2010 Assessment Determination Process

Melinda and I went through the following process to create the assessment spreadsheet for 2010:

We included all of the expenses to operate the marina using our 2010 approved operating budget. We rounded off the total to make it easier to calculate the assessments.

$1,372,435

We identified those expenses that are specifically outlined in the proprietary license and lease agreement, as per-capita expenses. These include expenses of a service nature, such as garbage pickup, snow removal, utilities (less the amount paid by slip owners and renters for electric charges), security service, accounting services, legal services and telephone. This led us to a total expense amount of:

$176,175 to be assessed per-capita (Divided by 211 slip owners equally).

We offset the remaining operating expenses, to determine our pro-rata assessments, in two areas. The first area is the amount we think we will generate in slip rentals, land storage and misc. income this year. This amount is estimated at:

$226,100

The second area is the amount we feel we will achieve in revenue operating the gas dock, service department, yard and retail. This amount is estimated at:

$686,335

This left us with the total pro-rata assessments (Based on square footage of each slip) of:

$283,825

The total assessments for operations are $460,000, ($176,175 + $283,825).

One additional assessment is billed to the thirty three slip owners who had new slip covers installed after 2004. The assessment is divided by the square footage of the respective slips (pro-rata) and totals $7,800 per year for ten years (2010 is year 4). All of the money collected from this assessment is swept to a restricted bank account and the money from this account can only be used to replace the fabric on those thirty three covers and must be approved by 60% of the members attending a Membership meeting or by mail in ballot.