I've listened to the tape of the April 16 WPA board meeting. I'm not going to transcribe every word of each report. I'm reporting what I heard to the best of my ability. Please listen to the tape yourself. TRANSCRIPTION IS UNDERLINED. COMMENTS IN RED
DeMarchi starts the report with a motion. "As you can see you have your financial report. This is the last report you will see with the William Douglas logo on it. To the best of our knowledge these numbers are very accurate as far as the balance sheet goes with what we are currently putting into Quick Books. You can see we have $477,000 approximately to operate the plantation on. At this time what I would like to do is I would like to make a motion that the board pay the existing balance on the First Federal canal dredging loan.....$75,903.48 but there are some interest charges to add on that...accumulate so the motion would be that I would like to see the note paid off at First Federal canal dredging, not to exceed $80,000" The motion was seconded by Garrison. Walton repeats the motion and asks if there is discussion. McBride, I just need some help in finding this here and how much cash you have." DeMarchi: "If you look at the first page John, which is the unaudited balance sheet which is sort of this little sort of document right here." Mc Bride, "$76,000, how much cash do we have?" DeMarchi, "We have $476,840.62. The reason I proposed paying this is paying this note off is.. you've just taken $477,000 is and you say $77,000 is canal loan, that leaves us $400,000. $240 of that, OK, we have $200,000 in reserves right now. These are just rough numbers. We'll put another $40,000 in reserves this year which leaves us $160,000 according to my schedule in my proposed budget. We will be collecting approximately another $40,00 this year which means we'll have $200,000...Once the loan is paid off it will take us through of next year. $130,000.... We'll have a $70,000 balance at the end of the year which can then be put into what ever we want - into reserves or other expenditures." McBride, So we've got plenty of cash. This loan will be paid this year regardless." Someone says, "yes". McBride, "We have plenty of cash to do it. We should do t now and save..." DeMarchi, Right, right. We are saving approximately $1,700. We are paying 6 1/2% and we can't get that any where. It's the best we can get anywhere, so it s the best return on our investment." McBride, "OK, you've answered my questions. Thank you."
COMMENTS:
Thanks to DeMarchi for a complete over view of the "state of the union." He laid it all out. This allows the board, and you and me, to understand the credible decision making process on the motion. Additionally, he answers his fellow board member with respect.
Should we pay the loan off? It makes sense, as presented. I do have concerns because of the behavior of this board. I don't trust. Why? Too many of the decisions leading up to decisions like this have been made behind closed doors, rather than at the board table. Too often, certain board members are intentionally left out of the loop. I have one other nagging concern regarding our finances and expenditures. In 2012, Cline made a motion to pay off a large portion of the loan. Now we are paying off about $77,000 early. The board has done little, to nothing, regarding roads, drainage, etc. in almost two years. I'm concerned about the way Wedgefield looks. We are getting shabbier, and shabbier. If making these advance payments has caused this lack of attention, then we are all paying to big of a price. It appears there is money. Let's get ARC moving on violations, and clean up our roads, repair the gate house, clean up drainage.
