finance committee

from 2023 Summer Newsletter

house committee

Michael Hodgson continues as a member of the committee and in addition, is now Co-Chair after being recently elected to the Board. Victor Lough has also joined the committee. In addition, continuing are Todd Heavisides, Brad Trumble and Rob Hozjan. Harry Reid and Paul Fisher have both departed from the committee—a big thank you to both Harry and Paul for their time and contributions to the Club. We wish to welcome Victor and Michael in his expanded role and look forward to working with this group in the coming year.

Operating vs Capital

Your Club approaches the financing part of its business in two elements:

1) Operating is essentially the annual operation of the Club and all its activities including Turf Care, Golf Operations, Food & Beverage, Club Administration, and repayment of debt. Our annual dues fully fund these expenses.

2) Capital is the annual maintenance, improvements and additions to the physical facilities and equipment the Club employs. Capital needs are funded in part by a small portion of the annual dues up to an amount as specified by the Club by-laws. Capital needs above this annual amount are funded by membership redemptions, borrowing, reserves, levies, donations, and or other contributions beyond the annual dues.

Previous Approaches to Funding Capital Needs

The Club historically has funded special capital needs by a variety of means. While not an exhaustive list, these needs were met by additional memberships sold (expansion of courses), assessment (dam repair) and borrowing (for Raven and Hawk courses green resurfacing and irrigation replacement). All were seen as unique needs and addressed accordingly. These needs were considered and resulted in thoughtful actions by previous Boards based on the prevailing circumstances at the time.

Funding the Future

The Club has a good funding model for meeting its current annual operating needs with annual dues.

On the capital side of the business, it is less clear on meeting future needs including maintenance, improvements, and aspirational. Except for a small apportionment for capital, as noted above, annual dues do not create sufficient surpluses necessary to meet the growing capital requirements. Our Club has been operating for 40 years, and most of the major assets require updating or replacement. This list is no longer unique items but rather evolving to constant and ongoing requirements. The funding approach should mirror the demand.

The Committee is tasked with recommending to Management and the Board a funding model that will support the future. There is a strong belief in the Committee that the Club would benefit from building a reserve that would be predictable in its accumulation and would assist in smoothing the annual spending needs. In conjunction with other measures, this will be considered the solution to future funding. Other measures to be considered include a transfer/initiation fee on membership sales, reduction or elimination of member equity, assessment tied to a specific project, and additional borrowing despite the Club making special efforts to retire previous debt over the last several years. The committee will consider all options. A comment on future borrowing; repayment of debt and its carrying costs have historically come from annual dues which in effect inhibits the Club’s ability to meet annual operational needs and will put additional pressure on annual dues. The cost of debt has increased significantly over the last year or so, and ultimately, the lenders benefit the most from debt. The Club is not a profit-seeking entity; therefore, using leverage to maximize return does not really apply.

The Committee believes that the future of the Club and being able to attract future members is contingent upon the members reinvesting in it and we will make every effort to address the issue in a considered and informed manner. We are working on funding model details and once reviewed by the Board, it will be communicated to all members.

Ken Baron Michael Hodgson

Committee Co-Chair Committee Co-Chair

Welcome New Members

Please join us in welcoming the following Equity & Corporate Associate Members who joined the Club since our Spring Newsletter publication:

Andre Arrata

Mason Bowden

Tom Chesser

Scott Clements

Robert Gilmour

Ken Gray

Mike Margarit

Christine McBride

Jeremy Peesker

Today I am writing you about a cherished tradition at the Club; the Priddis Greens Charity Classic.

I am extremely proud of our Club’s crucial involvement in helping to create and sustain a world-class health facility here in the city. The Calgary Prostate Cancer Centre has benefited from our tournament for the past 24 years with this event raising nearly $7.7 million dollars of vital funding. Because the Centre receives no government support, it is not an overstatement to claim that the Centre’s viability depends on the success of our tournament.

With prostate cancer being the most commonly diagnosed cancer among Canadian men and the third leading cause of cancer-related deaths, the groundbreaking research and treatment model of the Centre is essential for Southern Alberta. Roughly 1-in-7 Canadian men are expected to develop prostate cancer during their lifetime and 1-in-29 will succumb to the disease.

I would love to see our membership broaden its support and become more involved in this year’s tournament. Please see the next page or visit pgcharityclassic.com for more information as there are a number of ways to participate over the three days from August 9th to 11th;

• enter a team and participate in the golf tournament and festivities;

• a cash donation of any amount is always appreciated and adds to our success;

• provide or solicit a silent or live auction item;

• attend only the gala event hosted at Azuridge Estate Hotel (tickets available for purchase);

• we are always in need of volunteers for the gala and the tournament - if you can contribute in that manner, please contact Tim Main. Thank you so much for your consideration. I hope to see you involved this year!

