|
Golf Course Operations Fund -The financial position of the golf course operations
<br />has improved from the original budget estimates. Revenues are estimated to exceed
<br />the budget projection by $426,377 and expenses are estimated to be $28,409 less than
<br />budget. The following schedule shows the recommended adjustments to reflect the
<br />revised estimates.
<br />Table 4. Golf Course O erations Fund Revised Estimates
<br />•
<br />Revenue !,
<br />Green Fees $ 2,492,490 $ 2,736,305 $ 243,815 ',
<br />Other Revenue 1.565.504 1,748,066 182,562
<br />(Total Revenue I $ 4.057.994 I $ 4.484.371 I $ 426.377 I
<br />Expenses
<br />Wages $ 1,379,488 $ 1,409,117 $ 29,629
<br />Materials & Supplies 822,681 759,513 (63,168)
<br />Services 495,616 532,832 37,216
<br />Leases 244,506 228,517 (15,989)
<br />Water 370,600 344,987 (25,613)
<br />Mana ement Fees 158 863 168 379 9 516
<br />Total Ex enses $ 3,471,754 $ 3,443,345 $ 28,409
<br />Net Income $ 586,240 $ 1,041,026 $ 454,786
<br />Green Fee revenues are increased $243,815 to reflect original projected rounds of
<br />65,000 increased to over 70,000. Average green fee collected per golfer is
<br />approximately $38.75. Other Golf Revenues are increased $182,562 due to (1) an
<br />increase in cart rental income ($54,000) reflecting the 5,000 additional golf rounds over
<br />the original projections (2) additional food and beverage sales ($125,521) in part due to
<br />additional golf rounds and partly due to higher than anticipated lunch traffic from non-
<br />golfers.
<br />Wage expense is increased $29,629 reflecting more hours worked from hourly
<br />employees due to the increased rounds (additional food and beverage hours, additional
<br />maintenance hours). Salaried wages were actually less than budgeted reflecting two
<br />key management positions that were vacant for part of the year. Materials and Supplies
<br />expense is decreased $63,168 mainly due to less than expected expenditures for
<br />maintenance materials (seed, gravel, chemicals and replacement plants) and minor
<br />furniture fixtures and equipment. Service expenses are increased $37,216 due to an
<br />increase in environmental mitigation expense, garbage and debris removal, and
<br />contract services. Water (irrigation) expense is decreased $25,613 mostly due to
<br />weather related factors (cooler summer, wetter winter).
<br />Funds for debt service include a $2 million golf debt service reserve in the General Fund
<br />reserve, and a projected $1.1 million reserve at the end of FY 2008-09. This would
<br />Page 5 of 10
<br />
|