CCR News March 2020 | Page 16

CCR Financial Key Performance Indicators (KPI’s) A1 – Gross Operating Fund Revenue This metric is the income derived from all operational sources including dues, dining, sports and recreation activities, campground, operating assessments, etc. Operating income does not include capital income from initiation fees, capital dues, capital assessments, sales of property, or other income from non-operating sources. A2 – Gross Operating Fund Expenses This metric is the expenses paid out by the club for all operational sources including payroll, supplies, gravel, licenses, taxes, legal services, insurances, etc. Operating expenses do not include forestry, gas well expenses, major capital asset repairs or replacements, or purchase of new major assets. A3 – Net Operating Result (Profit/Loss) This metric is calculated by subtracting the club’s total operating expenses from the Gross Operating Revenue (A1). These expenses exclude any expenses related to Capital Fund. Net Operating Result ideally should be break-even or positive. Given that nearly 80% of a club’s Gross Operating Revenue comes from dues revenue, a negative Net Operating Result is obviously caused by expenditures outpacing the club’s ability to support those expenditures. Continued on page 13 16