 1-29 $ 8,564,047 $ 10,169,234 $ 1,605,187 Beardsley 1-29 $ 2,497,124 $ 3,836,614 $ 1,339,490 Kuentz 1-29 $ 2,932,284 $ 3,576,576 $ 644,292 Palm Ridge 1-24 $ 2,742,693 $ 3,574,691 $ 831,997 Total Recreation $ 16,736,148 $ 21,157,114 $ 4,420,966 $ - Sports Pavilion Division 1-29 $ 2,840,071 $ 3,592,629 $ 752,558 Golf Course Division Pebblebrook 1-25 $ 5,011,270 $ 6,043,627 $ 1,032,358 Stardust 1-24 $ 3,640,465 $ 4,870,229 $ 1,229,763 Grandview 1-35 $ 4,520,736 $ 6,091,223 $ 1,570,488 Echo Mesa 1-27 $ 4,024,553 $ 5,109,219 $ 1,084,666 Trail Ridge 1-24 $ 4,775,085 $ 5,728,298 $ 953,212 Deer Valley 1-27 $ 3,401,620 $ 5,005,351 $ 1,603,731 Desert Trails 1-27 $ 3,153,164 $ 4,812,407 $ 1,659,243 Golf General 1-7 $ 517,621 $ 637,713 $ 120,092 Total Golf Course $ 29,044,514 $ 38,298,067 $ 9,253,553 Infrastructure-General 1-24 $ 1,982,338 $ 2,427,889 $ 445,551 Total $ 50,603,070 $ 65,475,699 $ 14,872,629 42

43 Repair & Replacement Capital 43

44 Repair & Replacement Capital 44

45 Repair & Replacement Capital INCOME/EXPENDITURE PROJECTION Start of Beginning Fully Funded Percent Reserve Special Interest Reserve Ending Year Balance Balance Funded Rating Contribution Assesm. Earned Expenses Balance 2018 $22,264,363 $34,533,315 64% Fair $3,583,835 $0 $710,000 $ (3,856,343) $22,701, $22,701,855 $35,300,131 64% Fair $4,648,747 $0 $751,641 $ (3,922,962) $24,179, $24,179,281 $36,132,419 67% Fair $1,194,125 $0 $795,508 $ (5,850,554) $20,318, $20,318,359 $35,118,675 58% Fair $5,169,599 $0 $678,667 $ (3,773,518) $22,393, $22,393,107 $36,331,715 62% Fair $4,571,624 $0 $740,716 $ (3,536,142) $24,169, $24,169,305 $37,947,031 64% Fair $4,571,624 $0 $724,522 $ (5,269,329) $24,196, $24,196,122 $37,950,651 64% Fair $4,571,624 $0 $773,066 $ (2,130,923) $27,409, $27,409,890 $41,315,717 66% Fair $4,571,624 $0 $841,318 $ (4,070,540) $28,752, $28,752,292 $42,916,570 67% Fair $4,571,624 $0 $891,585 $ (3,450,044) $30,765, $30,765,457 $45,341,182 68% Fair $4,571,624 $0 $936,090 $ (4,549,952) $31,723, $31,723,219 $46,846,345 68% Fair $4,571,624 $0 $963,397 $ (4,669,954) $32,588, $32,588,286 $48,418,004 67% Fair $4,571,624 $0 $1,012,369 $ (3,179,942) $34,992, $34,992,336 $51,720,814 68% Fair $4,571,624 $0 $1,043,473 $ (5,942,748) $34,664, $34,664,685 $52,430,787 66% Fair $4,571,624 $0 $1,006,787 $ (7,699,769) $32,543, $32,543,327 $51,510,709 63% Fair $4,571,624 $0 $967,663 $ (6,029,639) $32,052, $32,052,976 $52,446,395 61% Fair $4,571,624 $0 $963,988 $ (5,290,611) $32,297, $32,297,977 $54,339,378 59% Fair $4,571,624 $0 $945,087 $ (7,023,413) $30,791, $30,791,275 $54,677,431 56% Fair $4,571,624 $0 $924,628 $ (5,355,298) $30,932, $30,932,229 $56,922,044 54% Fair $4,571,624 $0 $931,984 $ (5,153,507) $31,282, $31,282,330 $59,625,448 52% Fair $4,571,624 $0 $883,056 $ (9,070,998) $27,666, $27,666,011 $58,564,053 47% Fair $4,571,624 $0 $824,543 $ (5,685,864) $27,376, $27,376,314 $61,152,293 45% Fair $4,571,624 $0 $837,298 $ (4,267,748) $28,517, $28,517,488 $65,479,473 44% Fair $4,571,624 $0 $785,765 $ (9,938,649) $23,936, $23,936,229 $64,302,093 37% Fair $4,571,624 $0 $709,314 $ (5,803,173) $23,413, $23,413,994 $67,561,783 35% Fair $4,571,624 $0 $630,776 $ (9,922,993) $18,693, $18,693,401 $66,895,086 28% Weak $4,571,624 $0 $513,185 $ (8,213,983) $15,564, $15,564,227 $68,194,482 23% Weak $4,571,624 $0 $468,777 $ (4,875,657) $15,728, $15,728,971 $73,203,924 21% Weak $4,571,624 $0 $427,014 $ (7,951,254) $12,776, $12,776,356 $75,435,350 17% Weak $4,571,624 $0 $325,524 $ (8,719,506) $8,953, $8,953,998 $77,189,173 12% Weak $4,571,624 $0 $280,711 $ (4,021,451) $9,784,883 45

