About PACC 20/20 & Beyond
A primary role of the PACC Board of Directors is to monitor the performance of the Club and chart a strategic course to ensure that our programs and amenities meet the standard and needs of not only our current Members, but also of future generations. With that in mind, after many months of analysis and deliberations, the Board of Directors recommended and membership approved the PACC 20/20 & Beyond plan.
This strategic action plan includes significant enhancements to our Club over the next six years, including:
Rather than reach out to our membership for an up-front investment, it is the goal of the Board and Operations Team to fund PACC 20/20 & Beyond through our monthly capital fees and bank financing. Fiscal year 2019 was an exceptional year financially for the Club, with the Chesapeake Room renovation, enhancements to the indoor tennis facility, and a significant number of new members, contributing to that success. The Board is confident that continued strong performance will allow us to fund the PACC 20/20 & Beyond in a fiscally responsible and strategic manner. The only request of you is that you continue to enjoy your Club and encourage your friends, family and colleagues to join the PACC family.
This strategic action plan includes significant enhancements to our Club over the next six years, including:
- A complete renovation of our aquatics complex, which will feature a new resort-style swimming pool with zero/beach entry, children’s water features, cabana bar, shade structures, resort-style furniture, an attractive entry building and family restrooms (Complete - $4.1M)
- The acquisition and renovation of the property at 3901 Holly Road, which will be converted to the “Holly Beach Bungalow” and made available for overnight accommodations for Members and their guests (Complete - $140K)
- A new youth room in the clubhouse designed specifically as a retreat for young ladies and gentlemen to include computers, gaming systems, table games, lounge furniture and more (Complete - $37K)
- Tennis and Pickleball enhancements including court 8 being converted to two pickleball courts (Complete - $38K)
- The completion of our conversion to Better Billy Bunkers on the golf course (Complete - $495K)
- Other golf course improvements that may include the addition of a putting green adjacent to the driving range as well as an enhanced short game practice area and cart path enhancements (Ongoing - $875K)
- An indoor golf simulator/instructional center (Complete - $523K)
- A refreshing of the Linkhorn Lounge bar area to develop an elegant “bourbon bar” atmosphere (Ongoing - $476K)
Rather than reach out to our membership for an up-front investment, it is the goal of the Board and Operations Team to fund PACC 20/20 & Beyond through our monthly capital fees and bank financing. Fiscal year 2019 was an exceptional year financially for the Club, with the Chesapeake Room renovation, enhancements to the indoor tennis facility, and a significant number of new members, contributing to that success. The Board is confident that continued strong performance will allow us to fund the PACC 20/20 & Beyond in a fiscally responsible and strategic manner. The only request of you is that you continue to enjoy your Club and encourage your friends, family and colleagues to join the PACC family.
Project Costs & Funding
Over the past 17 years, the Princess Anne has invested more than $24 million in major projects to enhance the Member experience. During that time, the Club has efficiently serviced debt through a combination of the monthly capital fee, upfront Member investments and new Member joining fees. The Club's total debt currently totals close to $7.5 million. This past fiscal year your Club invested over $1.8 million in capital improvements, primarily to the Chesapeake Room and tennis facilities, all funded through cash reserves.
To fund PACC 20/20 & Beyond, the Club will borrow an additional $4 million and fully fund all debt service through ongoing monthly capital fees that generate just over $1 million annually. This past fiscal year, the Club generated more than $1.2 million in income after debt service and has adopted a budget for the 2019-2020 fiscal year that will net nearly $950,000 after debt service. This income and future positive cash flow will be allocated to the Club's capital reserve fund and PACC 20/20 & Beyond projects.
