8/14/2012 11:27:23 AM
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Section 5: OPA Board Subject: Vote YES on YC Referendum Msg# 839533
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Joe:
"losses on the current overall operation tend to average about $150,000, give or take" The operational loss for last year (2011-2012) at the Yacht Club was exactly a minus -$174,936.00 before depreciation or capital expenses. A -$277,923.00 loss with depreciation included. No "give or take". That operational performance was 74% worse than the previous year (2010-2011). How can anyone average that kind of downhill slide? Marty |
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For reference, the above message is a reply to a message where: Previously you seemed to be leaning toward a new single story facility at the YC. What factors prompted you to decide to support the new larger version ? Yes, I have in the past expressed an opinion about preferring a single story, seasonal building without catering. However, after I began thinking more about it, I changed my mind... or at least became neutral on the issue. I believe a single story, seasonal operation would make money, but any "profit" could well be offset by overhead costs for the entire year, unless we wish to go out and look for a new manager and a new cook every year, for example. Also, losses on the current overall operation tend to average about $150,000, give or take. I believe the proposed new catering level should produce enough profit to offset the downstairs loss, even if the downstairs shows no financial improvement over current levels. Norm Katz would say this "enables" bad management of the downstairs, but the overall bottom line was at least break-even, there would be little or no weeping and wailing about the Yacht Club. |
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