46 Repair & Replacement Capital 46

47 Repair & Replacement Capital 47

48 Repair & Replacement Capital 48

49 Repair & Replacement Capital Type RESERVE ASSET DESCRIPTION EL RUL Current Cost FFB Year Irrigation/Lakes Irrigation Mainline Valves - Replace 15 1 $ - $ $0 $0 $0 $0 Irrigation/Lakes Cirrus Central Control (GV) 10 0 $ 11,000 $ 11, $11,000 $0 $0 $0 Irrigation/Lakes Lake Aeration # $ $0 $0 $0 $0 Irrigation/Lakes Lake Aeration #11, #13, # $ - $ $0 $0 $0 $0 Irrigation/Lakes Lake Surface - Dredge (Allowance) 20 3 $ 119,405 $ 101, $0 $0 $0 $130,477 Irrigation/Lakes Lakes - Shoreline Repairs # $ 6,000 $ 4, $0 $0 $0 $6,556 Irrigation/Lakes Lakes - Shoreline Repairs # $ 10,000 $ 9, $0 $0 $0 $10,927 Irrigation/Lakes Lakes - Shoreline Repairs # $ 107,244 $ 96, $0 $0 $0 $117,188 Irrigation/Lakes Irrigation System - Refurbish 30 2 $ 1,900,000 $ 1,773, $0 $0 $2,015,710 $0 Irrigation/Lakes Lakes - Shoreline Repairs #8 PH $ 10,000 $ 8, $0 $0 $0 $0 Irrigation/Lakes Lakes - Shoreline Repairs # $ 42,488 $ 35, $0 $0 $0 $0 Irrigation/Lakes Lakes - Shoreline Repairs #13 (Island) 30 5 $ 124,630 $ 103, $0 $0 $0 $0 Irrigation/Lakes Lake Aeration #6 & # $ 20,600 $ 8, $0 $0 $0 $0 Irrigation/Lakes Fertigation Tank 15 8 $ 35,863 $ 16, $0 $0 $0 $0 Irrigation/Lakes Irrigation Pumps - Rebuild 10 8 $ 46,000 $ 9, $0 $0 $0 $0 Irrigation/Lakes 2015 GV Mainline Valve Replacement $ 29,339 $ 3, $0 $0 $0 $0 Irrigation/Lakes Pump Station - Replace $ 303,497 $ 84, $0 $0 $0 $0 Irrigation/Lakes Lakes - Shoreline Repairs # $ - $ $0 $0 $0 $0 Irrigation/Lakes Lakes - Shoreline Repairs #8 PH $ - $ $0 $0 $0 $0 49

