General Manager Report – February 2013

by Jan Ek 

Financial Report:

While we have started out 2013 well within our operating budget, total revenue for the corporation was $20,161 less than budget and $28,979 less than last year.  Golf revenue, and likewise, food and beverage revenue took a significant hit in January 2013, primarily due to our cold temps.  Nonetheless, expense reduction in general operating expenses, wages, taxes and benefits resulted in an overall positive variance from budget for January 2013. 

Bowling Centers:

The bowling division has begun a more aggressive approach to recruiting and retaining bowlers; Di Tormanen, League Coordinator, and Randy Johnson, Director of Bowling Operations, have been visiting leagues and handing out surveys to evaluate what the leagues strengths and weaknesses are.  The survey also asks each bowler if they are returning next season.

Beginning in late March 2013, the bowling division will begin the process of replacing the lower automatic scoring monitors (which are currently 13”) with 15” flat panel monitors.  The current monitors are fourteen years old and have become cost prohibitive to maintain due to replacement availability and repair costs.

Cardholder Services:

Payments made by property owners in outside collections totaled $2,840 in January with payments from 13 property owners.  This reduction in payments is related to the transition to a new outside collections firm.

The payments on past due assessments in January bounced back from the previous 3 month lows and were 10% above the monthly average for the past year.  December billings went past due at a 7.5% rate and the rate for November balances going over 60 days past due was down at 4.4%.  As a result of the greater payment rates in January, past due balances decreased for the first time in 3 months.

At the end of January, outstanding balances related to property transfers increased just over 6% and represent 54% of receivables due and 52% of past due balances. This increase related to property transfers offset the increased payments and resulted in a net increase in receivables of 2.4% this month.

January is historically a very active month for privilege card activity in the Cardholder Services Office.  This January was consistent with historical trends with significant privilege card sales.   Annual privilege card sales were up 14% over last January while short term privilege cards increased just 4%.  Compared to last year we have seen a shift from 180 day cards in favor of the shorter 30 day cards.  Counting all changes, the net privilege card revenue was up 8% from last year.

Trustee sale notices on Sun City properties remained relatively unchanged at 96 for the end of January.  The number of properties owned by lending institutions decreased slightly to 79 during this month.

The Preservation and Improvement Fees collected in January were $495,000 with the resale activity being much higher this January than in previous years. 

Human Resources:

RCSC was randomly selected again this year by the U.S. Department of Labor, Bureau of Labor Statistics, to complete a survey of 2012 Occupational Injuries and Illnesses for all RCSC work locations. The voluntary response is required by law to be submitted within 30 days of receipt. The report has been completed and submitted.

In February 2005, RCSC was informed of eligibility to participate in a settlement agreement established by a former brokerage firm that provided insurance services to us as a client of employee insurance benefits. Eligible clients were entitled to receive a portion of the Fund without having to prove fault, harm or wrongdoing. The firm had been charged with “bid rigging,” improperly steering insurance placements to insurers who paid them contingent commissions.

Those who chose not to participate in the Settlement Agreement left the door open to a class action law suit in the event one ever materialized, which it did not. RCSC chose to participate in the settlement agreement by completing and submitting necessary paperwork. Late last week we received a check that represents our pro rata portion of the Insurance Brokerage Settlement Fund in the amount of $44,681.04. While not all clients participated in the settlement agreement, their share of funds were included in the distribution to those who chose the settlement agreement.

We are in the process of reviewing RCSC’s employee 401(k) plan to assure we are providing the best investment vehicles possible for employees. We have asked two investments firms to provide an analysis of the plan. Reviewing the plan periodically is now a requirement showing due diligence on behalf of the Corporation.

Events & Entertainment:

BE A PART OF HISTORY and CELEBRATE the FIRST ANNUAL DEL WEBB DAYS ~

“Where the Vision Lives On” ~ Saturday, March 2ND at Sundial

At 1pm gourmet food trucks will begin selling their delectable creations, along with LuLu’s Italian Ice, made from fresh seasonal fruit and Stephanie’s Popcorn Palace with 105 different flavors of popcorn.  Cold beverages, including beer on tap and wine, will also be available for purchase.

The beloved Guy Pennacchico, with his tribute to Frank Sinatra will be swooning the ladies and getting the men on their feet to dance at 2pm.

Hall of Fame speaker, LaDonna Gatlin, with her finely-tuned voice and sharp wit will ignite the audience at 4:30pm.  LaDonna is also a resident of a Del Webb community.

And from 7pm to 10pm, you will not want to miss The Real Tones, who packed the house at the Sunbowl with their 50’s and 60’s music, as they take you back to that great music of yesteryear.

Mark your calendars – March 2nd starting at 1pm with great food – come and enjoy, it’s free!

DANCING WITH THE SUN CITY STARS ~ March 27th, 7:00pm at Sundial

This is sure to be the event of the season and it’s free!  Come watch Jim Brasher, Board President, Dan Hill, Board VP, Bill Pearson, Board member, Marion Krell, Director of Human Resources, Theresa Cirino, Director of Events and Entertainment and myself, pair up and dance with professional dancers as they compete for the coveted Mirrored Ball Trophy.   You come be the judge!

ANNUAL EASTER EGG HUNT & FESTIVITES ~ Saturday March 30th, 9:00am at Sun Bowl

Free fun for all ages; kids ages 3-6 hunt for eggs; face painting; story telling; make Easter Bonnets; meet the Easter Bunny and play with the baby bunnies and baby Chicks at the Petting Zoo, courtesy of Pratt’s Pets.

UPCOMING SHOWS & ENTERTAINMENT

Sundial

We have some great entertainment coming in March and April to the Sundial auditorium Face to Face, the ultimate tribute to Billy Joel and Elton John, Wed. March 13th@ 7:00 pm.

Just added, Nicole Pesce Quartet, Wed. April 10th @ 7:00 pm.  Nicole is recognized as one of the “top ten musicians to hear in Phoenix” by the Arizona Republic.

Get your tickets for these shows today at the Clubs & Activities Office.

Sun Bowl

The Sun Bowl shows, in our outdoor amphitheater will start up again on Sunday, March 17th at 6:30pm with the Swing Sisters; followed by The Stroughton Norwegian Dancers the following Sunday, also at 6:30 pm, and ending the March shows on Sunday, March 31st @ 7:00pm with the Joe Bourne’s Motown Show.

All Sun Bowl shows are free and you bring your own chair or blanket.  We have added, for all the Sun Bowl shows, Gourmet Food Vendors providing a wide variety of food for your enjoyment.  All vendors will be set up and ready to serve 1½ prior to show times.

General:

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.