The following items are extracted from the Minutes of the LCCCA Finance Committee meeting of December 14, 2009. Annual operating losses were less than otherwise due to the two month construction delay:
“General Manager’s Report
Details of the monthly financial statements for November were discussed. The revenue for November was $55,771 compared to a budgeted amount of $78,559. The fiscal year to date revenue was $442,434 compared to a budgeted amount of $525,788.
The net operating loss for November was $129,040 compared to a budgeted amount of $89,821. The fiscal year to date net operating loss was $507,479 compared to a budgeted amount of $585,364.
“Operating Budget vs. Actual Variance Report:
The fiscal year to date income was $273,871.62 compared to a budgeted amount of $285,664.00. The fiscal year to date expense was $316,747.77 compared to a budgeted amount of $301,116.00.
This is primarily due to a negative variance in solicitor fees of $26,142.15 and insurance expense of $7,000.26.”
Most significant are the November revenue numbers, $22,788 below budget, or only 71% of the amount anticipated.
Missing from this report are the actual operational losses compared to actual “hotel tax” revenue remaining after debt service and other financing costs. This figure is the most important one of all, since it will demonstrate if there is a need to increase the “hotel tax”.