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OperatiOns suMMary: July was pretty much the same story as the preceding two months, with expenses exceeding income (as expected) but by a larger amount ($16,484) than the plan (not expected). Year to date revenue continues to exceed expense (by $139,218) and the Association still has a positive variance to the plan ($87,417). nOn-OperatiOns: Fourteen homes closed escrow during the month bringing the total for the six months to 92 or an average of 13.1 per month compared to the 17.2 per month of 2013. The plan anticipated an average of 14.4 per month. Significant items include: Salary and related expenses for all operations continue to run less than planned primarily due to open positions. For the seven months the expense is now $79,439 less than planned. Revenue from golf course annual dues booked in July was $29,511 less than planned. This is essentially an accounting issue and, earlier in this year, accounted for some of the positive variance to plan the Association is currently showing. It is anticipated that this will gradually correct through the latter part of the year (however annual sign ups were still less than anticipated). Daily green fee revenue (homeowners and guests) was ahead of plan for the month. Irrigation expense for golf was $5,874 over the $169,511 planned. Year to date expenses are well below plan with the exception of irrigation costs which are now over plan by $52,787. The total operation has a negative variance to plan of $33,893. Food and Beverage revenue was up 6.6 percent for the month with much of the increase coming from higher breakfast and lunch sales. Cost of food continues under control. The combination of increased revenue and lower expense than anticipated has resulted in the operation's positive variance to plan of $12,675 through the seven months. funds: The total of all funds (Capital Improvement, Maintenance Reserves and HO Equity) decreased by $49,537 during the month. Reserve expenditures (there were no Capital Improvement expenditures) amounted to $115,208 with the main items being completion of the mailbox program, ordering furniture for the lounge and bar, carpeting for the South Clubhouse, tennis court awnings and benches and sound equipment for the North Clubhouse. For those not sure, funding for Maintenance Reserves comes from $41.06 allocated from the monthly assessment plus interest income. The HO (homeowner) Equity represents accumulated surpluses from prior years (adjusted for transfers into this year) plus or minus the difference between income and expenses for this year. delinquencies: Monthly activity consisted of three homeowners receiving a monthly reminder letter and 15 owners receiving pre-lien/intent to lien letters. Cumulative activity totals are: Eight owners have a lien placed against their Sun Lakes property ($16,865); 14 owners are at the Association's collection attorneys totaling $74,967 in assessments. Last month there were 18 owners and $102,486 outstanding in assessments. There are now 40 delinquent properties totaling $109,460 (as compared 34 and $123,299 last month). Finally, for those who enjoy lexophiles: 'A will is a dead giveaway' and 'When she saw her first strands of grey hair she thought she'd dye'. Enuf: Comments, etc., to jdclark@dc.rr.com CoMMunIty news | sun lakes lIfestyles | sePteMBeR 2014 | 5 From the Treasurer By John Clark, Master Board Treasurer

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