Presidents Report_Diane Exter_Issue 05_210828

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As you have read, professionals have been engaged to perform thor ough investigations and analyses of, among other issues, the extent of mold in the clubhouse and the club house ’ s structural integrity . Other areas that have been evaluated are the increases in building material costs , need for a more expensive HVAC system , the adequacy of the techno logical infrastructure , designs for the kitchens , hardscape and land scape costs , compliance with new building codes and, given all of the above, a need for a more robust con tingency . The negative impact of what has been discovered so far on both the budget and timetable for the project has been substantial. It is important to note that what we are discussing is on ly what we know . We continue to be concerned about what we don ’ t know and won ’ t know until more of the build ing is demolished. However, what we do know is that even without the roof over the West Terrace and any additional tem porary facilities costs, the Substantial Renovation is currently anticipated to cost roughly $53,000,000 . This is a very significant increase from the $40.8mm approved by the membership in February. The Committee understands that a building of this age, complexity and size could be renovated. However, the committee is concerned about the sub stantial, already revealed, deficiencies in the building and the additional defi ciencies that may be revealed as we continue this process.

The following staff are moving or have moved to their new spaces: • Accounting and Marketing have moved to the church building. • Engineering has moved to the golf course maintenance building. • The POA will relocate to the real estate building by mid - September. • The Pro Shop will relocate to a trailer closer to the driving range area. Members will still be able to contact staff members through their designated emails and telephone numbers and the POA Office will continue to provide ser vices at their new location. The total cost of the alternative fa cilities is projected to be just under $3,000,000.One million eighty - eight thou sand ($1,088,000) has been previously allocated ($800,000 for Temporary Facili ties under the substantial renovation budget and $288,000 reallocated from the Fitness Center atrium roof.) The bal ance will be funded from prior operating budget surpluses or from savings in oper ations, given the building will be mostly closed. The Board approved the plan, the budget, and the funding unanimously. Implementation is currently underway. CLUBHOUSE AD HOC COMMITTEE UPDATE The Clubhouse Ad Hoc Committee, chaired by Harvey Schulweis, has done a great deal of work to advance our knowledge with respect to the proper scope of the planned renovation of the clubhouse.

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