2007-06-26
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FNCINITAS
II
CITY OF ENCINITAS
ENCINITAS RANCH GOLF AUTHORITY
MINUTES OF SPECIAL MEETING
Golf Course Clubhouse
Quail Gardens Drive
TUESDAY, JUNE 26, 2007 at 3:00 p.m.
CALL TO ORDER/ROLL CALL
Chairman Kaiser called the meeting to order at 3 :07 p.m.
DIRECTORS PRESENT:
Edward Kaiser, Phil Cotton, and Chris Hazeltine.
DIRECTORS ABSENT:
Cindy Jacobs and Peter Cota-Robles.
ALSO PRESENT:
John McNair, Rod Linville, Kent Graff and Paul Reed, JC Resorts;
Bill Dean, Member of Public; Jay Lembach, ERGA Treasurer;
Jennifer Smith, Pat Drew, City Staff and Board Secretary Joan
Woods.
ORAL COMMUNICATION
None.
REGULAR AGENDA
1. Approve Minutes of Special Meeting of May 15, 2007 and Special Meeting of May 25,
2007.
Director Cotton moved approval of the minutes of the May 15, 2007 meeting seconded
by Director Hazeltine. Approved 3-0-2 (Jacob and Cota-Robles).
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2. Review Summary of Revenues and ExpenditureslFinancial Statement/update on Capital
Reserves for May and June, 2007 (if available). (Rod Linville/John McNair)
Mr. Linville reviewed the summary of the May financial report.
Revenues for the month were $425,037 compared to a budget of $465,670 or 92% of
budget; Expenditures were $342,271 compared to a budget of $322,445 or 106% of budget;
Income for the month was $82,766 compared to a budget of $143,225 or 58% of budget;
Total Rounds were 6,175 compared to a budget of 6,725 or 92% of budget.
The June financial numbers were not available. There was no Capital Reserve report.
President Paul Reed of JC Resorts joined the meeting.
3. Explanation to the Board of how the $300,000 Loan from the Operating Fund money is
going to be distributed and paid back. (Kent Graff/John McNair)
Mr. Graff reviewed the summary of the expenses and payments for the Clubhouse
Expansion Report dated as of 5/31/07.
Mr. McNair requested that Jennifer Smith, city's Finance Director, coordinate the cash
numbers with Nancy Sullivan, the Board's Accounting person, when she returns from
vacation.
Bill Dean asked a question about the source of funds to pay Leases 9 and 10 through
7/15/07. Mr. Graff and Mr. McNair explained how they budgeted for Leases 9 and 10
(which were formerly 1 and 2). He said that for the next meeting JC Resorts will work to
get the cash on the same page. Mr. Lembach said that the auditors will also want to review
the leases.
4. Review and Approve the Amendment to the Lease and Concession Agreement for the Cafe
to adjust room rental charges. (John McNair)
Mr. McNair presented the Amendment to the Lease and Concession Agreement for the Cafe
to adjust room rental charges to be 100% to ERGA, less set-up and breakdown costs.
ERGA receives 20% of gross revenues of The Grill and will now receive in addition 100%
of room rental charges.
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Chairman Kaiser moved to have the Amendment to the Lease and Concession
Agreement reviewed by General Council and to authorize the Chairman or Director
Hazeltine to execute Agreement on behalf of ERGA for expediency purposes. The
Motion was seconded by Director Hazeltine. Approved 3-0-2 (Jacob and Cota-
Robles).
5.
Report on Course Enhancements.
(Kent Graff)
Mr. Graff reported on the Course Enhancements. One of the Course Enhancements had
been completed with the Clubhouse Expansion Project. Mr. Graff proposed the Board
review additional enhancements: improving the widening of golf cart paths in certain areas,
parking lot lighting and providing a covering over the filling depot equipment for proactive
storm water pollution control.
Mr. Linville discussed another future Course Enhancement in the review of current and
proposed leases for the golf carts. The current leases are with E-Z-Go maturing in March of
2008. Director Hazeltine suggested this item be agendized for the next Board meeting.
6.
Update on Status of Clubhouse Improvements.
(John McNair/Kent Graff)
Mr. Graff reported that the Clubhouse was complete.
7.
Update on Cell Tower Discussions.
(John McNair)
Mr. McNair reported there have been no new developments.
8.
Incidents and Accidents.
(Rod Linville)
Mr. Linville said he had nothing to report for the month.
9. Directors and/or Manager Reports
[For reported topics not described on this agenda, State law prohibits Board
discussion, responses, and action. A Board member may ask questions, but only to
clarify what the speaker is reporting.]
Mr. McNair presented Pat Drew with a gift for her retirement as Board Secretary.
Director Hazeltine presented a letter from Alex Kyman, a member of the Men's Club,
requesting a review of senior rates. Director Hazeltine stated he would respond that the
Board had considered his request and determined to not take any action.
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10. Next Meeting - Tuesday, July 24,2007 at 4:00 p.m. at City Hall.
11. Adjournment.
Chairman Kaiser adjourned the meeting at 4:02 p.m.
Respectfully submitted,
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Joan Woods, Board Secretary
Edward O. Kaiser, Chairman of the Board
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