1. Annual Meeting Finance Review March 21, 2015
2014 Year End Report
2015 Budget

2. Steve Matthews (treasurer/chair)
Finance Committee
Steve Matthews (treasurer/chair)
Rolf Basler Dick Cameron Chuck Ohrt
George Retter Dave Shirlen
Many thanks to all committees for budget and reserve input.

3. Finance Components Catawba Valley Property Management (CVPM):
Issues purchases, receives and codes invoices, manages late payment communications, ………..
Accounting - Boggs, Crump & Brown, P.A.:
Monthly Compilation Reports
Monthly checks for signature
Enter billing information to BB&T Association Services and maintain payment data

4. Banking:
BB&T – Checking, Operating (MM) & Escrow (MM) Accounts and CDARS
First Citizens - MM Account
BB&T Association Services:
Issues invoices and receives all payments
Multiple payment options - by mail, credit card on-line, at any BB&T Bank, …….
Deposit all funds to appropriate BB&T account
CDARS ®

5. Return on SPOA Funds
Interest on Bank money market funds is 0.04% to 0.05%
Moving funds to a laddered system CDARS with 1, 2 and 3 year 0.25 to 1.05% depending on market.

6. CDARS® (Certificate of Deposit Account Registry Service®)
Security of FDIC insurance on all CD deposits as funds may be distributed among financial institutions
Earns CD-level rates
Convenience of working just one financial institution
Early redemption loses some interest
Plan: Purchase 1, 2, & 3 year maturity
Note: FDIC insurance limit - $250,000,
SPOA total cash balance Feb. 28, 2015 = $756,346.93

7. 2014 Year End Report
2015 Budget

8. 2014 Year End - Statement of Assets and Liabilities
Total Assets $548,827.32
Liabilities (construction) $ 72,200.00
Total Capital $476,627.32

9. Special Funds – Unrestricted and Restricted
Reserve Funds:
Lot owner
Parking Lot $ 26,893.00
Road $ 213,330.53
Clubhouse $ 41,509.00
Pool $ 39,519.00
Security & Technology $ ,851.00
Landscape $ ,000.00
Contingency $ 42, (Includes year end surplus of $ )
Total Lot Owner Reserve $ 369, (319, end of 2013)
Boatslip $ 105, (127, end of 2013)
Restricted Funds
Septic Inspection $ ,221.68
Grinder Pump Inspection $
Total Special Funds $ 476,627.32

10. Reserves Concept: Why Reserves are Needed?
Plan and accrue funds for future expense
Minimize need for special assessments
Best practice based on 80% of funds building against projected need timetable
Contingency reserve minimum 10% of other lot owner reserves

11. Expenditure Comments:
$17, from parking lot reserve delayed to 2015 per Roads committee recommendation
$ insurance x2 due to late 2013 invoicing
Road repair $ above budget
Entry monument and club stone repaired $
Drainage at club $

12. Lot Owner Revenue 2014 Budget 2014 Actual 2015 Budget
Annual Assessment
$223,299
$223,202.00
$223,202
Other Income $0
$105.05
Fees & Special Assessments
$2,646.01
$500
HOA Interest Income
$549
$269.38
$310
ACC Income
$7,625
$9,635.92
$10,230
Reserve Transfers:
Pool Reserve
$0.00
$3,200
Roads Reserve
$8,000
Parking Lot Reserve
$17,150
Total Lot Owner Revenue
$248,623
$235,858.36
$262,592

13. Lot Owner
2014 Budget
2014 Actual
2015 Budget
Total Revenue
$248,623
$235,200
$262,592
Landscape Expense
$75,500
$67,463
$70,450
Roads & Parking Lot
$49,250
$33,489
$57,350
Club Expense
$26,820
$25,780
$30,390
Security and Technology -
$1,000
Administrative Expense
$36,541
$39,940
$41,062
Operating Expenses
$14,912
$21,195
$21,340
Reserve Expense
$45,600
$47,993
$41,000
Total Expense
Boat Slip Revenue
$94,264
$89,842
$94,040
Boat Slip Expense

