(L to R) Controller Frank Hubbard, Board Member Larry Siener, Board Member Bruce Caverly, Board Member Bob McLeod, & Chair Joanie Corry
This report contains some of the highlights of Controller Frank Hubbard’s Financial Report at the July 19, 2023, Board Meeting.
Hubbard said he was amazed that half the year is over, and we are tracking flat on employee expense, even though hourly pay has gone up. He said this was due to “superior management.”
General Manager Kelly Hale explained that we had a 3.78% employee wage increase and a 9% increase in employee benefit costs. Hale asked, “How did we do that? We restructured the entire org [organizational] chart. We built out more positions as part-time roles with better qualifications and eliminated the head count that I thought wasn’t valuable to the organization. We restructured jobs. We took our starting wage from $11.50 to $14.00 an hour without taking anything out of the budget by restructuring everything.”
We are self-insured for major medical, anticipating a 9% increase. We have a 1% decrease from last year.
On the Food and Beverage expense, Hubbard said, “We are almost to break even on that category.”
Regarding the Food and Beverage expense, Hale added, “This may be the first year ever. The POA-owned restaurants cost the POA $2 M a year [in past years]. After all the smoke cleared, that is how much we were putting out. We went to the asset-like model with vendors, and in the next six months, we will get down to zero for the first time. That is a huge saving.”
The fact that you are doing well doesn’t mean you can’t do even better.Frank Hubbard, Hot Springs Village POA Controller
Report by Cheryl Dowden