To fund PACC 20/20 & Beyond, the Club will borrow an additional $4 million and fully fund all debt service through ongoing monthly capital fees that generate just over $1 million annually. This past fiscal year, the Club generated more than $1.2 million in income after debt service and has adopted a budget for the 2019-2020 fiscal year that will net nearly $950,000 after debt service. This income and future positive cash flow will be allocated to the Club's capital reserve fund and PACC 20/20 & Beyond projects.
| PACC 20/20 & Beyond Estimated Costs | |
|---|---|
| Pool | $1,800,000 |
| Pool Entry Building | $380,000 |
| Poolside Cabana Bar & Deck | $350,000 |
| Site Work | $900,000 |
| Youth Room | $50,000 |
| Better Billy Bunkers | $500,000 |
| Short Game Area, Putting Green & Cart Paths | $750,000 |
| Indoor Golf Simulator & Learning Center | $200,000 |
| Pickleball & Tennis Enhancements | $450,000 |
| FF&E, IT, Security & Equipment | $350,000 |
| Linkhorn Lounge Bar Refresh | $125,000 |
| Holly Beach Bungalow Renovation | $70,000 |
| Contingency | $650,000 |
| Total Proposed Projects | $6,575,000 |
Timeline
The projected timeline of implementation has been strategically designed to best balance maintenance-driven and member-preferred enhancements, while appropriately managing the Club's fiduciary needs.
Fiscal Year 2019-2020 (October 2019 - September 2020) Projects:
Fiscal Year 2019-2020 (October 2019 - September 2020) Projects:
- Pickleball & Tennis Court Improvements l Fall 2019
- Holly Beach Bungalow Renovation l Fall/Winter 2019-2020
- Better Billy Bunker Completion l Fall/Winter 2019-2020
- Youth Room l Completed by Summer 2020
- Pool Renovation l Labor Day 2020-Memorial Day 2021
Frequently Asked Questions
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How were the projects prioritized?
The timeline of project implementation has been strategically designed to best balance maintenance-necessitated enhancements with member-preferred enhancements, while appropriately managing the Club's fiduciary needs. -
What are the parking implications of the pool project?
The pool renovation will require the elimination of approximately ten parking spaces (nine regular and one handicap) from the Club's southwest parking lot; however, the current plan is to increase parking spaces in the Club's northwest parking lot as part of the Holly Beach Bungalow renovation. Long term, there may also be adjustments to the Club's main parking lot to add additional parking spaces as well as another access point off of Linkhorn Drive. -
Why are we replacing the pool entirely can’t it just be repaired and updated?
While well-loved by Members, the current pool is 27 years old and is the oldest asset on the Club's property. Ongoing maintenance issues combined with changes in pool trends for private clubs as well as member feedback placed this project high on the priority list for the Master Plan Committee and the Board of Directors. -
Why is the Club taking on more debt?
The Board of Directors and Finance Committee have studied this issue extensively and determined that it is best to absorb more debt at this time as opposed to levying a membership assessment, which historically has reduced our membership roster, or deferring capital investment. The current monthly capital fee provides sufficient revenue to appropriately service the Club’s debt. -
Are there any planned fitness enhancements?
The Board of Directors has made a commitment over the next six years to continually upgrade fitness equipment and the current fitness facility. The Master Plan and Building Committees thoroughly vetted an expansion to the existing fitness facility and recommended the construction of a new fitness facility be part of our future, long-range Master Plan. The Aquatics complex was designed to accommodate a potential site for the future fitness facility. -
Will these projects impact funds to complete ongoing maintenance?
No. The Finance Committee and Board of Directors have established a separate "Reserve Fund" to continually fund capital replacement and repair items such as HVAC, carpet, paint, fitness equipment, golf course equipment, roofing, etc. -
Are there plans to enlarge/modify the Breakers or Breakers kitchen?
There are no formal plans to enlarge the Breakers kitchen at this point; however, the Building and House Committees and Operations Team continue to explore options within the existing kitchen footprint. -
Will there be any changes to how the fitness center is accessed?
No. The current stairwells and elevator will remain intact. -
Will there be any changes to the pool locker rooms?
While there will be no changes to the current pool locker rooms, the new pool entry building will feature two new family restrooms.
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