coronavirus town hall master deck€¦ · a la carte revenue • depends on the state – could go...
TRANSCRIPT
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Coronavirus Town Hall for Clubs
National Club Association March 16, 2020
Joe Trauger, VP of Government Relations, National Club Association Catherine Troisi, PhD, Infectious Disease Epidemiologist,
The University of Texas Health Science Center at Houston Alan Achatz, President, Club Safety Solutions Frank Vain, President, McMahon Group Ray Cronin, Founder & Chief Innovation Officer, Club Benchmarking Mitch Boyarsky, Partner, Nelson Mullins, LLC
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Joe Trauger
Vice President of Government Relations National Club Association
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Families First Act
• House Passed Friday, March 13 (363-40) • Free COVID-19 Testing • Paid Leave • Unemployment Assistance • Nutrition Assistance • Tax Credits • Unclear How Much Legislation Will Cost • Guidance From Treasury Department
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What's Ahead
• There have been two Coronavirus-related bills so far • $8 billion for HHS response efforts • Families First Act
• Congressional and Administration Officials have agreed to do a third package • Airlines • Cruise Lines • Small Businesses • Hospitality Industry • Associations and nonprofit entities? • NCA has sent letter urging inclusion
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Dr. Catherine L. Troisi, PhD, MS
Associate Professor Management, Policy, & Community Health; and Epidemiology, Human Genetics, and Environmental Sciences The University of Texas Health Science Center at Houston School for Public Health
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Alan Achatz, CCM, CHE
OSHA General Industry Outreach Trainer President Club Safety Solutions, LLC
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Ray Cronin
Founder & Chief Innovation Officer Club Benchmarking
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Frank Vain
President McMahon Group
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Mitch Boyarsky
Partner Nelson Mullins, LLC
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Workforce Considerations For Clubs
Presented by
Mitch Boyarsky
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Contact Information
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Mitch Boyarsky Partner (646) 428-2619 280 Park Avenue 15th Floor West New York, NY 10017 [email protected]
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Policies and Procedures
1. Develop policies and procedures for employees and members, including employee handbook and statement for members
2. Communicate preventive measures to members and train employees 3. Understand federal and state leave laws for employees 4. Consider temporary pay policies for employees under quarantine 5. Follow HIPAA and privacy laws related to protected health information 6. Avoid workplace discrimination 7. Regularly consult federal government websites including CDC
(www.cdc.gov/coronavirus/2019-ncov/about/symptoms.html) and WHO (https://www.who.int/emergencies/diseases/novel-coronavirus-2019/travel-advice)
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Best Practices
1. Pandemic plan 2. Cleanliness and hygiene in facilities and golf carts 3. Social distancing and limited group events 4. Uniform maintenance 5. Caddie and staff etiquette 6. Contingency for absenteeism 7. Membership buy-in
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Questions
1. If an employee tests positive for coronavirus, can the club inquire with the employee about the exposure? What should the club say to other employees? What should the club say to its members?
2. Does the club have to pay employees if it shuts down? 3. What happens if employees refuse to come to work because they are afraid
of exposure to the virus? 4. Can the club require ask employees to take his/her temperature? 5. Does an employee have an obligation to inform the club of an exposure?
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© 2019 Club Benchmarking, All Rights Reserved.© 2019 Club Benchmarking, All Rights Reserved.
March 16, 2020
Coronavirus Economic Slowdown
Financial Effect on Clubs
!18
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© 2019 Club Benchmarking, All Rights Reserved.© 2019 Club Benchmarking, All Rights Reserved.
• Non-Dues Revenue ▪ Banquet Revenue
• 2 Months of Pressure Immediately ▪ Outing Revenue
• April and Likely May Immediately ▪ A La Carte Revenue
• Depends on the State – Could go to zero ▪ Rooms Revenue
• Likely strained for 2 – 4 months
• Dues Revenue ▪ New Member Entry (likely an issue for 2 – 4 months) ▪ Existing Member Exit – will it make members ask, do I need the club?
