Page 9 - August Sun Rays_Text_01-57_proof_FinalTrim
P. 9
CA NEWS
Let’s Communicate!
CA Budget process explained
Each July, the Community creating the operating budget, the Board, – Estimate the costs for additional
Association (CA) begins developing staff and committees create budgets for landscape projects for Sun City
its budgets (operating, capital and capital asset and reserve funds and create Boulevard in 2018.
reserve) for the following calendar year. DÀYH\HDUORQJWHUPÀQDQFLDOSODQ7KH
It might be surprising to know that %RDUGRIÀFLDOO\DSSURYHVWKHEXGJHWDWWKH – Irrigation – Continue the approved
the CA is a $17 million-plus business, November Board meeting. projects to convert potable to non-
encompassing several different operations, potable water.
LQFOXGLQJJROIÀWQHVVFHQWHUVFRPPRQ In addition to budgeting for existing
areas, communications, lifestyle and services and programs, the Board and – Firewise & Waterways – Continue
activities, building maintenance and Finance Committee consider new services clearing at a maintenance level.
general administration. The CA generates and programs during the budget process.
revenue from assessments and fees, of Adding new services usually results in – Review staffing of Community
which, $8.4 million are derived from additional expenses. With that said, the Association for current and future
member assessments, and $4.4 million CA will likely assume responsibility for years.
from golf revenue, $1.3 million is additional common areas in 2018, the
activities and advertising revenue with main one being the new amenity campus – Budget for Golf to operate at
WKHEDODQFHPDGHXSRIYDULRXVÀWQHVV in the Queen section, which will add breakeven or better for 2018. Consider
and administrative fees. expense to the CA’s operations. recommendations from the golf study
for incorporation into the 2018 budget
The budget process starts each year The 2018 Budget Assumptions and for reducing costs and maintaining
with our CA Board’s budget direction Guidelines approved by the CA Board at high quality course conditions.
which is now posted on the Board’s their May meeting are as follows:
website. Following that direction, a kick- – Monitor property taxes closely with
off meeting is held between myself, our Assumptions: potential impact on 2019.
Director of Finance, Ann Dodson and all
key members of staff who have budgetary – Economic Environment for 2018 will – Monitor chartered club income and
responsibilities. Basic guidelines and continue with steady growth. cash balances for tax purposes.
assumptions are discussed in detail before
the CA Department Directors draft their – Number of new homes that will be sold – Work with task forces related to
respective departmental budgets. These in 2018 is estimated at 260. expansion potentials.
draft departmental budgets are reviewed
and adjusted by Ann Dodson and myself. – Number of resale homes that will be – Incorporate general tree-trimming
Revised departmental budgets are then sold in 2018 is estimated at 365. projects along boulevards, etc.
submitted to various committees in
September for review and input from the – Average home price for 2018 is – Departments to complete unbudgeted
residents serving on those committees. estimated at $280,000. opportunities section (generator for
After the committees have reviewed Cowan Creek etc.).
their respective budgets, staff will make – Additional neighborhoods turned over
additional adjustments, compile into one to the Community Association most – Provide funding for creek bed cleaning.
overall budget, which we then submit to likely will be N81 and N82.
the Finance Committee. The Finance – Fund enhancements to trails for
Committee spends several days in October Guidelines: residents.
reviewing the budget in detail. During this
time they will establish priorities, identify – Plan for the Queen Amenity Center Lastly, I would like to thank the staff
challenges, consider options and adjust to be turned over to Community and committees for their valued time
the budget accordingly. In addition to Association in late 2018. during this process. Their countless
hours put into our annual budget helps
– Plan for the bridge over Cowan Creek WRHQVXUHDVRXQGÀVFDORSHUDWLRQ6SHFLDO
to Somerset to be complete in late 2018 thanks to our Finance Committee whose
(there may be cost elements the city professionalism and expertise guide us
will not cover). to a budget we can all work and live
with. Thanks to all involved and happy
– Budget for an external reserve study budgeting!
for 2018.
– Jim
– Budget for a 2018 compensation study.
ONLINE: SCTEXAS.ORG AUGUST 2017 SUNRAYS | 7
