Interim YMCA Financials and Revised Pro-Formas are Missing

Ted Noftall
7:31 AM)

to Greg, Bob, Dennis, don, Drew, Mayor
ymca Greg,
 I believe it only prudent that the City understand  the current financial position of the parent Y by requesting  and reviewing   interim financial statements of the parent Y for the  six months ended  June 30th 2013.
If you have not already done so will you request interim financials and distribute them as soon as possible ??
ADDITIONALLY  I am unclear as to why revised pro-formas  have not been prepared to reflect the steep decline in expected Port Orange Y revenues  that was discussed with Counsel in their secret meetings with the CEO of the parent Y ??
This information was requested back on Aug 8th
Ted  Noftall

—–Original Message—–
From: Kisela, Greg []
Sent: Friday, August 09, 2013 7:17 AM
To: Ted Noftall
Cc: Fenwick, Robin; Saunders, Wayne; City Council
Subject: Re: Need Financials for Parent YMCA
Ted: I won’t be in the office until early to mid afternoon but will send you the pro forma the YMCA prepared when I am back. It assumes revenue growth and expense increases.  We know the Port Orange Y has lost approximately 10 percent of their revenue over the past 5 years but they have reduced their expenses accordingly. The Y pays about $205K in annual lease payments and they are current.  The pro forma shows a ramping up of payments to amortize the new lease.
Greg Kisela
City Manager

—–Original Message—–
From: Ted Noftall []
Sent: Thursday, August 08, 2013 3:12 PM
To: ‘Kisela, Greg’
Cc: ‘Fenwick, Robin’
Subject: FW: Need Financials for Parent YMCA
Thank you for distributing these financials as you did.  I have 4 questions.
1) What was the total amount paid by the Parent Y to the City of Port Orange for each of the years under review.

  •    a) How are these amounts calculated.
  •   b) Is the Parent Y current with all payments.

2) Is this annual payment amount expected to increase, decline or remain the same during renovations and for the 3 years thereafter.
3) Are interim financials for the 6 months ended June 30 2013 available for the Parent Y
4) Are revised pro-forma financials being prepared for the Port Orange Y that will reflect the expected steep revenue reductions discussed with Council during their private meetings last week.

 Ted Noftall

2 thoughts on “Interim YMCA Financials and Revised Pro-Formas are Missing

  • August 27, 2013 at 1:35 pm

    We do not have the interim financials. I provided you the audited 2012 financial statements. The pro forma provided was the financial document the YMCA believes reflects the future. I would categorize it as “best case”.
    The difficulty in developing a pro forma is the assumption you make on revenues. The Y believes the pro forma they have presented represents an accurate financial picture of the future. As I stated in my memo the past five (5) years of recessionary times combined with the new competition from LA Fitness makes it very difficult to forecast. That is why I suggested the safeguards to mitigate the risk.
    Greg Kisela
    City Manager

  • August 27, 2013 at 1:38 pm

    I am not understanding your reply.
    As regards interim financials
    Have you requested interim financials for the 6 months ended June 30th ? Do you not consider them important ? Did they refuse to release them ? Do they not prepare interim financials ?
    As regards pro-formas
    How exactly does the parent Y “believe the pro forma they have presented represents an accurate financial picture of the future” when they are telling you and Counsel something entirely different in secret ???
    None of this is very settling for taxpayers.
    Ted Noftall


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