Additional levy on members?

[chrisd]

Because they've asked for a levy rather than spend some of the £320k it seems obvious that the next annual sub will automatically include another £100, plus a rise in fees. Based on that assumption there looks to be a sizeable increase coming your way.

I find it difficult to understand how members who won't/can't pay the levy can be stopped from playing. If they're stopped they will surely be entitled to a proportion of their annual sub back I'd of thought, as well as the possibility that the action is discrimination against those who can't afford it.

 

[timd77]

I've never heard of a club imposing an in year levy, though I guess it may have happened where a club has got into serious financial difficulty.
It would seem to me though that the members here ought to be looking at replacing the current board to give someone else a chance at properly managing the finances.

The second paragraph of the membership page on your clubs web site makes interesting reading.

Ha, yea, very true! I remember reading that when I joined!

Thanks for the responses all, as a fairly new member of a member owned club (18 months), I wasn’t sure if this was the norm, it appears not.

I don’t think it’ll get voted in, the members I’ve spoken to are fuming about it, they’ve said they’ll leave immediately out of principle. But an increase is definitely coming in April either way.

Interestingly as part of the pre meeting pack, they included a graph showing membership levels at all the local clubs, ours being the lowest. I’m not sure what the point of including it is, however, I do know that trying to put this levy on us won’t help that figure increase!

It’s a real shame. I love the course, most of the members are great, we join in with the comps, teams etc, have a drink after the round etc. It feels so much better than the last club I was at. But ultimately it’s a hobby, and there’s only so much I can justify spending on golf, especially when there are cheaper options.

 

[sunshine]

It's only £100, not a huge sum when you think this is to cover increased costs over the whole year. How do annual subs compare with other courses in the area? If I liked the course / club I wouldn't hesitate to cough up the extra £100, but I'd be asking questions about how they messed up their budget so badly and what contingencies are in place to avoid a repeat.

 

[Crazyface]

Members to vote on whether they want to chuck another £100 in? Surely that'll be a unanimous 'no thanks'?

Brilliant thread. And it didn't take me long to find the answer I hoped would be there. So it's a resounding no to handing over more dosh to help the club get over a disastrous buget deficit, but not right to kick off if they offered new members a cheap rate for 20 months do cover such a thing? Hmmmmm....

 

[Crazyface]

Still no. That's effectively blackmail.

Wow, so you'd let the club go under for £100? I'd be annoyed but given the choice I'd pay up. Much better than having others play for cheaper rates than myself. And don't start me on 20 to 30 year old rates.

 

[williamalex1]

My club asked for a voluntary donation of £50 from members to pay for resurfacing the carpark.
I think over 50% of members paid.
.

 

[JayB]

It's only £100, not a huge sum when you think this is to cover increased costs over the whole year. How do annual subs compare with other courses in the area? If I liked the course / club I wouldn't hesitate to cough up the extra £100, but I'd be asking questions about how they messed up their budget so badly and what contingencies are in place to avoid a repeat

£100 may not be a lot, it maybe more than some can afford, especially when they have £320,000 in reserve.

 

[JayB]

Wow, so you'd let the club go under for £100? I'd be annoyed but given the choice I'd pay up. Much better than having others play for cheaper rates than myself. And don't start me on 20 to 30 year old rates.

If this was really the case, I'm sure, while not popular, most members who can afford it would pay up. Some of the more affluent members that I imagine every club has would probably donate even more, it's a bit hard to claim though while sitting on large reserves

 

[jim8flog]

During my time at this club I have paid contributions for an extension to the clubhouse, the building of a 9 hole course, building a new pro shop (twice), a new office, a driving range and refurbishment of the locker rooms. Some we have got back when the club had the funds e.eg when customs and excise had to do the VAT refund
Two of them were for £250
I see a levy as something fairly normal. Some people got together many years ago to build the course in the first place so I just see it as a continuation of that.

