Hillcrest Country Club

Board of Directors Meeting

June 15, 2010

 

 

Present: Terry Thiessen, President; Eldon Book, Bill Corbett, Glenn Michael, Scott Richardson, Rick Goodson, Bruce Mohr, Craig Lang, and Bob Edwards Ex-Officio

 

Also present: David Elcox, Construction Committee Chairman

 

Staff present: Norris Sturgeon, Marc Wilkins, Dave Carollo, Joe Aholt, Duane Stotland, and Rosie Hale

 

President Terry Thiessen called the meeting to order at 5:30 p.m.

 

MINUTES

Rick Goodson made a motion to approve the May 2010 meeting minutes as presented. The motion was seconded and passed.

 

DELINQUENT LIST

Norris Sturgeon reviewed the delinquent list, and noted that James Davis’ membership has been terminated due to lack of payment and his lack of response.

 

FINANCIALS

Food: Sales were more than $20,000 under budget; food costs were in line. For the month, Food was $12,600 worse than budget. YTD, Food is $25,000 off budget. The pro formas for phase 2 will be off as the main kitchen will be used for receiving, prep and pool service. This will improve service to members, but will result in additional labor costs.

 

Bar: Sales were $30,500; $5,800 lower than budget. Liquor cost was high – Mike is checking to make sure there isn’t an error. For the month, the Bar was $792 off budget; YTD $13,400 better than budget.

 

Golf Shop: Green fees and cart revenues were off budget by $7,300 – weather was a definite factor. Merchandise sales were slightly lower, but were offset by the profit margin of 32.9%. Labor was on budget. Misc. Expense is from Callaway credit for demo clubs. For the month the shop was 2,400 off budget; YTD $1,100 off budget.

 

Locker Room: Income will be higher than budgeted – all ladies’ lockers have been rented, and about 20 men’s half lockers are still available.

 

Pool: Labor costs were slightly better than budget. Depreciation will start accumulating in June. For the month, the pool was $6,400 better than budget; YTD the pool is $11,000 better than budget. Much of this is due to early signups for swim team.

 

Grounds: Labor was $7,400 better than budget. Gas/oil and insecticides were slightly higher than budget. For the month, Grounds was $11,900 better than budget; YTD $29,000 better than budget.

 

Heat, Light, Power: Close to budget for the month; YTD HLP is $1,992 worse than budget.

 

Activities: Cinco de Mayo and Mothers Day were under budget. For the month, Activities was $1,900 better than budget; YTD $679 worse than budget.

 

Tennis: $800 off budget for the month; YTD $1,888 off budget.

 

Fitness: towels for the fitness center have been purchased.

 

Clubhouse: Labor was $783 higher than budget. Moving into phase 1 will impact labor in June. For the month Clubhouse was $514 off budget; YD $6,300 worse than budget – entirely due to R&M issues.

 

Administrative: Labor was $1,100 over budget for the month. The membership program and remodel has created additional work. For the month Administration was $7,100 better than budget; YTD $4,900 better than budget.

 

Dues and Other Income: New member dues in May helped the dues line in May. There will be additional increases in June and July as well. Initiation fee income will be recognized when new members make a commitment to joining.

 

Overall: Operating income for May was $37,392 better than budget. Including initiation fees, we were $36,500 worse than budget; YTD Operations are $91,673 better than budget. YTD Net Income, including initiation fees is $48,823 better than budget.

 

Construction: two change orders have been approved totaling $13,241 -$7,659 for a booster fan, and $5,582 for a sump pump.

 

CAP-EX
Glenn Michael note there have been no changes from last month.

 

CASH FLOW

Mr. Michael reviewed the cash flow. With membership at full it is estimated that the Club will have $1.2 million in cash on hand at year-end.

 

CONSTRUCTION

David Elcox, Construction Committee Chairman, reported that CCI’s architect visited last week to start the punch list. The pool is open; tennis facility looks good. Some fitness equipment is installed.

 

He noted that we have a temporary occupancy permit that will allow us to move in furnishings. Staff will do a walk-through next week.

 

Mr. Michael asked about the contingency fund. Norris said that about $288,000 has been spent to date with work approximately 70% complete. Bill Corbett asked about the budget for Phase 2. Norris said that he would get the breakdown. By August we should know if there are any discovery items in Phase 2 (after demolition).

 

Scott Richardson asked about the mechanical unit on top of the new building – it’s very visible from the course. David Elcox explained that the architect is working on a design to hide or disguise it.

 

TENNIS

Craig Lang had no report as the Tennis committee meeting was cancelled due to space constraints.

 

Duane Stotland reported that the Tennis Mixer had 57 in attendance. He said that it’s been really busy at the tennis facility.

 

Craig Lang asked to get on the schedule for a meeting room in July. Norris said that he and Marc will work on finding a room for the meeting.

 

GOLF

Rick Goodson said that the ladies events are doing well except for the weather. The Men’s Association Bylaws have not been completed yet.

 

The Golf Committee approved a change to the Outside Events Policy: the change would remove the requirement that the Board of Directors approve member sponsored events. The new amendment states that: All member sponsored events must be approved by the Golf Committee through an application submitted to the Golf Committee. Priority will be given to those applications, received in the first calendar quarter of the year (January 1 – March 31). All other applications must be submitted to the Golf Committee a minimum of thirty (30) days in advance of the event, and are subject to the approval of the Committee based upon availability of the Golf Course. There is no maximum number of events, but the Golf Committee will determine the appropriate number based upon availability of the Golf Course. Preference will be given to events that utilize the entire facility, including the food and beverage concessions. The Golf Committee may consider an application for a member sponsored event not submitted to it within the required thirty  (30) day period provided, however, that approval of the event will, in addition to other factors considered by the Golf Committee, depend up availability of the Golf Course.

