(Added to website 9/6/24)
Summary Provided by RFRS Club Member
Each Committee member has been assigned one of the departments to work with to verify budget numbers, disposable assets etc. as we head to budget.
5 yr forecast is new to the finance committee. Did it in 2020 but not 2022/23
wages are 50% of our operations budget
$$$$ Presented 4 options to pay for upcoming needs over the next 5 years. Basically a carbon copy of the last 4 options with 2 of them requiring a $5 million dollar loan. Dues increases and assessments were also options. The Options with the loan were the most "efficient".
Larry Santora brought up the idea of creating a component reserve set aside in a separate account exclusively for the Preserve Course. Commonly used for large future projects to make sure the funding is available when needed.
$$$$ Once again the idea of getting our operating funds into interest bearing accounts was looked at. Seems like finance 101 no risk, high return.
By the end of the meeting there seemed to be more willingness to evaluate and be open to alternative ideas that could potentially provide additional funds to help achieve goals for the next 5 years and going forward.
Consideration that “set asides” over time from existing resources to address “extraordinary” spending requirements, still years out, is beginning to surface. The point being to exhaust funding opportunities from existing resources, Instead of, or at least prior to seeking more resident funding.
Increasing the amount of CIF fees to the reserve account for a period of time which was part of the strategy for the $4200 assessment. Increasing the CIF fee from 100% to perhaps 150%. Maximize earnings on every dollar from day one utilizing daily sweep accounts. Evaluating the threshold dollar amounts set aside for emergencies. All points of discussion