General Manager Report – March 2014
by Jan Ek
For those who heard/read my report last month, I talked about the interest other communities have shown in how we are accomplishing all that we are without incurring any debt. We plan to tell many others as well about Sun City’s success as we are working on a marketing project at this time which will produce a 3-4 minute interstitial video of interest used to fill between programs to be broadcast over PBS throughout the next year. Plus we will also produce a 30 second TV commercial which will be broadcast primetime 50 times in select cities and a 5-6 minute education documentary about Sun City AZ which we can use however we choose to promote Sun City AZ. We want others to know that our sense of community that was the foundation for Sun City AZ for the past 50-plus years is the spirit that still thrives here today!
While I make this comment consistently every month, I doubt that anyone gets tired of hearing that we have ended the month well within our operating and capital budget year-to-date. The fact that we do this month after month, year after year has a lot to do with our ability to state that we have the most facilities for the lowest annual property assessment of any community in the U.S. today! Last month I reported: “Golf’s positive variance in its net operating excess is impressive and if this trend continues, we may see one of the best years ever in the golf division!” This month is even more impressive! Thanks to good weather and good management, our golf division has ended February with the largest positive variance to budget in my tenure.
January billings went past due at a reduced rate of 5.9% which is the lowest rate in the past year. December balances went 60 days past due at slightly higher than average rate, although as a percentage, less of the 30 day balances went to 60 days past due than average. Total accounts receivable balance decreased again in February and is down by almost 5% for the year. This was the largest two month decrease in total accounts receivable in 2 years. Outstanding balances related to property transfers now represent 58% of all receivables due and 57% of past due balances.
Trustee sale notices on Sun City properties decreased in February due to a decrease in foreclosure activity and now is 39 for the end of February. The number of properties owned by lending institutions increased to 71 this month.
Resale transactions continued to be strong in February resulting in Preservation and Improvement Fees (PIF) being collected in February totaling $525,000, which is 51% more than budget. Year-to-date PIF fees are $1,090,100, which is $490,100 over budget for the year. Remember that we intentionally budget PIF fees conservatively to assure that sufficient cash is on hand when PIF projects are scheduled so we can pay as we go and remain debt free.
The bowling department is in the process of issuing contracts to all fall leagues to reserve lanes for the upcoming season, lock prices for the season, and ensure that all RCSC policies are understood. All leagues will see an increase of $0.15 per game per bowler. At $2.40 per game, RCSC still has the best value in the Phoenix metropolitan area.
The bowling department is also in the process of preparing for summer league startups which primarily start in May. This year several different types of leagues will be available: a pattern league where bowlers bowl on different lane patterns, a No-Tap league where if bowlers knock down nine pins it counts as a strike, and a Flex league where bowlers can bowl anytime lanes are available and not be committed to bowl at a certain time or on a certain day.
Columbia 300, a bowling ball manufacturer will have a Demo Day at Lakeview Lanes on April 12. Bowlers will have the opportunity to test new equipment and speak with representatives from Columbia 300. More information is available at the bowling centers.
For the past twenty five years, the RCSC bowling centers have hosted the Sun City Open Bowling Tournament. This year, the 26th annual Sun City Open will be held at both RCSC centers on the weekends of April 26 and May 3. The tournament is open to all bowlers fifty years of age and older statewide and beyond.
The March safety meeting focused on the new Globally Harmonized System of Classification & Labeling of Chemicals. As part of the Right to Know Standard (HCS), employers must have a written program, a list of hazardous materials in the workplace, Safety Data Sheets (SDS) for each chemical and acknowledgement of employee training. HCS Pictogram posters of hazardous chemicals were distributed to each work location for required on-site posting.
We have begun the 401(k) Plan valuation for the 2013 calendar year. Upon completion an independent auditor will audit the Plan and the IRS Form 5500 will be filed.
The employment section of the Corporation’s website and Intranet has been updated to include any changes including the addition of the golf maintenance staff.
Del Webb Days was a blast! Hundreds came out to enjoy the games, the shows and the gourmet food trucks! You do not want to miss this free event for RCSC Cardholders and their invited guests, so mark your calendars now for next year, it will be the third Saturday in March!
The Sun Bowl Spring Series began Sunday, March 16 and what a way to start off the season with an Eagles tribute! Likely the largest crowd in Sun City AZ history, the 7,000 in attendance enjoyed every minute of it! The professional dancers from the Utah Ballroom Dance Company provided the crowd with a sneak peak performance of what was to come in their upcoming performance when they attended the March 23 Swing Tips show at the Sun Bowl, afterwards selecting lucky members of the audience to dance with them.
The remaining Sun Bowl show for March is the Doo Wah Riders on March 30. The month of April will start with a special performance by our own Sun City Concert Band, together with an appearance by the Sun City Women’s Chorus. Please make note that this concert is on Wednesday, April 2 at 6:30 pm! Gourmet food trucks will be on site!
Back by popular demand! You be the judge! Just like on TV! Dancing with the Sun City Stars returns on Friday, March 28 at Sundial Auditorium. The show begins at 7:00pm; doors open at 6:00pm. This year’s show promises to be even better than last year’s! Selected by lottery, members of our very own dance clubs will be competing against one another. You will also delight in a performance by the Utah Ballroom Dance Company! Gourmet food trucks will be on-site for your dining pleasure 1-1/2 hours prior to show time. The event is free for RCSC Cardholders and their invited guests!
The Easter bunny will be making an appearance at our annual Easter Egg Roll, Saturday, April 19. A full petting zoo will be enjoyed by all, with miniature ponies, dwarf sheep, dwarf goats, chickens, ducks, rabbits, tortoise, turtle and…llamas! The petting zoo is being brought to us by “On Raven’s Wings” a 501(c)3, non-profit, USDA-licensed petting zoo. There will be a traditional egg hunt with candy and prizes, and we will be making crafts. Come out and share the morning with kids of all ages!
Finally we are proud to host the annual Easter Sunrise Service, Sunday, April 20 at 7:00am. Communion will be offered, bring your lawn chairs and receive the message of this beautiful day presented by Christ Church of the Valley. Happy Easter to you and yours!
For those who may not be aware, the monthly management reports are available on our website www.sunaz.com under the Corporate tab. Also, if you have not done so already, please sign up on the RCSC email list where you can designate topics of interest and stay in the loop with RCSC news alert emails! We have forms available at the table in the back so you can sign up before you leave today.