Brian Murray

Chairman, Priddis Greens Charity Classic

teams & donors

TEAM ENTRY - $10,000

• tournament fees for four (4) participants (verified handicap required)

• eight (8) Gala Evening passes (4 participants + 4 guests)

• one (1) double-sided 48” x 31” recognition sign

• thank you signage displayed at first tee

FUND-A-NEED DONORS - $2,000 or more

The Prostate Cancer Centre annually identifies specific requirements they have at the tournament such as specialized equipment, supplies or programs. This Fund-A-Need program will be present throughout the tournament and attendees can donate directly towards those items in return for a tax receipt.

GALA EVENING ONLY (FOR TWO) - $500

For those unable to enter a team in the golf tournament, new this year is the opportunity for an individual and their guest to attend the much anticipated Gala evening at Azuridge Hotel in exchange for a tax deductible donation.

Direct Donation

All donations are greatly appreciated by the Prostate Cancer Centre. Donations for any amount of $20 or more can be made directly to the Centre and a tax receipt will be provided.

Live Auction Items

Promote your business while supporting the Prostate Cancer Centre by donating an item or package of value to be included with our auction. Please contact us for details.

Sponsorship

ENTERTAINMENT - $5,000

• includes four (4) Gala Evening passes

• one (1) double-sided 48” x 31” recognition sign

BEVERAGE - $5,000

• includes four (4) Gala Evening passes

• one (1) double-sided 48” x 31” recognition sign

FOOD - $5,000

• includes four (4) Gala Evening passes

• one (1) double-sided 48” x 31” recognition sign

BEVERAGE CART SPONSOR - $2,500

• company name/logo on beverage carts

• one (1) double-sided 48” x 31” recognition sign

HOLE SPONSOR - $2,000

• company name/logo on sponsored hole

• one (1) double-sided 48” x 31” recognition sign

GOLF CART SPONSOR - $1,500

• company name/logo on sponsored carts

• one (1) double-sided 48” x 31” recognition sign register now view full brochure

club projects & strategic plan

Thank you to the 247 members and dependents who recently attended our open house to learn more about “The Nest”.

As previously announced, we are thrilled to launch The Nest webpage featuring a gallery of the proposed structure in addition to details surrounding the purpose, background, scope, timeline, and funding. Members can also use this webpage as a portal for two-way communication by submitting confidential comments and reading our continually updated FAQ section. There is also a display area on the upper level of the Clubhouse outside of the Presidents Room showing some of the open house materials.

This exciting investment opportunity is part of the Club’s master long-range plan, creating a unique and exceptional social space that will directly engage the surrounding green space, putting green, and the Raven course. The Nest is also being designed in concert with a future Clubhouse rejuvenation. In addition to the project webpage, we have added another page dedicated to the Club’s Strategic Plan. A condensed version of the Strategic Plan is laid out in a digestible format communicating the Club’s focus areas and priorities as part of a broader long-range plan that has been evolving since 2005.

With your continued engagement in providing feedback on this unique opportunity and more, we look forward to moving one step closer to creating an unrivalled member experience in combination with our two exceptional golf courses.

Chad Thomlinson General Manager & PGA Executive Professional

view “the nest” online view “strategic plan” online

hole-in-one

Congratulations to all members who have scored an ace or albatross during the 2023 season thus far. These individuals will be cordially invited to a very exclusive dinner at the end of the season, along with a guest, to honour their achievement and receive a commemorative gift. Please join us in recognizing the following:

• DIANE MAIN

• BILL MOORE

• DOUG WOOD

Upcoming Events

August 5 - 7

• CARMEN URQUART

• LARRY GRAY

• CHRIS NG

Men’s & Ladies’ Club Championship

August 10 Foothills Academy Society (Corporate)

August 13

Outdoor Yoga: Deep Stretch & Restore

Member Appreciation Day

August 16 Senior Member Guest

August 18 - 20 Solheim Cup

August 24

BILD Calgary Foundation (Corporate)

August 25 - 27 Priddis Cup

August 28 & 29

Junior Club Championship

August 30 & 31 Charity Classic

September 7

September 10

September 12 & 13

September 14

September 16

September 18

Aecon (Corporate)

Mixed Fall Classic

Senior Priddis Cup

Trotter & Morton (Corporate)

Men’s & Ladies’ Fall Classic

Senior Men’s Fall Classic

September 21 Whitecap Resources (Corporate)

October 20

Hole-In-One Dinner

Tournament Champions

• CRAIG COOK

• MARK BUCKWOLD

• MATT ENGELHARDT

Our full slate of member events in 2023 is well underway with a great mix of competition and comraderie. In recognition of those victorious members from this season’s Club tourna ments thus far, please join us in congratulating the following (see next two pages):