14. Landscape Expense 2014 Budget 2014 Actual 2015 Budget
2014 Actual
2015 Budget
Landscape Maintenance
$39,000
35,014
Unplanned Maintenance
$1,000
3,777
$1,500
Shoulder Mowing
$14,400
13,899
$14,800
Shoulder Improvements (SP)
$10,000
4,419
$4,500
Shoulder Vegetation Overhang
$1,200
672
Irrigation Maintenance
1,903
Trail Maintenance
$1,450
192
Meadow Services
$2,550
3,070
Water-Utility
$3,300
3,681
Electricity (9421,8116)
$1,100
836
Total Landscape
$75,500
67,463
$70,450

15. Total Roads & Parking Lot
2014 Budget
2014 Actual
2015 Budget
Road Maintenance
$11,500
15,714
D/C Shoulder Services
$6,000
5,401
$5,600
Snow & Ice Services
$1,500
340
Lighting(2319,2478,0842)
$13,100
12,034
$13,600
Parking Lot - Stage "a"
$17,150
D/C Road Ditch Clearing
$8,000
Total Roads & Parking Lot
$49,250
33,489
$57,350

16. Club Expense 2014 Budget 2014 Actual 2015 Budget Club Maintenance
2014 Actual
2015 Budget
Club Maintenance
$2,000
1,802
Clubhouse drainage maint.
$1,500
3,183 $0
Clubhouse stair handrail repair
$500 84
Club equipment storage container
$1,000
320
Clubhouse Acoustic Panels
$600
Clubhouse Deck Seal & Repair
$2,500
Pool Maintenance
$11,500
10,322
Pool Filter and Pool Deck Repair
$3,200
Pool Unplanned Services
$250
627
$800
Clubhouse Unplanned Maint.
1,051
Clubhouse Telephone
$720
770
Club House Pump Inspection
$190
187
Water-Club House
$2,310
1,422
$1,900
Electricity-Club House(6326)
$4,000
4,558
$4,500
Security and Technology
252
 $1000
Trash Dumpster
$1,600
1,203
$1,400
Total Club Expense
$26,820
25,780
$30,390

17. Boat and Clubhouse Trash?

18. Total Operating Expense
Administrative Expense
2014 Budget
2014 Actual
2015 Budget
Management Services
$23,531
23,478
$24,002
Accounting Services
$3,810
4,702
$4,650
ACC Services
$9,200
11,760
$12,410
Total Administrative
$36,541
39,940
$41,062
Operating Expenses
Professional Services
$3,000
3,141
CCR Amendments $0
183
Lock Box Fees
$600
495
Misc./Discretionary Spending
$1,600
1,813
$2,000
Postage/Printing/Copying
3,854
$3,200
Community Insurance
$5,800
10,972
Income Taxes
$312
285
$140
Community Activities
451
General Budget Contingency
$0.00
Total Operating Expense
$14,912
21,195
$21,340

19. Reserve Expense 2014 Budget 2014 Actual 2015 Budget
2014 Actual
2015 Budget
Road Reserve Transfer
$16,000
16,000
Parking Lot Reserve
$4,500
4,500
Transfer to Sec & Tech
$100
100
$500
Club Building Reserve Transfer
$7,000
7,000
$3,000
Pool Reserve Transfer
$6,000
6,000
Landscape Reserve
$2,000
2,000
Annual Contingency Res Exp
$10,000
12,393
$4,000
Total Reserve Expense
$45,600
47,993
$41,000

20. Total Boat Slip Revenues Total Boat Slip Expense
2014 Budget
2014 Actual
2015 Budget
Boat Slip Reserve Transfer
$50,113
45,788
$50,000
Boat Slip- Interest Income
$151 54
$40
Boat slip Assessment
$44,000
44,000
Total Boat Slip Revenues
$94,264
89,842
$94,040
Boat Slip Expense
Boat slip Insurance
$620
1,040
$550
Boat slip Maintenance
$3,573
1,427
$1,820
Redecking (Four Annual Phases)
Boat slip Income Taxes
$86 15
$20
Electrical Repairs
$100
Dock Lease
$13,500
13,500
Electricity-Utility(1342)
$960
999
$1,100
Walkway Clean & Stain - Phase I
$1,500
Transfer to Boat slip Reserve
$23,900
23,900
Transfer of Surplus to Reserve $0
1,685
Administrative Services
$1,412
1,488
$1,550
Total Boat Slip Expense

21. 2015 Revenue Concerns
10 of 2015 assessments unpaid end March 2014)
Second late notices issued
Lien required on property early April

22. Additional Questions
&
Comments