Clube de Golfe do Levante
Report for the 2010 Year of the FISCAL BOARD
Report of the Board of Management of Clube de Golfe do Levante for the year 2010
MINUTES OF THE ANNUAL GENERAL MEETING 2011
Held at 10.00 A.M. on the March 27th 2011 at the marquee, QUINTA DE CIMA
Present: Henk Vooijs, Lisa Lisboa, Tim Franks, David Stevens , Yvonne Peek, Bob Slowgrove, Jan Van Nimwegen, Ciska Van Nimwegen, Jim Davies, David Thursfield,
plus 56 Permanent Members and Spouse Members.
In addition, a total of 14 Members had submitted proxies
Preliminary
The President Henk Vooijs took the chair and opened the meeting. As a quorum was not present, he adjourned the meeting until 11.00 a.m.
At 11.00 a.m., at which time any number of members constituted a quorum in accordance with the statutes of the Club , he re-opened the meeting.
Approval of Minutes of 2010 AGM
The approval of the minutes of the 2010 AGM was duly proposed and seconded and passed by a show of hands.
Income and Expenditure Statement and Balance Sheet and Report of the Fiscal Board for 2010
In the absence of Karl-Heinz Fath, the Club Treasurer, Henk Vooijs presented the accounts. He went through the income and expenditure account, which showed a deficit of 292.05 Euros. Richard Clitherow said that he wished to bring to members’ attention the fact that the item of sundry expenses included the cost of club flags flown at the main entrances to the golf courses. Richard questioned whether these were really necessary. In response, Lisa Lisboa said that the flags played an important part in reinforcing the separate identity of Clube de Golfe do Levante. She confirmed that the annual cost was about 400 Euros, which pays for 6 flags. These are subject to considerable wear and require replacement three times a year. The matter was put to a vote and the overwhelming majority of members voted in favour of continuing the expenditure on club flags.
The approval of the Income and Expenditure Statement for 2010 was duly proposed and seconded and passed by a show of hands.
The Chairman then went through the balance sheet as at 31st December 2010. The approval of this balance sheet was then duly proposed and seconded and passed by a show of hands.
Budget for 2011
The approval of the budget for 2011 was duly proposed and seconded and passed by a show of hands
Subscriptions for 2011
The proposed subscription for 2011 of 220 Euros for single members and 325 Euros for couples, unchanged from 2010, was duly proposed and seconded and passed by a show of hands
Board Report for 2010
David Stevens presented the Board Report for 2010. He said that he did not intend to read out the report but would be happy to answer questions. Richard Clitherow asked whether the Board was responsible for the activities of its committees, for instance the handicap and competition committees. David Stevens confirmed that if any of the committees had activity, the Board was responsible for the activities of such committees. Richard Clitherow then asked why the Board Report did not make any mention of the activities of its committees. David Stevens responded that none of the Club committees had held any meeting during the past year. Richard Clitherow then raised the issue of the black tee markers as an example of a matter that he felt required consideration by at least one of the Club committees. There is confusion as to the age at which members can play from the black tees and the extent to which these tees can be used for competitions. Richard thinks that this is a matter which the competitions and handicap committees should consider and make recommendations to the Board. David Stevens said he thought that the installation of the tees was a matter for Quinta da Ria, and that with very few exceptions all men’s’ competitions were played from the yellow tees. There followed a somewhat heated discussion about the use of black tees, some members expressing the view that members in their seventies with low handicaps would consider it insulting to even consider playing off the black tees. Val Rennie questioned whether it would be necessary to install special ladies’ tees. The Chairman indicated that the matter would be considered by the Board, if necessary seeking views from the appropriate committees.
Roy Smith said that according to his calculations, the subscription income for 2011 having regard to the increased number of members did not tally with the figure shown in the budget. Lisa Lisboa responded that this reflected the fact that some members were not paying their subscriptions. Anneli Lindroos confirmed that the fiscal board had checked all the relevant calculations and found them to be correct
The approval of the Board Report for 2010 was then duly proposed and seconded and passed by a show of hands
Approval of renewal of honorary memberships
The renewal of the honorary memberships of Dr. António João Moita and Dr. José Gago Leiria was duly proposed and seconded and passed by a show of hands.
Election of members of the Board of Management
The Chairman advised that in accordance with the Club statutes, the number of Board members nominated by the Founder Members would be reduced by one and the number of elected members would be increased by one. Dieter Hoffman, a Board member nominated by the founder members, would be standing down, and the Chairman expressed the thanks of the Board for his efforts. The four current Board members Henk Vooijs, Tim Franks, Yvonne Peek and David Stevens, were all willing to stand for re-election. In addition Tony McHale had been nominated for the fifth vacancy. These five candidates were duly proposed and seconded and elected by a show of hands.
The Chairman advised that Richard Clitherow and Tony McHale were retiring from the Fiscal Board, and the Chairmand thanked them for their efforts. Anneli Lindroos was standing for re-election, whilst Peter Connon and Graham Hamilton had been nominated to fill the other two vacancies. The three candidates were duly proposed and seconded and elected by a show of hands.
Election of Men’s Captain and Ladies’ Captain
The Chairman advised that Bob Slowgrove had been nominated as Mens’Captain and Ciska Van Nimwegen as Ladies’ Captain. Bob Slowgrove and Cisca Van Nimwegen were then duly proposed and seconded and elected by a show of hands.
