A Board Meeting of the Raritan Yacht Club was
called to order at
1. Roll
Call
Commodore Len Keating present
VC Dave Frizell present
RC Vicky Jo Neiner absent
PC William B. Adams present
Jim Bauer
present
Richard Codd absent
James Mackevich present
Ann Myer absent
Skippy Paul present
PC Raoul Rabiner absent
Tony O'Reilly present
Peter Rebovich, Jr. present
Barry Rosengarten present
Jerry Solas present
Roger Young absent
2. The
July meeting minutes were accepted.
3. Shep King presented the Financial Report for the seven months
ending
There were questions as to
why the accounts receivable were approximately $75,000 and whether the expense
side of the budget was on track or not.
4. Vicky Jo Neiner was not present and therefore there was no Rear
Commodore’s Report. However, Barry
advised that the launch had been inspected by the Coast Guard, that five minor
violations were noted all of which have or shortly will be resolved and that a
re-inspection involving examination of the launch out of the water is
anticipated shortly. It is hoped that
this will be the final step in the process of having the launch certified.
5. Dave Frizell presented the Vice Commodore’s Report + initiated a
discussion under Old Business.
a. The Galley Contract is coming up for renewal and Dave and Tony
will be meeting with the gallery operator with the goal of revising the
contract to continue with a fair and reasonable relationship on both
sides. It is not anticipated that any
major changes will occur in the contract.
b. A new sound system is about to be
implemented and new lights have been installed in the front of the building.
c. After ongoing work by the finance and
planning committee, Dave presented a document entitled “Proposed Master Plan
for Raritan Yacht Club”. The intent of
the document was to summarize projected projects for RYC, including
particularly the proposed upgrades and renovations of the house. Dave and Bill Adams both noted that this
plan is the end product of about 6 years of planning and is based upon an
actual set of architectural plans previously authorized by the Board. It was noted that as originally put together,
the projected renovations could be done in stages, but Dave suggests that
serious consideration be given to doing all of the house projects
simultaneously. The obvious advantage is
that the work is done at one time by one contractor and that the house is taken
apart only once. The disadvantage is
that the club will shut down for a period and that the entire cost has to be
paid for at one time.
Dave has received a
construction estimate of $250,000 for all of the work and believes that the
work could be done over a 45 day period with the work to start on
It was further suggested
that $50000 from the regular capital budget (operating surplus) could be used
to partially fund the work with the remaining $200000 financed over either a
five year ($3956.00 per month) or 10 year ($2264.00
per month) period.
In the context of this
discussion and the potential financing of the work, there was a parallel
projection as to the additional income which the Club could expect if the Club
membership was increased to 330 members.
If that occurred, it was projected that approximately $271,000 of
additional revenue would be received by the Club over a five year period and
that these revenues would then be available to assist in the funding of the
work.
There were several comments
that the Club can afford to fund the work with its current membership and that
the assumption of the loan was financially feasible and would not prevent the
Club from engaging in other projects during the pay down period of the notes. Dave’s view is that the Club has the ability
to pay for the work, the central question is whether
the Club has the will to do it.
There was also generalized
discussion about whether approval of the planned work and financing be linked
to approval of an increase in the membership.
Both proposals obviously require membership approval.
Dave is going to have an
open meeting of the Planning Committee on September 22 with the goal being to
provide a forum to the members to fully explain the projected work and give the
membership as much information as is available regarding its cost.
This subject will be
re-visited at the next board meeting.
d. Dave then brought up the issue of implementing
the Membership Resolution affirming the purchase of a new third launch. That resolution provided for funding the
purchase through a combination of operating funds and assessments. After discussion, Jim Mackevich offered an
amended motion which provided as follows:
Resolved that
the projected $90000 cost of the new launch be funded by paying 2/3rds of the
cost by way of assessment to the members and 1/3rd from the 2006
capital budget, with it being further agreed that the Board has the right to
adjust the assessment downward after the 2006 capital budget is established and
the capital funds available are identified
The
Motion was seconded and approved by a vote of 9-1.
Barry
further noted that he wants to look into the potential to raise the launch fees
so that the launch funding is self sufficient.
6. Len
Keating presented the Commodore’s Report.
a. A
process is underway to establish the name for the third launch.
7. Reports
from Committee Chairs.
a. Besides
his report on the status of the launch certification, Barry reported that
getting launch drivers is still a problem. Mark Rebovich has been working hard
to adjust schedules and shifts to address the needs and it looks like we may
have picked up a more hours from one of the current operators who is now between jobs.
b.
There was a discussion about the potential implementation of a system
for accepting credit cards for payment at the bar and galley. Jerry expressed reservations as to whether
the credit card use would be compatible with our system and who would deal with
problems should they arise.
8. Old
Business.
a. Dave
raised the issue of addressing the sinking fund and his concerns that the line
items need to be adjusted to reflect current known reality. Len indicated that the finance committee
input and recommendations would be available by the next board meeting.
10. The
meeting was adjourned at
Respectfully Submitted,
James Mackevich
Acting Secretary