[DeTomaso] NPC- Reno Fernley Raceway

[Bill Moore]

Thanks Jeff !!!!!!!!!

That's what I was looking for. Is the yearend balance sheet available. Year to year budget. That also would show the income and expenses.
I do NOT believe this kind of information should be delivered by Ed. We will talk in Houston. Thanks again Jeff.


Cheers:

Please use my bill at incendium.com email address in all messages.

Bill Moore
Incendium Supply Ltd.
Suite 416, #305-4625 Varsity Drive N.W.
Calgary, AB T3A 0Z9
403.202.0055


-----Original Message-----
From: DeTomaso [mailto:detomaso-bounces at poca.com] On Behalf Of Jeff Detrich
Sent: May-02-15 9:03 AM
To: detomaso at poca.com; Jeff 1Detrich
Subject: Re: [DeTomaso] NPC- Reno Fernley Raceway

Okay, time to clear this up since no one else on the Board wants to step up and talk about it. For some reason, they consider it to be privileged and confidential information even though it is published as part of the yearly financials. Yes, POCA does have a large amount of cash. Over $100,000. The actual balance varies month to month based on dues received, expenses for each month, and so forth. Right now, the fund balance is much more than
$100,000 because it includes Fun Rally registration fees that will be used to pay for the Fun Rally expenses right after the Fun Rally ends.

So, realistically, how much excess money does the club actually have? For the sake of argument, let's just say we have $100,000. Prudent financial management would have us set a reserve for unanticipated cash needs. There are things other than our recurring expenses that would typically be considered when setting a reserve, primarily for uninsured risks, shortfalls in revenue, and unanticipated expenses.  Currently, club expenses are running about $40-45,000 a year. So it would not be unreasonable to set that as the reserve. That would leave excess cash of about $55,000.

Some may ask, why do we have so much money? That is relatively easy to explain. For several years we were accruing expenses for the POCA Profiles Magazine and dues were set accordingly. Unfortunately, we didn't publish as many as we planned. As a result, the cash balance grew. The good news is that our new Profiles Editor, Mike Haney, seems to be on target to publish more regularly, with the one caveat that all of us continue to support his efforts by providing newsworthy articles for him to publish.

What should the Board do with this excess money? First of all, let me state that the money belongs to the members. Both myself and Bob Reid, the Treasurer, have repeatedly brought this up and that we should consider reducing the dues. To date, the rest of the Board has tabled any consideration of this issue but I expect that it will be brought up again after the Fun Rally. The good news is that the club is growing which mitigates some of the issues involved with setting the dues. As a result, even with dues at $60 per year, the club would essentially break even.

I hope this clears things up. We work for you. See you at the Fun Rally.

Jeff Detrich
Secretary, POCA









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