Successful clubs with high member engagement/satisfaction and wait lists are less susceptible
• Recurring Capital Dues and Debt Service Dues
• Initiation Fee Income
Financial Effect
!19
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© 2019 Club Benchmarking, All Rights Reserved.© 2019 Club Benchmarking, All Rights Reserved.
• Recurring Capital Dues and Debt Service Dues ▪ Should keep generating the same unless members exit (only marginal)
• Initiation Fee Income ▪ Beginning of season in the Northern 50% of country – could have an
impact.
• Capital Investment Projects ▪ Likely tied to how long the shutdown is in place. Longer time, greater
uncertainty.
• The “Wild Card” is the stock market. How long does it take to recover? How low could it go?
Financial Effect
!20
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© 2019 Club Benchmarking, All Rights Reserved.© 2019 Club Benchmarking, All Rights Reserved.
The Operating Ledger – Clubs with Golf
!21
Clubs more reliant on ancillary fees will have more “stress” on the operating ledger.
Clubs that are “dues-centric” will have less “stress” on the operating ledger.
• Is your operating model “Fees Centric” or “Dues Centric?”
• More “leveraged” (rely on ancillary fees and outside revenue) Operating Models will likely have more “stress”
Clubs with Golf
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© 2019 Club Benchmarking, All Rights Reserved.© 2019 Club Benchmarking, All Rights Reserved.
The Operating Ledger – Clubs with Golf
!22
Clubs more reliant on ancillary fees will have more “stress” on the operating ledger.
Clubs that are “dues-centric” will have less “stress” on the operating ledger.
• Is your operating model “Fees Centric” or “Dues Centric?”
• More “leveraged” (rely on ancillary fees and outside revenue) Operating Models will likely have more “stress”
Clubs without Golf
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© 2019 Club Benchmarking, All Rights Reserved.© 2019 Club Benchmarking, All Rights Reserved.
• The market is constantly changing o Members constantly entering and exiting clubs o Member counts constantly fluctuating o Clubs continuously raising/lowering initiation fee, dues, and fees
• As evidenced in the 2007/2008 economic meltdown, the market can change abruptly and quickly.
• We aim to deliver strategic insight for each club in near real time by • Allowing each club to see their own trends in relation to their competitive set • And the Industry
• The Market Insight, as requested by clubs, is in sync with the monthly Board meeting rhythm
• Think – next recession. We need to see the market as it happens so we make better decisions.
Strategic Monthly Dashboard
www.clubbenchmarking.com/monthly
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2019 NOVEL CORONAVIRUS
Catherine Troisi, PhD UTHealth School of Public Health 9 March 2020
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WHAT WE KNOW
! Member of the coronavirus family; not seen in humans previously ! Very similar to virus found in bats ! Person to person transmission occurs ! Sx are similar to flu; some cases may present with GI sx ! Elderly, morbidly obese, those with co-morbid conditions at higher risk of
dying ! Mass scale quarantines bought us time to prepare but can’t contain the
virus ! Will require a different approach from SARS ! Not a black swam event – cutbacks in public health funding have affected
our ability to detect/address pandemics
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WHAT WE KNOW RIGHT NOW
! Person to person spread through droplets, personal contact, fomites, maybe aerosol?
! Incubation period of 1-14 days, mean around 5 – 7 days ! More infectious than SARS but lower percent of deaths among
those infected ! People can shed virus early in the infection ! Higher rates of death in elderly, co-morbid conditions, men, lower
in children ! About 14%-20% of infections are severe ! About 2% of those infected die – range between 0.5% and 3.5%
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WHAT WE DON’T KNOW THAT WE WISH WE DID
! What is role of presymptomatic, asymptomatic, postsymptomatic infections in transmission?
! When a person is most infectious? ! How long virus can remain in environment – preliminary reports of up to
2-3 days ! Will virus disappear when warmer weather occurs? And if so, will it
return next fall?
