BOARD OF DIRECTORS MEETING MONARCH AT ROYAL HIGHLANDS, INC. December 30, 2016
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1 BOARD OF DIRECTORS MEETING MONARCH AT ROYAL HIGHLANDS, INC. December 30, 2016 A meeting of the Board of Directors of the Monarch at Royal Highlands, Inc. was held at 8:00am in the Great Hall Meeting Room. Those present: Terry Neikirk, Dick Therrien, Ann Carter, Linda Gietz, Ray Smith, Tom Bailey, Dick Sjogren and Mike Russomano. Also in attendance was Sam Floyd from Par for the Course Management, Craig Misch, Monarch Head Golf Professional and Linda Eaton, Monarch Food & Beverage Director. Diane Christie was absent. Minutes of the December 9 and December 19, 2016 meetings were approved. President Terry Neikerk Terry called the meeting to order at 8:00 AM. Treasurer s Report Linda Gietz The Monarch at Royal Highlands, Inc. Treasurer's Report 12/30/16 Account Account Type Bank APY Balance Cash - Operating - Available Checking Sun Trust 0.01% 38, Petty Cash Currency Office Safe 0.00% 1, Capital Reserve 23, * Ford Interest Advantage Note/Checking Ford Interest Advantage 1.00% 46, Non Operating Investment Account Bonds Raymond James 3.11% 40, Non Operating Investment Account CD Raymond James 0.95% - Non Operating Investment Account Cash Raymond James 0.02% 15, , Change from 12/17/16 Report (18,921.59) * The Capital Reserve account has been deducted from the checking account to reflect the correct total. Sun Trust Loan 5.15% 1,068, Linda reported that we experienced 3 payrolls in December in addition to payment of $5,000 towards grass seed outstanding balance. Secretary Tom Bailey Tom will be checking into family equity member stock certificates to clarify if names of all individuals are properly indicated on the stock certificates. We have a couple of certificates that need to be clarified with the individual members.
2 Membership Mike Russomano Mike reported on some upcoming membership conversions to equity status, new social member joining in January and 2 upcoming membership resignations. Mike Russomano motioned that the Membership Committee consist of: Mike Russomano, Michelle Penski, Ray Smith, Dick Sjogren, Marshall Leich, and Chuck Gietz. The motion was seconded by Tom Bailey. Motion Passed. Change of Status: Doug and Diana Wilson from General Family to Seasonal Family Equity effective 1/1/2017 Remaining on Leave: Bob Breen until TBD Chuck Shenot until TBD Casey Case until 3/1/2017 Ron Ambrosio until TBD Carol Smith until 4/1/2017 Don Snopik until 4/1/2017 Sally Tubbs until 2/1/2017 Judi Bouchard until TBD Ed Auger until 2/1/2017 Bob Titton until 4/1/2017 Golf Ray Smith Ray Smith motioned that the Golf Committee consist of: Ray Smith, Linda Carey, Carolyn Skorich, John Buono, Mike Russomano, Craig Misch, and Russ Koskie. Tom Bailey seconded the motion. The motion was passed. A final version of the 2017 golf calendar was distributed. Ray reported that the MMGA would assume organizing the spring and fall Men s Scramble. Ray noted that both tournaments would include pizza lunches. The spring tournament is dated for April 8. The fall date is still pending. The golf committee is planning a night golf event with details still to come. No one has stepped forward to volunteer to run the annual Paul Bunyan Tournament which has been a success in the past. With no one taking the lead, there will be no Paul Bunyan Tournament for Communication Ann Carter The numbers for the dinners from the last Board meeting through December 27th are: 12/8 Thursday Dinner Special (Meatloaf-20) 59 - $746, Bar $209 = $955 12/9 Friday Dinner Special (Trout-12) 35- $706, Bar $189 = $895 12/10 Men s Scramble 54 - $225, Bar $95 = $320 (does not incl. add l alcohol purchased) 12/11 Midwest Great Hall $1,830
3 12/13 Tuesday Dinner Special (Fried Chicken-24) (Singles Club 30)-73 - $1,075, Bar $2+62 = $1,337 12/15 Thursday Dinner Special (Stuffed Peppers-12) -17- $333, Bar $23 = $354 12/16 Friday Dinner Special (Soft Shell Crab-14) -65 $989, Bar $272 = $1,261 12/17 Birthday Bash 68 - $903, Bar $237 = $1,140 12/20 Tuesday Dinner Special (Stuffed Cabbage-19) 33- $594, Bar $296 = $890 12/21 Wednesday RH Gun Club 43 = $404, Bar, $272 = $677 12/22 Thursday Dinner Special l(sausage & Peppers-19) -61- $632, Bar $3957 = $1,027 12/23 Friday Dinner Special (Sea Scallops-35) $1490, Bar $331 = $1,821 12/27 Taste of Italy Pasta 76 - $1,404, Bar $332 = $1,737 For the period of 12/8 thru 12/27 (16 business days) pizzas were sold Average of 6/day The specials and events for the first half of January are: Tuesday s Dinners January 3 Eggplant Parmesan with Angel Hair Pasta & Roasted Tomato $12.99 January 10 Liver & Onions with Bacon, mashed potato & green beans $11.99 Thursday s Dinners January 5 Salisbury Steak with mashed potato & vegetable $11.99 January 12 Meatloaf with mashed potato & green beans $12.99 Friday s Dinners January 