The Columbia Association (CA) finished the first half of FY2012 with a positive variance in the increase in net assets of approximately $2.3 million (13.2 percent). CA anticipates ending FY2012 with an increase in net assets of approximately $4.2 million.
Total income of $48.7 million was on target, and 2.3 percent higher than the same period in FY2011. We expect total income to be on target for the year.
Total operating expenses of $28.6 million were eight percent below budget, with a favorable budget to actual variance of $2.5 million, and $784,000 or 2.8 percent higher than the same period in FY2011. Total operating expenses are anticipated to be under budget by $1.7 million or 2.8 percent for the year.
Community Building and Sustainability
The budget for the bureau was created by shifting and distributing line items from the Open Space budget center and newly approved funds for the new initiatives mentioned above. Although some variances appear from the initially redistributed and reallocated budget line items through the second quarter of FY2012, it is not anticipated that these will adversely affect the year end outcome. The current projection for the end of fiscal year indicates the service bureau will complete the year better than budgeted in total operating expenses.
The Community Services Division finished the second quarter $594,000 better than budget. The positive variance compared to budget is due to an 8.8 percent increase in total income and a seven percent savings in total expenses. The division anticipates completing the year better than budget.
Some of the important programs that are supported by the subsidy of $1,257,000 from the annual charge are the Summer Lakefront Festival, Columbia Archives, Sister Cities, International Day, Columbia Art Center, Volunteer Center Serving Howard County, Columbia Teen Center, covenant enforcement fees and access to camps and before and after school care for income-qualified youngsters. In addition, it provides support to the village community associations in the amount of $2,488,000.
Open Space Management
The Open Space Management Division completed the second quarter of the fiscal year better than the budget in total operating expenses by $901,000 and with a decrease in net assets of $5,815,000. This represents a favorable variance of $1,201,000 from budget. All departments in the division had total operating expenses less than the budget through the quarter.
The current estimate shows that by year’s end, a total of $13,689,000 of annual charge revenue will be required to protect, improve and maintain the environmental assets of Columbia, which include more than 3,600 acres of open space, nearly 94 miles of pathways, 167 tot lots, 284 footbridges, 34 miles of stream valleys, three lakes and 41 ponds and many other amenities.
Sports & Fitness
A number of new programs and highlights occurred during the first two quarters of FY2012, including the launch of small group training at the fitness facilities; the largest number of participants ever, in FY2012, in the Columbia Neighborhood Swim League, with 2507 swimmers on 14 teams; the new Quick Start tennis program for kids 10 and under, which had 72 kids playing at the Athletic Club indoor tennis facility; and an all-time record number of players in the USTA ( United States Tennis Association) League Play, with 3,139 players.
The division completed the quarter 8.5 percent better than budget and 6 percent better than FY2011. Overall the division is projected to complete FY 12 3.0% better than budget for the year.
Sales and Marketing
Sales of new and renewal Package Plan memberships were up 127 memberships over last year and 183 memberships more than budget. Through second quarter of FY2012, 4,801 Resident Cards have been issued. We expect our direct mail, email marketing and print advertising campaigns to bring in new members.
Other accomplishments include outreach to area Realtors and property managers; partnership with the Howard County Chamber of Commerce Young Professional network; development of a new logo, creative and continued work on finalizing CA’s brand message; and participation in Womenfest and 50+ Expo.
We will continue to promote the Why I Pay CA campaign and our successful print, direct mail and e-marketing campaigns to advertise the value of CA memberships, outdoor pool memberships and golf memberships.
For the full report and further explanation of individual variances throughout CA’s operations, please refer to the FY12 First Quarter Board Report, available at CA Headquarters, 10221 Wincopin Circle, Columbia, MD 21044 or online.