 

Dave Carollo said that golf cars are being cleaned and stored in the basement, and fixtures are being moved into the shop.  Rick Goodson said that someone had suggested adding the Hillcrest CC logo to the golf cars.

 

Dropping scores were high – weather had an impact. Dave noted that it’s very difficult to get media coverage for this or any golf event.

 

GROUNDS

Joe Aholt said that staff has been busy prepping for the Invitational tournament. They are also prepping for the new landscaping.

 

Clint Travis and the Grounds Committee are reviewing the driving tee plans. Joe said he hopes to have costs, etc. by the July meeting.

 

Bob Edwards asked about the agronomy plan. Norris said that Rosie will email it out to the Board.

 

ACTIVITIES

Bruce Mohr noted there were some savings this month, but the grand opening of the new Athletic Building will blow the budget.

 

He announced that the Hit ‘n’ Giggle has been moved to August 13 so as not to conflict with The Skunk couples event, and encouraged board members to participate.

 

Marc Wilkins announced the Club’s 4th of July celebration.

 

MEMBERSHIP

Eldon Book made a motion to approve 19 new members for posting: Elizabeth Carter, Frances Ellsworth, Jack Hetherington, Michael Homan (Social), Michael Lukes, Marshall Murrin, Carl Pennington, Scott Crownover, Nels Mitchell, Ron Maitoza, Ivan Sudac, Nick Crawford, Travis Willoughby, Ric Gale, Dick Zickuhr, Dan Rollinger, Ben Pape, Janet Morris, Taylor Horst (Social). The motion was seconded and passed.

 

Mr. Book said that the Committee suggested the promotion be extended, due to the poor weather during most of the promotion. Norris suggested extending it to the end of the month (June 30). Eldon made a motion to approve extending the promotion through the end of June. The motion seconded and passed. Norris said that notice of the extension will go out by both mail and email.

 

HOUSE

Scott Richardson said that staff is gearing up for the grand opening party, and encouraged Board members to talk it up to everyone. Norris is drafting a letter to the members.

 

Board members agreed that jeans will be allowed at the pool (along with the Athletic Building) starting July 1. Scott announced that Mike Walker, Bar Manager, was able to get eight beers on tap in the new 19th Hole. There were a couple of complaints regarding food and bar service, and it was suggested that management staff work with the service staff to ensure great service for the grand opening.

 

A new menu “The Turn” will be located at #8 tee box for phone-in orders from the course. Chef O’Leary is working to control prices on Sunday Brunch and Twilight League buffet.

 

Mr. Richardson stated that the Club received a very complimentary letter from Mrs. Rudd about her daughter’s wedding event at the Club earlier this month – 218 people attended the event.

 

Marc Wilkins reported that approximately 200 people attended the grand opening of the pool. Our new pool manager, Reid Peterson, is doing a great job.

 

Marc said that one Bar Cart is permanently out of service. He said that he recently experimented with drink stations on the course and it received very positive comments. He said that a new cart may need to be added to the 2011 Cap-Ex.

 

Norris said that there was a pool rescue on Monday, and the parent was very complimentary about staff response. Changes have been implemented requiring two guards on duty at all times, and guard locations have been changed for better oversight.

 

INVITATIONAL

Bill Corbett reported the field is full and everything is ready to go.

 

BOISE OPEN

Norris said he will try to set a meeting with Patrick Siver when he’s in town next week.

 

LONG RANGE PLANNING

Bob Edwards announced the committee’s first meeting will be June 22nd at 5:30 p.m. He said they will take input from the committee and submit a report to the Board in August.

 

BYLAWS

Rick Goodson stated that he has been approached regarding privileges of Social and Privileged members. Discussion followed. The Board will take this under review.

 

JUNIOR COMMITTEE

Bruce Mohr said that he will meet with Jason Coronado next week. He said that they have been struggling with the need for a committee as family and junior events are being well attended. He added that they do want to get new members more involved – maybe using focus groups and informal polling.

 

GENERAL MANAGER’S REPORT

Norris said that the letter on the Grand Opening of the Athletic Building will go out either Wednesday or Thursday. The pool will be open for the grand opening and there will be a food station there as well.

 

Norris said the letter to the membership will also include:

 

Norris stated that the website work to date was reviewed by staff and members including Jim Stephens and J.T. Jones. He said that everyone was asked to provide input on the design for the next phase of the project.

 

PRESIDENT’S REPORT

Terry Thiessen encouraged Board members to attend the Grand Opening Party.

 

TPC’s GM will try to attend the Boise Open – he wants to see how we handle the Pepsi Pavilion, food & bar stations, and how ticket sales for charity works.

 

Bob Edwards announced that Ryan Yaekel, CCI, is doing an article on Hillcrest for a national publication that he writes for.

 

Regarding the recent email solicitation by Scott R. Johnson, Scott P. Johnson would like to email the membership and let them know that the solicitation wasn’t from him. Board members agreed. While there is nothing in our current Bylaws about soliciting the membership, it has always been understood that it’s not appropriate. It was suggested that something should be added to the Bylaws.

 

With no additional business the meeting was adjourned at 7:55 p.m.