DECEMBER 2023
GVREC.ORG
2023 Financial Report THE BUDGET PROCESS GVR operates on a fiscal year, running from January 1 to December 31. The budget process begins in August with guidelines issued to department directors by the Chief Executive Officer (CEO). Departmental requests are prepared and submitted in August. The CEO and Chief Financial Officer (CFO) meet with each department director to discuss their requests. Changes and revisions to the requests and revenue projections are incorporated into the proposed budget.
The CEO and CFO hold meetings with the Planning and Evaluation Committee, Fiscal Affairs Committee, and Board of Directors in September and October to assist with budget preparation. In accordance with GVR’s Corporate Policy Manual (CPM), the budget must be available to the Board for approval no later than November 15. Continued on page 4
The Operating Budget: Fiscal Year 2024 Budget
Other Revenue: 1.1%
REVENUE In consideration of the economic climate and the lingering effects and uncertainty of the COVID pandemic and the real estate market, we believe GVR’s anticipated revenue assumptions for fiscal year 2024 are appropriate. When viewed in light of the relatively solid revenue performance over recent years, this approach is illustrated on the right: Fiscal Year 2024 REVENUE BUDGET HIGHLIGHTS A summary of the fee rate changes are as follows:
Member Dues: 59.6% Communication: 0.4% Investment Income: 3.6% Recreation: 4.1% LC, Trans., Crd Fees: 5.9%
REVENUE
Capital Revenue: 25.4%
A. Member dues, 2023 rate of $510 increased $5 to $515 for 2024 (1.0%). B. Initial fee, 2023 rate of $2,900 increased $100 to $3,000 for 2024 (3.4%). C. Membership Change Fee (MCF) 2023 rate of $2,900 increased $100 to $3,000 for 2024 (3.4%).
Facilities: 32%
D. Tenant Fees: All tenant rates increased by five dollars per card with a $10 increase to the 4–12 month option.
Operations: 6.4%
Despite the increase in dues, the total anticipated revenue for 2024 is $11,972,097, which is a decrease of 139,199 (1.2%) from the 2023 budget. This revenue decrease is the expected result of the slow real estate market. The total anticipated expenses for 2024 are $11,034,016 which is a decrease of $162,769 (1.5%) from the 2023 budget.
Corporate: 7.2% Communications: 1.9% Programs: 4.1% EXPENSES
Personnel: 48.4%