50 Repair & Replacement Capital 50

51 Repair & Replacement Capital 51

52 Repair & Replacement Capital 52

53 Repair & Replacement Capital 53

54 Repair & Replacement Capital 54

55 Repair & Replacement Capital 55

56 Proposed Budget Summary Member dues increase 4.49%, $20 (from $445 to $465) Operating Expenses increase 5.5% over current year Budgeted cash funding from operations = $23.99M Budgeted cash expenditures for operations = $22.51M Budgeted operating cash flow from operations = $1.48M Budgeted cash funding from APF = $4.3M Budgeted capital project spending = $6.15M Projected capital reserve funds = $25.1M Projected R&R % funded = 66.7% 56

57 Operations (Excludes Depreciation) All Amounts in $ Millions FY Actual FY Actual FY Actual FY Projected FY Budget Revenues $ 21.5 $ 22.5 $ 22.7 $ 23.4 $ 24.0 Operating Expenses $ 19.7 $ 20.1 $ 20.2 $ 21.3 $ 22.5 $ 1.8 $ 2.4 $ 2.5 $ 2.1 $

58 FY Operating Revenue Sources 58

59 FY Operating Expenses by Type Operating Expenses- Excludes Capital & Depreciation 59

60 Operating Expenses Budgeted Operating Expenses % by Category 100% Employee Related Exp 0.8% 90% 2.7%, Taxes and Insurance, $572,995 Legal and Professional 1.0% 6.9%, Landscape Maintenance, $1,400,693 80% 6.9%, Repair and Maintenance, $1,464,398 Operating Expenses 1.3% 70% 12.3%, Utilities, $2,613,657 Interest & Financial Exp 1.6% 60% Equipment 2.0% 50% Supplies and Services 2.9% 40% Taxes and Insurance 30% 62.0%, Salaries, Wages, & Benefits, 13,229,959 Landscape Maintenance 20% Repair and Maintenance 10% 0% Utilities Salaries, Wages, & Benefits 60

61 Operational Efficiencies/savings HVAC Unit Replacements-Higher Efficiency LED Lighting-Lower electrical costs Metal Shop/Wood Shop/Parking Lots In-house experts accounting software reduced outside consulting expense. On-line bill payment Annual Dues Billing 61

62 Operational Changes-Salary Grades & Ranges Minimum Wage Impact Effective 1/1/17 Minimum Wage increased from $8.05 to $10.00 % increases from 5-24% Starters, Ball Pickers, Call Center, Data Entry, PA s Lead Starters & Janitors Facility Assistants, Monitors, Custodians Future Increases $ /1/18; $ /1/19; $ /1/20; Then COLA every year after that. Market Adjustment 1/1/18 Adjusted Wage scales up to Grade 19 Grades closest to minimum wage received higher increases 9-13% Range % increases decreased gradually to grade19 ( 1-2% ) Grades adjusted but no increases given Annual impact to wage scale adjustment estimated around 6% Adjust for market increases annually to keep up with min wage increases 62

63 Operational Changes-Other Parking lots/cart Paths Seal & Stripe and Slurry & Repair Old capital policy 3 yr life / $3,000 New capital policy 5 yr life / $5,000 Transition to operating expenses 100% in FY18/19 FY $242,886 FY $125,583 FY $ 36,509 FY $287,116 FY $202,996 63

64 Recreation Revenue Special Events Net Revenue slight over projected, covers budgeted Expenses Tour Revenues slight increase more tours, including overnight options Operations Salaries & Wages Merit/Market/Min Wage +7.1% CY Salaries & Wages Merit/Min Wage + 4.4% Budget Capital Beardsley--Diving Board Replace, Aquatics Hall Tile Replace, Agave Room Floor Replace 64

65 Recreation Capital Kuentz--Flooring replacement (Weavers, Leather, Craft room #5); smart fit functional trainer. Palm Ridge Activities Center door replacement, indoor dehumidification planning, Strength equipment, Pool Building monitor station/ada RH Johnson Social Hall Entry, Flooring replacement (Rip & Sew, Activities Building); clocks (aquatic center & tennis tower) Special Events Ticketing Software 65

66 For Just Over $1.25 a Day, You Have Access to: 4 Recreation Centers 7 Golf Courses 66

67 1 Sports Pavilion 30 Bowling Lanes 29 Billiards Tables 5 Shuffleboard Courts and more 1 Library 45,000 books, tapes, CDs etc. 1 Village Store 67

