As most of you know, due to various scheduling conflicts, this year’s Annual General Membership meeting was postponed into the first week of April. Consequently, the installment of the new Board was celebrated immediately after being elected at the AGM. And yes, I was elected to a second term as your Commodore along with the following returning and newly elected Officers and Directors:
|Vice Commodore||Ricki Williams||Membership||Charlotte Shull|
|Rear Commodore||Dick Locke *||Ashore Activities||Susie Morrison *|
|Treasurer||Mario Antuci||Afloat Activities||Andy Barrow|
|Secretary||Sharon Sax *||Junior Sailing||Linda Green *|
|Paradise Village||Dick Markie **||Publicity||Sandy Barnett|
Note: * New Board Member, ** Appointed Director
Last year’s Officers, Directors and various committees raised the bar to a new height for both ashore and afloat activities with a record breaking Chili Cook-off/Tast of Nuevo attendance and WesMex regatta participation as well as a great variet4y of musical entertainment evenings and, of course, the huge OPTINAM Optimist championship in July. We are well aware of your expectations for this year and we will try are best to not disappoint you.
However, this year’s Board is faced with meeting the challenge of satisfactorily resolving three different significant financial challenges described below:
FIRST. Resolve the continued unacceptable operating overall Club deficit. Although the Treasurer reported an operating result of a 111,000 peso gain (which included an OPTINAM profit of 167,000 pesos); when depreciation expense is added, we see a true loss of 89,000 pesos for the year. We will need to Identify and act on various means of increasing revenue streams and invoking carefully selected cost cutting measures.
SECOND. Take needed measures to offset the effects of the weakening peso in regard to U.S. dollar based Club expenses. One of the Club’s largest expense is the facility monthly rent which is billed in U.S. dollars. Since our peso based dues is required to meet all expenses of the fixed overhead in keeping “the doors open”, we incurred a net deficit of $10,850 USD in this category. Therefore, while evaluating the merits of cost cutting operational changes, the Board did decide to return to a USD basis for monthly dues. Effective June 1, 2015, the monthly dues is based on $75.00 USD. As pointed out at the AGM meeting; this is not an increase in our dues, but an adjustment to the basis to match the fixed expense billing and lease payment requirements.
THIRD. Come into compliance with newly enacted Mexican tax laws. Effective January 1st, the Mexican tax authority has taken several measures to offset the loss of revenue worsened by the global drop in crude oil demand. One area that effects directly on our Club functions is the legal interpretation that the Bar and Restaurant can no longer qualify as a nonprofit operation. Consequently, the Board has reluctantly decided to spin-off the Bar and Restaurant from the nonprofit Vallarta Club de Yates, A.C.. Some of these required changes are not transparent. But, you will see: 1) the elimination of the guest separate price (members in good standing will receive an automatic 10% discount off the menu price), and 2) a 16% IVA tax appearing on your receipt. Our goal is to continue providing you the very best in quality and value and we shall.
Lastly, I want to wish you all a very enjoyable summer and I, along with your Board of Directors and Club staff look forward to welcoming you back in the Fall.