Finance Committee Minutes: March 21, 2017

Hidden Valley Lake Finance Committee
Meeting Minutes
March 21, 2017

Members Present: John Reiniger, Linda Hartmann, Jennifer Reuter, Mary Anna Taylor, and Bonnie Starks

Members Absent: Kyle Packer

Board Liaison: Bob Starks

Guests: Bruce Keller, Pat Hawkins, Bill Donlin

Review of 2016 Draft Audit Report

HVL outside auditor Bill Donlin reviewed the draft of the 2016-2015 Consolidated Audit Report, Audit Conclusions and the Management Recommendations letter. Items of note include the impact of the sale of the old golf carts (Cash), the purchase/financing of new golf carts (Equipment and Long-Term Debt) and the purchase of a new pickup and 3 police vehicles (Equipment). Increases to both the Accounts Payables and Accounts Receivable accounts indicated that the payable amount from HVGC to HVLPOA had not been eliminated from the consolidated numbers. Mr. Donlin verified that this was correct ($43,000) and would be corrected in the final report.

The opinion of Mr. Donlin in The Report of Independent Auditors is that the consolidated financial statements fairly represent the financial position of the HVLPOA.

Pending: Mr. Donlin to provide a summary of major additions to asset accounts. (done, Mar 23)

Approval of the 2016-2015 Consolidated Audit Report

Motion by: Bonnie Starks made the motion subject to the corrected of the $43,000 consolidation correction (done, Mar 23)

Second by: Mary Anna Taylor

Voting Record: approved unanimously

Approval of the December Finance Committee Minutes 

Motion by: Jennifer Reuter

Second by: Mary Anna Taylor

Voting record: Ayes: Mary Anna, Bonnie, Jennifer, John. Abstaining: Linda; approved

Review and Approval of the December, 2016 and January and February, 2017 Financial Reports (questions in Appendices)

Motion by: Jennifer Reuter

Second by: Bonnie Starks

Voting record: All in favor

Report from Bruce Keller – Bruce said that 4 new floating docks would be installed this year (3 at Cove Circle, 1 at Sandamont)

Report from Bob Starks – Bob discussed the purchase of 21 acres off Georgetown and potential uses for the land. Bob and Bruce also discussed the internal control procedures related to accounts payable processing. Bruce is to bring in an example next month.

Old Business: none

New Business: Jen will review golf course statements next month. 

Motion to Adjourn

Motion by: Bonnie Starks

Second by: Mary Anna Taylor  

Voting record: All in Favor

Meeting adjourned at 7:44 p.m.

NEXT MEETING TO BE (tentatively) HELD ON TUESDAY, April 18, 2017 at 6:00

Appendix A – Questions on February Financials

Questions – John R.

  • Year to date it looks great to see we are ahead of budget by $32,000!  Yea team, or am I missing something here?
  • Cash is up $75,000 from last year!  Yea team, or do we have a lot of outstanding payables?
  • No salt/sand cost this year, last year or budget.  Can we anticipate a savings to the budget for 2017? No additional salt purchases were required due to the mild winter. We do have contractual obligations each year.
  • I noticed on the cash report we went from $75,000 to $83,000.  Is this due to the audit and a new number? Due in part to new prepaid dues procedures.
  • With now having prepaid dues, would there not be more dues/assessments income since they are now prepaying dues for the year 2017?
  • Will Rumpke costs be down each month for the rest of 2017? Expected increase of 2.5% in April per contract
  • For Jen: When will the comparative income statement for 2016/2015 be available for the golf course?

Question – Bonnie S. please explain the Pharm Savings Acct. entries in 2017 statements. Bruce indicated that this was part of the employee health care package that was renegotiated for this year.

Appendix B – Supplemental questions on the HVCG income statement (March 23)

Questions – John R.

  • In looking at your HVLGC –Cash flow report, I have a few questions/comments, of course.
  • Do we have a new budget for 2017?
  • The income number of $644,000 for 2016 looks good for 2016 but after deducting the extraordinary sale of equipment item, the revised total is $550,000 or a loss to 2016 budget of $32,000 but still ahead to 2015 total by $8,000. Is this a positive trend for 2017?
  • Why no general liability insurance in 2016?
  • Why no personal property tax in 2016?
  • In the professional, legal and accounting fees, does this include charges for Mr. Donlin services only or do we have legal fees included?
  • So the HVLGC cash flow without the sale of equipment is $22,000, only $5,000 off the budget but $13,000 ahead of 2015.  YEA!
  • I am confused, so what’s new, about the last item on the cash flow report. It is in regards to the escrow information. You are stating on the cash flow information at the bottom of the page the need for 2017 escrow is $123,000 but the escrow report show a budget or accrual of $65,000 for 2017.  Are excess funds available for escrow projects? Also on the report there is an allocation of $58,000, a red negative number, in the Irrigation category and Summary totals, but the red number was not subtracted, but rather added to the irrigation category. Also in adding the totals of the summary for 2017, I do not come up with the same total you have. Like I said at the beginning, “I am confused”.

Now is the best time to sign up for Automatic Monthly Dues Payments

  • Pay your January 2024 dues in full by 1/31/2024.
  • Fill out the form to begin monthly payments toward your July 2024 dues on the 15th of each month beginning February 15th.

Sign up forms need to be received by February 7th, 2024.

Email to, send by mail, place in the secure drop box, or bring into the POA office.

Example of a monthly payment:  If your semi-annual dues are $563.50 your monthly automatic payments will be $ 93.92 each month.