68 22 Tennis Courts 26 Pickleball /4 Platform Tennis Courts 6 Pools 6 Spas Bocce, Racquetball & Table Tennis 68

69 1 Softball Field Lawn Bowling 2 Dog Parks 2 Mini Golf Courses 69

70 3 Walking Tracks 4 Fitness Centers Horseshoe Pits, Children s Playground 70

71 Special Events 87 free events last year 46 fee-based events last year Park and Courtyard events Arts and Craft Fairs twice a year RHJ Great Lawn 71

72 Adult Learning provides learning opportunities for all residents 72

73 10 Ramadas, 1 Park & 1 Bandstand 1 Performance Theater 2 Restaurants & 6 Snack Shops 1 Lecture Hall 2 Ballrooms 73

74 5 Card Rooms 20 Arts & Crafts Club Rooms (including Computer Room, Woodworking & Metal Shops) Men s Club And More! 3 OR 4 TIMES THE AMENITIES OF MOST SENIOR COMMUNITIES 74

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76 Sports Pavilion Revenue No increase to fees Operations Salaries/Wages Merit/Market +7.3% C/Y Salaries/Wages Merit/Min Wage +4.3% Bud Capital Replace Shuffleboard Room Flooring Upgrade Sound System 76

77 Bowling Fees Changed Current Fees for July June 2018 Fees Proposed for July June 2019 Amt Changed Open Play - Per Line Fee Resident Open Bowling $2.50 $2.50 $0.00 Resident Open Bowling - After 8:00 pm $2.00 $2.00 $0.00 Guest and Non-Resident $3.00 $3.00 $0.00 Guest and Non-Resident - After 8:00 pm $2.40 $2.40 $0.00 Bowler Incentive Program: Discount Rates per line are for open play by league bowlers Bowler must be enrolled and active in league(s) for discount Discounts for Fall leagues will expire on April 30th. Discounts for summer leagues expire on August 30th. Bowling in 1 League - discount per line $0.20 $0.20 $0.00 Bowling in 2 Leagues - discount per line $0.25 $0.25 $0.00 Bowling in 3 Leagues - discount per line $0.35 $0.35 $0.00 League Fees CNP controlled neighborhood annual fee for September 1st to August 3st $20.00 $20.00 $0.00 CNP controlled neighborhood annual fee for January 1st to April 30th $10.00 $10.00 $0.00 (CNP names change pending Board policy approval) Other Pricing Charter Club Special - minimum of 10 club members - 3 games $5.75 $5.75 $0.00 League play - 3 games $7.40 $7.40 $0.00 Summer League Play - 3 Games $6.35 $6.35 $0.00 Annual Locker Rental $20.00 $20.00 $0.00 Shoe Rental - Resident $1.50 $1.50 $0.00 Shoe Rental - Non-Resident $1.50 $1.50 $

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79 Golf Rounds Per FY 79

80 Golf Fees Revenue History 80

81 The Financial Importance of Guest/Public Play Guest Golf Fees Budgeted at $0.95M or $34 Member Dues Savings. Public Golf Fees Budgeted at $1.12M or $40 Member Dues Savings. 81

82 Golf Operations Revenue Golf Rounds 293,000 FY18 Projected is 284,000 Decrease in Super Twilight Fees No increase to resident fees public play peak season increase $1 Operations Minimum Wage increase PA Program $106,000 (4.26 Min Wage +taxes) Enhance Golf Marketing Program Phase I complete April 2018 Phase II Budgeted FY18-19; FY

