by Jan Ek
Financial Report:
While we have ended the year well within our budget for 2012, for those of you who were in attendance this last Saturday, January 26, at the Annual Membership Meeting, during the 2013 budget presentation I pointed out how both capital and repairs & maintenance (R&M) projects work which is important to understand. The money budgeted for capital and R&M projects is held for that project until the project is either completed or cancelled. While we have been able to complete an enormous amount of projects in 2012, some of these projects were budgeted in previous years. Likewise not all projects budgeted in 2012 were able to be concluded this past year. However, the money budgeted will be held for those projects until they are either finished or cancelled. Therefore, we typically will have, and should have, a net excess and positive variance from budget. Remember also, that excess is intentionally budgeted to fund the capital (not Preservation & Improvement Fund) projects.
Bowling Centers:
Recently, the Bowling Department hired Di Tormanen as Bowling League Coordinator for the RCSC Bowling Centers. Di’s duties will include soliciting, organizing and coordinating all summer and winter leagues. Di will also coordinate promotional programs, tournaments and events in addition to developing plans for starting new leagues and strengthening existing leagues. Di will report directly to the Director of Bowling Operations, Randy Johnson, and together they will be meeting with all league officers starting in February.
Di retired after thirty-one years at Glenfair Lanes and is current President of the Metro Phoenix USBC. Di is well respected in the bowling industry and the RCSC bowling staff is looking forward to working with her.
Cardholder Services:
Payments made by property owners in outside collections totaled $9,076 in December with payments from 11 property owners. During December our internal collector processed payments from past due property owners totaling $46,081 and property related transfer fees totaling $190,551.
The payments on past due assessments in December were the lowest amount for the year. November billings went past due at a 7.0% rate, which is 10% below average. The rate for October balances going over 60 days past due was up at 6.1%, and is 36% higher than the monthly average for 2012. As a result of the lower payment rates in December, past due balances increased 2.4% in the last month. Although traditionally not the case, December was a very poor month for collection of assessments due.
At the end of December, outstanding balances related to property transfers decreased by almost 10% and represent 52% of both receivables due and past due balances. The most significant area of accounts receivables increase are the fees related to past due accounts which increased by $35,130, or 17.2%, over the 2011 year end balances. While we have continued our internal efforts in collection of past due accounts, we have begun working with an outside collection firm that specializes in the collection of assessments. The fees charged for this external collection process will be paid by those who require this service, and as a result the cost of not paying your assessment to RCSC in a timely manner will be considerably higher.
Overall accounts receivables due at the end of 2012 decreased by a mere $81 compared to the end of 2011 balances. Past due balances increased $93,562, or 9.8%, over the end of 2011, while the number of property owners with past due balances decreased by 4.5% Most notably we have seen a shift from under 30 day balances to the over 60 and over 90 day categories from 2011 to 2012.
Trustee sale notices on Sun City properties remained the same in December and the number of properties owned by lending institutions decreased to 77 which is down almost 25% from the end of 2011
The Preservation and Improvement Fees collected in December were $257,000 over budget. For the end of the year the total Preservation and Improvement Fees collected were $2,839,075, or 72%, over budget. Again, it is important that I remind you that we conservatively budget PIF and transfer fees intentionally to insure that funds are available for PIF projects, as RCSC does not incur debt; we pay for all projects as they are completed.
Human Resources:
Effective January 1, 2013, the amount employers may pay their employees for business travel was increased by the IRS to 56.5 cents per mile from the previous 55.5 cents per mile. RCSC increased travel reimbursement to the new rate for employees who must use their own private vehicles for business purposes and have revised the Travel Reimbursement policy.
At a public meeting held on October 17, 2012, the Industrial Commission of Arizona determined that Arizona’s minimum wage of $7.65 per hour would be increased by $0.15 cents to $7.80 for calendar year 2013. RCSC employees whose hourly rate was below the new Arizona State minimum received an increase to that amount for work performed as of that date and thereafter. Arizona voters enacted the Raise the Minimum Wage for Working Arizonans Act in 2006. The Act provides for an annual increase based on the increase in the cost of living.
Seven states announced minimum wage increases on January 1 including; Arizona, Florida, Montana, Ohio, Oregon, Rhode Island, and Washington. Colorado, Missouri and Vermont were pending. State minimum wages range from $7.79 to $9.19 per hour. Federal Minimum wage remains at $7.25 per hour.
RCSC implemented the revised pay ranges that went into effective on January 1, 2013. As previously reported, the new pay categories and pay ranges were approved after an extensive review of comparable wages. Employees paid less than the new starting rates were increased to that amount on January 1.
Events & Entertainment:
COME AND DISCOVER ALL SUN CITY HAS TO OFFER ~ 2013 SUN CITY ORIENTATION ~ WEDNESDAY, FEBRUARY 6th
There is a 9am session and a 7pm Session. Refreshments will be served at both.
Learn about Sun City’s history, the facilities, amenities, and services that are available to all residents. Representatives from many Sun City area organizations and clubs will be on hand to present and answer questions. See why Sun City offers a lifestyle unlike anywhere else.
BE A PART OF HISTORY and CELEBRATE the FIRST ANNUAL DEL WEBB DAYS ~ “Where the Vision Lives On” ~ SATURDAY, MARCH 2ND
For more than 50 years, Sun City’s unique culture and community has offered limitless opportunities. Come celebrate a day and evening of events that are sure to inspire, excite and entertain Sun City’s most precious assets ~ YOU our residents!
At 1pm gourmet food trucks, Burgers Amore and DGP Gourmet Fry Bread, 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 to discover their passion and embrace a life of purpose and meaning will take the stage 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!
UPCOMING SHOWS & ENTERTAINMENT
We have some great entertainment coming in February and March to this Sundial auditorium: New West, western swing with a blend of cowboy music and comedy; Jamaican Me Laugh, starring Jamaica’s top comedian ventriloquist, Patrick Murry, with Matilda; and Face to Face, the ultimate tribute to Billy Joel and Elton John. Get your tickets for these shows today at the Clubs & Activities Office.
The Sunbowl shows, in our outdoor amphitheater will start up again on Sunday, March 17th with the Swing Sisters, a female vocal trio specializing in the music of the 40’s, 50’s & 60’s; followed by The Stroughton Norwegian Dancers the following Sunday with authentic Scandinavian dances, gymnastics and a dash of humor; and ending in March with Joe Bourne’s Motown Show.
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.