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WORLDWIDE SITUATION AS OF 15 MARCH 2020
! >163,000 confirmed infections – 50% outside mainland China ! >6,0000 deaths ! Cases reported in 146 other countries, seeing community transmission ! Pandemic, infodemic, and feardemic ! Concern over rapid increase in cases in Europe esp. Italy, Iran
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US SITUATION AS OF 8 MARCH 2020
! >3,000 cases with rapid increase despite limited testing; 62 deaths ! Cases in 49 states plus DC, Puerto Rico, VI, ! Federal response has not been optimal
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WHAT’S GOING TO HAPPEN?
! Hard to predict but we have not contained the virus ! Will see many more cases ! Will it be mild, moderate or severe? ! Not as serious as SARS – but spreads easier if people not as sick ! May become endemic like other respiratory viruses (colds, flu)
! Moving from containment to control - will require international cooperation
! Social (physical) distancing
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Effect of Community Mitigation!31
Earlier timing of interventions was associated with lower peak death rates Interventions included:
Closure of schools, churches, dance halls, and theatersBans on public gatherings
Examples from Philadelphia and St Louis Philadelphia delayed implementation of interventions, allowed Liberty Loan Parade in SeptemberSt Louis implemented multiple measures early after first cases identified
Hatchett PNAS 2007; Markel JAMA 2007. Information on slide courtesy of Dan Jernigan/CDC;
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ARE WE PREPARED?
! PPE ! Medical beds/ventilators and other equipment ! Infections in HCW, public safety, teachers, etc ! $8.3B in emergency funding signed 3/5 ! Health depts working overtime
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HOW BAD WILL IT GET?
! How contagious is the virus? ! How deadly is the virus? ! Are people infectious before/without symptoms? ! How much have infected persons traveled? ! How effective is our response? ! How long to develop vaccine?
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MEASURES SCIENTISTS WORKING ON
! New diagnostics ! Vaccine ! Antivirals
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HOW TO REDUCE YOUR (AND OTHER PEOPLE’S) RISK
! Don’t panic ! Wash your hands with soap and water (20 seconds or two ‘Happy
Birthdays’); moisturize ! If soap/water not available, use alcohol-based hand sanitizer ! Clean and disinfect frequently touched objects and surfaces ! Cover your cough/sneeze – either crook of elbow or use tissue and
dispose of in lidded receptible ! Don’t touch your face, nose, eyes ! Stay healthy – adequate sleep, good nutrition, exercise, reduce stress
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HOW TO REDUCE YOUR (AND OTHER PEOPLE’S) RISK, CON’T
! Stay home if you’re sick ! Stay away from sick people ! Mask – evidence isn’t there, may do more harm than good ! Get a flu shot every year; pneumonia vaccine if >65 years old ! Travel only if necessary ! Support public health funding ! Ready.gov/kit
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This Photo by Unknown Author is licensed under CC BY-SA
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National Club Association Virtual Town Hall
COVID 19’s Impact March 16, 2020
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Develop Your Plan
• Follow all CDC, state and local guidelines • Priority is health and wellbeing of members and employees • Situation is very fluid, stay tuned and stay agile • Meet with board and legal counsel • Communicate your approach to all stakeholders and keep them
updated regularly • Encourage those who can work from home to do so • Evaluate policies
• Evaluate your cancellation/reschedule fees • Suspend minimum charges • Provide compensation for lost work without loss of sick time or vacation • Redirect staff to other departments or projects during downtime
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Operating During the Crisis
• Maintain operations if and where you can, but prioritize • Increased employee training on cleaning and hygiene protocols • Intensified and more frequent cleaning of all high-touch surfaces, hourly
hand washing, use gloves, etc. • Continue golf and other “safer” activities with heightened safety protocols • Simplify or limit your food service operation to assure safety
• Prepared foods • Consider take away option
• Cancel group events • Close fitness, cease group classes, etc.
• Protect your safe space status for the long term • If you are operating, be extremely vigilant • If you are in doubt, err to the side of caution • If there is a problem, fix it immediately at all costs