 

[nickjdavis]

If this was really the case, I'm sure, while not popular, most members who can afford it would pay up. Some of the more affluent members that I imagine every club has would probably donate even more, it's a bit hard to claim though while sitting on large reserves

In my experience they are the tightest sods around, many of ours baulked at a 50p price rise in a cup of coffee a few years ago.

 

[Tashyboy]

Personally I would vote yes for the levy on one condition. The guy that Mis calculated the years running Costs is sacked. I would have no faith in him Whatsoever. And bottom Line for me how can they be trusted to run it next year. Paying £100 is a get out of jail card that can be paid again now a precedent has been set.
Wonder how many other clubs have under calculated costs.

 

[sunshine]

Members to vote on whether they want to chuck another £100 in? Surely that'll be a unanimous 'no thanks'?

But the extra £100 isn't going to the owner, it's not profit or price gouging.

The real question is why have costs spiralled out of control?

 

[rulefan]

Anyone else ever had this before?
This despite selling off part of the course to a housing developer to the tune of £320k. Club have decided to set that money aside to invest in the club.

Have the members already agreed to the 320k investment? Do they know exactly what it is for?

 

[Hobbit]

Tashy beat me to it. I’d be asking some serious questions about competency. Secondly, with £320k in the bank I’d be asking why the members haven’t been consulted about its use.

And when is the annual sub’s renewal due? Is it a levy now and an increase in a few months time. What’s the budget/business plan to manage the increase and spending going forward?

Whatever happens, if the operating costs have gone up, the fees will have to go up. It could be done in stages, supplemented by some of the £320k. But there’s other issues that can be looked at. Why is the membership levels lower than other clubs, and what is the plan to address that? What revenue generation plans do they have? Dinner dance, quizzes, sports person’s dinner.

A £100 levy doesn’t address the other issues.

 

[NearHull]

Did the Board build the budget or was it an employee? Did the membership approve the budget at the AGM? Relevant questions when determining how it was allowed to get into such a poor state.

 

[Deleted member 29109]

I’d bet that if the club are holding a meeting to vote on it, they already know they will have the numbers to see it through.

You’ll either pay it now or on next years subs. £100 in the grad scheme of things isn’t a crazy amount if it digs the club out of a hole.

If people kick off too much. I’d suggest putting yourself forward to be on the committee and see how difficult it is to run a golf club as a volunteer. (Assuming those running the club aren’t paid)

I would be interested in where the £320k is sitting. And asking to see the accounts presented at the last committee meeting.

 

[3offTheTee]

If there are 500 full paying members as I doubt they will not be asking Juniors they would only bring in 50k.

Seems shortsighted and accounts need to be examined and why they did not know about this much earlier. If they took the 50k from the 320 there would still be 270k surplus.

The 42k in the first quarter loss. Is that Jan to March or say April to July when it should be far busier.

Good luck

 

[doublebogey7]

Wow, so you'd let the club go under for £100? I'd be annoyed but given the choice I'd pay up. Much better than having others play for cheaper rates than myself. And don't start me on 20 to 30 year old rates.

Rerally, you'd rather pay more, just to stop someone else paying less then you. A classic case of cutting off your nose.

 

[Orikoru]

Wow, so you'd let the club go under for £100? I'd be annoyed but given the choice I'd pay up. Much better than having others play for cheaper rates than myself. And don't start me on 20 to 30 year old rates.

But the extra £100 isn't going to the owner, it's not profit or price gouging.

The real question is why have costs spiralled out of control?

Well, this is it. Members shouldn't have to foot the bill for poor budgeting and no contingency plan. Of course the subs will go up when you renew but that's the way I'd expect it to go. Rather than £100 now please and your subs are going up as well.

 

[Hobbit]

But the extra £100 isn't going to the owner, it's not profit or price gouging.

The real question is why have costs spiralled out of control?

I know from buying fertiliser for the bowls club that one of the products has doubled in price for a 25kg bag. It’s 2 bags for one bowls green. Imagine how many bags for a golf course every 12 weeks.