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Tuesday, April 27th, 1:00pm

The Vancouver Club Year-End Finance Update

TUESDAY, APRIL 27, 2021

Dear Members,

I am pleased to be presenting our financial results for fiscal 2020/2021 at this evening’s town hall meeting. Even though we were faced with an ever-changing landscape as it relates to Club closures and restrictions, we were able to find our way through it all to conclude last year ahead of budget.

When COVID-19 took hold last March, we experienced a full two-month closure, something that has been unprecedented in our recent history. We not only had to forecast the related financial impact, but determine how we would operate day-to-day in our new normal. During the closure, the Management team planned new ways to engage our membership with take-home meals, virtual events, and frequent updates. Behind the scenes, the team was working hard to ensure the safety of our members and staff when we were fortunate enough to reopen.

The staff, management, and Board of Directors took the Yellow Cross COVID-19 CertifiedSAFE training. Plexiglass barriers were put in place. We changed the way we operated by adopting new technology to enable contact tracing of everyone who entered the Club. We also allowed the discreet use of cell phones to view our drink and dinner menus. These creative concepts were embraced by our membership, as we saw a resurgence back to the Club when our doors reopened.

As a board, we had to ensure that we created a sustainable financial model that would allow us to survive this crisis and come out the other end with the ability to flourish. The main driver behind our strategy to stabilize the financial standing of the Club was the implementation of the Special Assessment. The Special Assessment was approved at our last AGM and has functioned, as forecasted, to not only offset our loss carry-forward from 2019/2020, but to mitigate the forecast losses planned for 2020/2021. The attached financial overview will provide greater insight into the positive impact of this decision.

We also agreed that we would increase our monthly contribution to the Capital Improvement Fund. Although we didn’t engage in any significant capital improvement projects during the prior year, we have worked hard to plan out the scope of work that we will tackle in the coming term.

In addition to member contributions, we claimed both Federal and Provincial Government subsidies, including the emergency wage subsidy along with the rental subsidy, to offset staff wages and property taxes, respectively. This government initiative served to support our bid to get close to the break-even goal requested by the Board of Directors.

As you will see in your review of the attached financial summary, we experienced positive results due to the hard work of management and the ongoing commitment of our staff. That said, the heavy lifting isn’t over yet. Our Management, alongside the Board of Directors, has completed a detailed planning process to arrive at the 2021/2022 budget approved in February. In addition to the budget, several financial models were developed to understand the impact of the possible scenarios associated with COVID-19. Although we can see an end in sight with the proliferation of the COVID-19 vaccine, we still need to work through current restrictions, which will lead to another year of planned losses.

By continuing our current trajectory of tight management around expense items, creative ways to engage our membership, and the continuation of the Special Assessment, I am confident that we will meet or exceed our plans for this year as well.

I want to personally thank the membership for their continued support of the Management team and staff. I know it can be challenging to remain positive when the Club’s services change on what seems to be a daily or weekly basis. However, I know your understanding of our current situation goes a long way to keep the team motivated, and I look forward to sharing those warm evenings on the Rooftop!

Don’t forget to submit your questions prior to this evening’s town hall to ensure they are all addressed.

Sincerely,

Dean P. Medwid
Finance/COVID Committee Chair
Board of Directors


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