6 Sesame Seared Tuna with Jasmine rice and vegetable $17.99 January 13 Red Fish with rice pilaf and vegetable $16.99 Liaison In the minutes dated 12/9, the Preliminary information from our CPA shows $52,056 net income. What was the final number? A. The final number of our total Net Income was $65,568. The reason why it was so far off was because the final year-end adjustments had not been made prior to the 12/9 meeting. How can we know the revenue vs. budget figures for the restaurant on a monthly basis. A. You can get that each month on the website in the Financials that are posted. Why are we are giving 2 tee times to Golf Now each day. How is that benefit us? A. Golf Channel Solutions furnishes us the website and hosting, the ability to send out eblasts to over 3,000 addresses, (our way of communications) and also furnishes us the system for billing, property management system, and software support and tee time control. If we did not have this service, it would cost us approximately $8,000/year. They are allowed to sell 8 tee times a day in exchange for the services they provide. They are not allowed to sell a trade tee time below $12.00 in the summer or below $18.00 in the winter. The trade tee times that they do not sell, the club may
4 use with walk-in golfers. Year to date this year Golf Now sold 1391 rounds that was their payment for the services they provide. We sold 705 rounds through their system that the club set the rates and received all of that income. If we left GCS and went out on our own, the start-up cost for the purchase of new hardware and software for the club would be approximately $25,000 plus a monthly support fee. Our agreement with Golf Channel Solutions is a win, win for both of us and does not hurt the club, but enhances it in many ways. Why are we spending $5,000 for tree service? A. We are removing 2 trees on the right of #13 black, trimming 3 trees down left of fairway of #13, removing 1 tree on the right of #7 Back tee, trimming 2 trees and removing 1 on the right of #14, trimming left side of #6, #12 & #9. There is also a tree that was hit by lightning between 3 & 9 that has to come down. Our tree budget is $6,500 and we will be inside of that budget. Ann provided an updated points of contact sheet for the club that is also distributed to all new members. Board committees are posted on the web site and will be updated. Entertainment Diane Christie In Diane s absence, the board noted January entertainment will be Card Bingo on January 11 and Lori Gill on January 25. Marketing Dick Sjogren Dick Sjogren motioned that the Marketing Committee consist of: Dick Sjogren, Keith Patterson, Mike Russomano, Craig Misch and Sam Floyd. Ray Smith seconded the motion. The motion passed. Dick suggested that the pro shop institute a Twilight 9 Hole to attract late day revenue that we may be missing. Craig will post a 9 hole twilight rate on golf now.com. Grounds Committee Dick Therrien Dick Therrien motioned that the Grounds Committee consist of: Dick Therrien, Coreen Corbin, Bob Keating, Henry Maquire, Craig Misch, Sam Floyd and Terry Stephenson. Mike Russomano seconded the motion. The motion passed. Dick updated the Board on the upcoming tree trimming and removal. He also reported that sand replenishment budgeted for the fiscal year is ahead of schedule with more sand to arrive in the coming months. The committee continues to look for options to repair or replace sections of cart path. Tom Bailey asked if asphalt had been considered as an option. Sam informed that asphalt is less expensive but not as attractive over time.
5 Director of Operations Sam Floyd Sam provided year end financials to the Board. Current total assets of $2,128,528 is down from $2,211,543 year end Net income was $65,568 which is up from $19,387 year end Sam updated the board on the operations of the Crown & Shield. They are offering neighborhood catering services which will be advertised to the membership. Discussion involved ongoing profitability of the restaurant. Terry asked whether we could break out a P&L between dinners and lunches to see where we are most successful. Linda stated that they already have that information separated. The question was asked if there was anything that could be done to offer food timely for golfers making the turn on the golf course. It was decided to place call ahead menu boards at the tee boxes to #8 & #17 to prompt golfers of the opportunity to place their orders if they want to make a restaurant purchase at the turn. The board will continue to monitor restaurant operations. The annual meeting for 2017 will be held in the Crown & Shield December 18, 2017 at 7:00PM. The next board meeting will be January 13, 2017 at 8:00AM in the Great Hall Meeting Room. The meeting adjourned at 10:30AM. Respectfully Submitted, Tom Bailey, Secretary
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