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and needs as well as those which will attract the next
generation of members allows the Club to justify:
6. Superior Facilities. Keeping our facilities in first-class
repair and always ready for member use and enjoyment is
critical to maintaining current members and attracting
new ones. Finally,
7. Continuous Research and Communication is an absolute
requirement for staying “ahead of the curve” of member
expectations and providing the intelligence for good
decision-making.
The research that went into this Strategic Plan built on prior
planning efforts undertaken by past CCR members and Boards.
Like these previous efforts, this Plan’s purpose is to ensure the
long-term success and sustainability of the Ranch.
to a little over $100,000. And by 2018, gas revenues shrunk to only
$27,000. With dwindling production volumes, and natural gas
prices falling to less than $2.25, our 2019 royalties will certainly be
much less. But the actual closing and capping of almost 40% of
our wells is a visual and dramatic reminder that we’ve effectively
reached the end of this revenue stream. And losing our gas
revenues is actually a pretty big deal.
Over the years gas subsidies to the Operating and Capital funds
have helped keep members’ dues burden very low while the Club
continued to offer a wide range of high-quality amenities and
member experiences, and our capital assets were kept in good
repair.
According to our Bylaws, 60% of each year ’s gas revenues are
awarded to the Capital Fund, with another 20% going to
Operations. That means in 2014, the Capital Fund received $60,000
from gas royalties. But in 2018, the Capital Fund received only
$16,000. Unfortunately, this dramatic decline in gas revenues
hasn’t been accompanied by a decline in necessary expenses from
the Capital Fund. Each year we need to spend on average $340,000
from that Fund to repair or replace our existing capital assets. The
Capital Assessment portion of our annual dues brings in $140,000
each year – leaving the Board to make up the $200,000 difference
without the help of the gas royalties. And that is just the year-to-
year challenge facing our Capital Fund. As we consider eventually
replacing our largest and most expensive capital assets, the current
structure of the Capital Fund simply won’t be able to supply the
money.
We also added lots of information and feedback from our current
members in devising this Plan. Two day-long workshops were
held in the Bickley Room last May and June. These workshops
explored the Ranch’s internal Strengths and Weaknesses. They
also identified Opportunities and Threats from outside the
Association that the Board needed to consider in its Strategic
Planning.
The themes developed in those workshops became the basis for a
comprehensive survey which was made available to all CCR
members online. Over 540 members responded to this survey with
both statistical feedback and specific written comments. This
member-generated information formed the basis for the vision and
specific Goals and Objectives contained in this Plan. It is available
on our website under the Documents section of the Member page.
The Capital Fund challenge was one important driver the Board
considered as it defined a Strategic Plan. Over the past year or so
the Plan took shape and is now approved and is being
implemented.
The Plan itself is only 14 pages long. It is designed to be an easy
document to read and understand. It is the blueprint the Board
will follow as it decides what to focus on. And, it provides a
perpetual process for future Boards to use to keep the Plan fresh
and relevant. You are encouraged to read it on our website, and ask
questions about any parts of it that you’d like to know more about.
The Plan is rooted in the aspirations expressed in our Mission
Statement. But aspirations alone aren’t sufficient to actually
produce a Club that is truly stronger and more sustainable into
the future. The Plan had to be systematically designed to identify
Key Areas of Focus that would assure every major element
necessary to success was included. The design of this Plan
describes Seven Key Areas of Focus that are critical to the success
of any private club. These Areas of Focus are linked and dependent
on one another.
1.
2.
3.
4.
5.
Let’s conclude this message on an upbeat note of optimism and
opportunity. You may be familiar with the old saying, “Nothing is
good or bad, except by comparison.”
When we compare Canada Creek Ranch to other private clubs on
the question of value received for dollar spent, our members can
boast one of the very best value propositions across the entire
private club industry.
The foundation of every successful Club is a Strong and
Vibrant Membership, consisting of people who are active,
involved, and interested in making the Club stronger.
Such a membership is able to attract:
An Effective and Skilled Governing Board. Individuals
whose sense of duty to the Club calls them to serve in a
fiduciary capacity on behalf of the membership. One of
the most important duties of the Board is to select and
train:
Good Management. An individual who can manage the
complexities of a Club like CCR, from member-relations
to hotel management. From restauranteur to roads and
equipment repair. And one of the Manager ’s most
important duties is to insist upon:
Excellent Financial Stewardship. Using scare money
wisely and with a clear understanding of the right
priorities enables the Club to provide:
The Right Programs and Services. Providing programs
and services aimed at satisfying current members’ wants
Take, for example, our total dues burden. In 2018, a CCR member
with a single membership certificate paid a total of $683.69.
Comparing that number to the dues paid by members in other
non-golf private clubs we found that over 99% of those other clubs
charge more than Canada Creek Ranch. And the members of most
of these clubs pay significantly more than us. We’re not talking
about fancy “Country Clubs” or special “Hunt Clubs”, either. For
example, Lost Lake Woods, our closest competitor just south of
Alpena, often referred to as “our sister club” and founded in 1926
by the same developer who started CCR, requires their members to
pay $1,500 each year, over twice the annual dues as a CCR member.
In addition, their user fees are significantly higher than CCR. Here
are some examples. Each year, Lost Lake Woods charges each
member a $25 fee for a Sportsman’s Badge, another $25 for each
vehicle they want to register, and $10 for a Blind Tag. CCR members
pay nothing extra for these same benefits and conveniences.
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