Issue link: https://imageup.uberflip.com/i/565031
| sun lakes lifestyles | sePteMBeR 2015 | 7 From the Treasurer By John Clark, Master Board Treasurer OPERATIONS Summary: The HOA's plan again projected the month's expenses would exceed revenue by a considerable margin. While expenses did exceed revenue, it was by considerably less ($46,926 including Bingo) than projected and increased the positive variance the Association has to our financial plan to a new total of $217,367 for the seven months. NON-OPERATIONS Summary: The pace of housing closing escrow continued into July with 46 closures and a seven month total of 135. The monthly average is now 19.3 versus a projected average of 13. Interest income continues at less than plan due to the funds invested in money markets in anticipation of an increase in interest rates. INCOME: Total revenue was up by $29,022. Fees associated with homes closing escrow were $31,350 more than planned for the month. Golf revenue improved in July but was still short of the plan and is now short by $59,067 for the seven months. Restaurant revenue was positive to the plan by 7.5 percent for the month. EXPENSE: As was stated last month, salary and benefits expense continue below projections but at a slower pace due to some of the positions being filled. July had a positive variance of $14,852 and, year to date, there is a positive variance of $137,655 (6.4 percent). The Association is currently involved in several legal matters with the attendant costs. July legal costs were negative to plan by $14,860. Irrigation costs for the complex continue well below what was originally projected (down $53,707 for the month and $87,547 year to date. Golf operations expense continues to run well under plan ($53,881 for the month; $107,346 for the seven months) aided by reduced irrigation costs. The cost of food, as a percentage of revenue, increased again to 48.4 percent versus the plan of 44 percent. FUNDS: The total of all funds declined by $11,785 during the month. Major Reserve expenditures included $62,424 for asphalt paving, completion of the gate system upgrade – $25,394 and the upgrade of the ballroom audio and chairs for $39,244. DELINQUENCIES: Combined delinquencies now total $46,118 through July 31 (no change from last month). Total delinquent properties total 19, or 0.57 percent of 3,327 properties (no change from last month). The average delinquency rate in California for similar associations is approximately 6 percent. FINALLY, continuing with definitions you might not have run into: BURGLARIZE - What a crook sees through; ECLIPSE - What an English barber does for a living; EYEDROPPER – Clumsy ophthalmologist. Enuf: Comments, etc., to jdclark@dc.rr.com