The Chairman advised that Bob Slowgrove had selected Tony McHale as his Vice Captain, and that Cisca Van Nimwegen had selected Christine Cook as her Vice Captain. These selections were proposed and seconded and approved by a show of hands
Sue Storer pointed out that there had been very few entries for the singles math play competition and suggested that the Club should revert to the old practice of having this competition played over an extended period with one round played each month. The Chairman responded that this system had created difficulties in the past because so many members were out of the country for large parts of the year,, making it difficult to find convenient dates for both parties. There had been problems previously in getting matches completed on time. Tony McHale said that a competition staged over an extended period with deadlines for each round could work perfectly well if the rules regarding the fixing of dates and the deadlines for completion of rounds were strictly adhered to. He also suggested that the dates for the 2012 competitions should be advised to members by September 2011.This proposal met with the approval of the meeting. The Chairman confirmed that the matter would be considered by the Board.
Mr. Verloop said that he was happy to see the courses so well maintained. In particular he had found that the fairways were drier than before. He asked for consideration to be given to the bunker sand in hole 7 of the Ria course, which can cause serious problems. The Chairman said that he thought that excellent work had been done on both courses.
Lynn Smith asked where the bunker rakes should be placed, in or out of the bunker. It was agreed that rakes should be left in the bunkers, but not placed in such a position that a ball might be stopped by a rake just inside the bunker lip. John Buchanan suggested that best practise was to reach into the bunker, placing the rake in the bunker with the head of the rake pointing away from the player in such a position that the next person seeking to use the rake could readily pick up the handle of the rake
David Thursfield asked about the financial state of Quinta da Ria S.A. It was indicated that Jose Lisboa would be able to answer this question later in the meeting.
Sue Storer asked about the members ‘club cards, which cannot now be accepted at the bar. José Lisboa replied that a new computer system had been installed in the bar which is not yet compatible with the club cards but that these can still be used in the reception.
Richard Clitherow suggested that the meeting should be closed prior to any presentation from José Lisboa so that the minutes would not need to record the content of such presentation.
Peter Connon pointed out the problem with the sunken areas surrounding trees that had previously been staked. Balls coming to rest in these areas are virtually unplayable. He thinks that these areas should either be raised to the level of the surrounding ground or that there should be a local rule allowing relief from these areas. The Chairman responded that a local rule would be adopted to provide appropriate relief.
Mrs. Verloop asked whether it would be possible to play late into the evening during the summer; she believes that this is not possible at present because of irrigation
In the absence of any further business, the meeting was then formally closed at 12:15
José Lisboa was then asked to address members.
He said he was happy to see so many members attending the annual general meeting. He confirmed that contrary to any rumours, Quinta da Ria was not in hands of the banks. Gross revenue had reduced from 3.3 million Euros to 2.8million Euros. There are 50 members who have not paid their subscriptions to Quinta da Ria, and this is making the financial position of the company more difficult. In the past Jose has said that the company did not wish to take the drastic action of forfeiture in the case of members failing to pay their subscriptions. He has now re-considered this position and proposes to take action to forfeit the titles of 5 members who have not paid their subscriptions since 2006.
Quinta da Ria have not reduced the price of new titles and do not intend to do so as they think it unfair to members who paid 50,000 Euros for their titles. He is concerned that some members are re-selling their titles at very low prices. Under the terms of the contract between the club and Quinta da Ria, the company has the right to refuse transfers of titles at prices it considers too low, and may consider exercising this right if it considers it is in the interests of members to do so.
Subscription income in 2010 was 206,000 Euros; this compares with 282,000 Euros two years ago. It has been a big financial struggle for the company. It has been necessary to make cuts in expenditure. Annual expenditure has been reduced from 2.5 to 2.3 million Euros. This cut may have been reflected in the maintenance of the courses. It has been necessary to terminate the employment of 20 employees, and senior management have taken a 10% pay cut. The difficult conditions have made it necessary to use members’ tee times, not only for visitors but also for hotel guests, and José asked for members’ understanding
José is aware that many other golf clubs are having financial problems. He recently attended a convention of golf course owners in London. He is discussing with a number of prestigious clubs (including the club at which the Ryder Cup will be held in 2018 if France’s bid is successful) the possibility of reciprocal arrangements with Quinta da Ria.
Jan Van Nimwegen stressed the importance of marshals to ensure a good speed of play and to communicate effectively with hotel guests who are playing in members’ tee times. José agreed and said that there will be four rangers on the courses with buggies. They will also carry drinks so dispensing with the need for a buggy bar. Rosário advised that she was attempting to ensure that only better golfers from the hotel played in members’ tee times. Tony McHale emphasised that a polite rather than an aggressive attitude towards hotel guests was likely to be effective.
As regards the fairways, José said that these were drier partly because their width had been reduced. The sand from Quinta de Cima had been used to re-fill the greenside bunkers on Hole 7 of the Ria course. He is now trying to cover the slopes at the edges of the Cima bunkers. The excess sand will be removed. New drainage will be installed in the bunkers on the Ria course.
As regards bunker rakes, he thinks the best course is to fit a spike to the end of each rake so that rakes can be stuck into the ground next to the bunker.
He emphasised that membership cards can still be used in the reception whilst work is done to make the cards compatible with the new software installed in the bar.
As regards the areas around the bases of the formerly staked trees, he thinks the best solution is to replace the blue stakes, and he will take this action.
As there are large areas of grass, it is necessary for irrigation to take place over an extended period and for this reason it will not be possible for members to play late in the evening during the summer. José advised that amount of water being used for irrigation had been reduced. The requirements of the two courses are different because of the differing soil conditions and the different types of grass used.
As regards the finances of Quinta da Ria S.A., there was a gross operating profit of 180,000 Euros in 2010. José did not draw any salary from the company. He is currently negotiating an extension of the facilities provided by Banco Espirito Santo. It had been hoped to attract some risk capital but this did not materialise. The company owning the hotel is doing better and had its first year in profit. The courses have been valued by the bank at 28 million Euros in 2006. Quinta da Ria has outstanding facilities of 14 million.
Henk Vooijs
Chairman