83 Golf Fees Recreation Centers of Sun City West, Inc. GOLF FEES EFFECTIVE JULY 1, 2018 TO JUNE 30, RATES SUBJECT TO CHANGE BY THE GOVERNING BOARD Fee Decrease Fee Increase July-September October November-April May June Round Type Regulation Executive Regulation Executive Regulation Executive Regulation Executive Regulation Executive Resident 18 Hole $21.00 $17.00 $30.00 $26.00 $36.00 $32.00 $30.00 $26.00 $21.00 $ Hole $14.00 $10.00 $20.00 $16.00 $22.00 $18.00 $20.00 $16.00 $14.00 $10.00 * Twilight $14.00 $10.00 $20.00 $16.00 $22.00 $18.00 $20.00 $16.00 $14.00 $10.00 ** Super Twilight $12.00 $8.00 $14.00 $11.00 $15.00 $12.00 $14.00 $11.00 $12.00 $8.00 Kachina 18 Hole $11.00 $9.00 $15.00 $13.00 $18.00 $16.00 $15.00 $13.00 $11.00 $ Hole $7.00 $5.00 $10.00 $8.00 $11.00 $9.00 $10.00 $8.00 $7.00 $5.00 * Twilight $7.00 See $5.00 $10.00 Handout $8.00 $11.00 $9.00 $10.00 $8.00 $7.00 $5.00 ** Super Twilight $6.00 $4.00 $7.00 $5.00 $8.00 $6.00 $7.00 $5.00 $6.00 $4.00 Coyote 18 Hole $16.00 $13.00 $23.00 $20.00 $27.00 $24.00 $23.00 $20.00 $16.00 $ Hole $11.00 $8.00 $15.00 $12.00 $17.00 $14.00 $15.00 $12.00 $11.00 $8.00 * Twilight $11.00 $8.00 $15.00 $12.00 $17.00 $14.00 $15.00 $12.00 $11.00 $8.00 ** Super Twilight $9.00 $6.00 $11.00 $8.00 $12.00 $9.00 $11.00 $8.00 $9.00 $6.00 Family Guest Pass Guest/Public Play Public Frequent Play Peak Times * Twilight ** Super Twilight 18 Hole $30.00 $25.00 $41.00 $36.00 $50.00 $45.00 $41.00 $36.00 $30.00 $ Hole $30.00 $25.00 $41.00 $36.00 $50.00 $45.00 $41.00 $36.00 $30.00 $ Hole $21.00 $15.00 $28.00 $23.00 $32.00 $27.00 $28.00 $23.00 $21.00 $15.00 * Twilight $21.00 $15.00 $28.00 $23.00 $32.00 $27.00 $28.00 $23.00 $21.00 $15.00 ** Super Twilight $15.00 $11.00 $20.00 $15.00 $22.00 $18.00 $20.00 $15.00 $15.00 $ Hole $16.00 $13.00 $23.00 $20.00 $27.00 $24.00 $23.00 $20.00 $16.00 $ Hole $11.00 $8.00 $15.00 $12.00 $17.00 $14.00 $15.00 $12.00 $11.00 $8.00 * Twilight $11.00 $8.00 $15.00 $12.00 $17.00 $14.00 $15.00 $12.00 $11.00 $8.00 ** Super Twilight $9.00 $6.00 $11.00 $8.00 $12.00 $9.00 $11.00 $8.00 $9.00 $6.00 Start Times 6:00 AM July & August 6:30 AM Sept Start Times 7:00 AM Start Times 7:30 AM Nov - Feb/ 7:00 AM March/6:30 AM April Start Times 6:00 AM Start Times 6:00 AM 10:30 AM Exec/11:00 AM Reg 12:00 Noon 1:00 PM Exec/2:00 PM Reg 10:30 AM Exec/11:00 AM Reg 10:30 AM Exec/11:00 AM Reg 12;30 PM Exec/1:00 PM Reg 2:00 PM 2:30 PM Exec/3:30 PM Reg 12:30 PM Exec/1:00 PM Reg 12;30 PM Exec/1:00 PM Reg Unlimited Annual Golf Card $3, Hole Golf Cart Rental - Per Person $12.00 Kachina Card $ Hole Golf Cart Rental - Per Person $6.00 Deduct $100 when Unlimited or Kachina cards are purchased within year in the same household. (Includes Twilight & Super Twilight Coyote Card $ Golf Club Rental $15.00 Public Frequent Play Card $1, Pull Cart Rental $3.00 Twilight Card $1, Range Balls $

84 Golf Maintenance Operations Current year personnel vacancies filled Trail Ridge & Stardust closed summer 2018 In-house maintenance projects Ground & sprinkler repairs Tree trimming Capital Stardust Bunker Project Desert Trails Pump Station Replace Mowers-fairway, greens, rough; Utility Vehicles, Sprayers, Bunker knife, etc. 84

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86 Golf Maintenance-Cost Control More capital projects are being done in-house. Estimated savings from the four completed bunker projects ( Trail Ridge, Deer Valley, Pebblebrook, & Grandview) is at least $600K if not closer to $750K. Grandview savings estimated at $280K. Using more liquid fertilizer. Requires no labor or additional water Bi-annual well pump inspections. Helps detect problems before they become major repair items Soil and tissue test are taken twice a year. This helps pin point exactly what nutrients are needed and how much 86

87 Golf Maintenance-Cost Control Using a Rye grass blend with 40% Intermediate seed saves.15 cents per pound. Total savings $51,000 annually Installing lake aeration reduces the number of lake treatments Share employees during over-seeding and aerification helps reduce overtime hours New products and equipment are tested before purchasing. Free of charge Using more generic brand chemicals Order materials in bulk- Seed and Fertilizer 87

88 General & Admin Operations Increase R&M expenses Buildings & Building Equip offset by lower pool operations. HR/Payroll/Timekeeping integrated systemcompliance related (e.g. P-T sick leave) Capital Security Cameras RHJ Blvd Landscape conversion to low maint-phase II Employee Timeclocks 88

89 Capital Reserve Funding Related All Amounts in $ Millions FY Actual FY Actual FY Actual FY Projected FY Budget Asset Preservation Fees $ 3.6 $ 4.1 $ 4.4 $ 4.4 $ 4.3 Investment Income- Reserves $ 0.0 $ 0.5 $ 0.9 $ 0.6 $ 0.7 Club Funding $ 0.1 $ 0.9 $ 0.5 $ 0.0 $ 0.1 Total Capital Related $ 3.7 $ 5.5 $ 5.8 $ 5.0 $

90 Capital Reserves Net Changes Purchased Water Rights RHJ Aquatic Center Kuentz Master Plan & Grandview Irrigation Sys & RHJ Parking Lot Mill & Resurface 90

91 FY Proposed Capital Budget Club Funded $ 135,000 New Capital Requests $ 2,256,200 Repair & Replacement $ 3,759,713 Total $ 6,150,913 91

92 Capital Budget Expenditures 92

93 Capital Budget Expenditures 93

94 Capital Budget Expenditures 94

95 Capital Projects New Funding RH Johnson Facility Enhancement Final Phase 425,000 Golf Operations--Administrative Office Reconfig/Renovate 210,000 Golf Maintenance --Administrative Office Expand/Remodel 155,000 Beardsley--Park Ramada Upgrade/Replace 150,000 RH Johnson--Small Dog Park Upgrade 134,000 Beardsley--Exterior Lighting (Parking, Mini-golf, Bldg Wall Packs) 133,000 Golf Maintenance--Fiber Optic/Networking 120,000 Security Cameras - Multiyear plan 75,000 RHJ Blvd - Landscape Conversion to Low Maintenance (Phase II) 75,000 Beardsley-Park Restroom Expansion 56,700 Other (28 total -$25,800 Avg) 722,500 Total 2,256,200 95

96 Facilities Enhancement Phase 2 RH Johnson Phase 2 $425,000 Phase 1 Phase 1 96

97 Facility Enhancement Phase II Replace Dangerous Sidewalks 97

98 Facility Enhancement Phase II 98

99 Facility Enhancement Small Dog Park 99

100 Capital Projects R & R Funding Tennis Facility Master Plan -- Phase II 760,497 Association -- Upgrade Phone System 260,000 Stardust Golf Course -- Bunker Project 211,150 Desert Trails Golf Course -- Pump Station Replacement 200,000 Association -- HVAC Unit Replacements 237,630 Palm Ridge -- Roof, Parapet Walls Replacement ($32k FY17-18 c/o) 108,000 Palm Ridge -- Pool Desk Resurface/Drain Replace ($42k FY17-18 c/o) 88,000 Beardsley/Kuentz -- Flat Roof - Restore 156,000 Trail Ridge - Lake Shore Repair/Driving Range T-Box Renovate 129,000 Other (66 total $24,385 Avg) 1,609,436 Total 3,759,

101 Tennis Courts Phase II 101

102 Wear and Tear Roofing Repairs/Recoating HVAC Unit Replacement 102

103 Wear and Tear 103

104 Questions