Membership Committee ReportMay 27, 2009

Brian D. Sieve

Agenda

• Overview of current membership data

• Explanation of new social program and proposed by-law change

Current Membership Data

Current Offerings

• Regular:– $45,000 initiation– payable over 3 years: $20,000/$15,000/$10,000

• Non-equity:– $28,000– payable over 2 years: $18,000/$10,000

• Young Executive– $7,500 plus $2,000 per year– 50% dues/assessments

Committee Continuing to Explore Creative Ideas

• Evaluating several potential changes:– reduced initiation fees– program to “spend down” amounts owed for

return of initiation

• Welcome input from membership

Proposed By-Law ChangeFor Social Membership

Why The Proposed Change?

• Social program is dying fast

• Membership Committee believes we need bold changes

Problems With Current Program: High Cost

• Too expensive

• Currently charge $70 per month, or $840 per year– for the right to dine at the Club

• Many members pay $840 and spend $1,000 or less

• Too many other dining options in Naperville

Problems With Current Program: Not Enough Benefits

• Benefits not attractive– dining only – no pool, tennis, paddle tennis, etc.

• Almost all clubs in CDGA offer limited golf to socials– we are an outlier

• Membership not perceived as good “value”

Solution: New Social Program

• Effective June 1, offer entirely new social program

• Two parts to new program:– Reduced fees– Increased benefits

New Program: Reduced Fees

• Reduced fees– $400 yearly charge– payable June 1

• No monthly charge, service fees or minimums

• Current members save $440 per year

• Reduced fees should attract new members

New Program: Golf Privileges

• Add limited golf privileges

• Provide “value” for membership fee

• Expose socials to our key asset (course) – excite/entice them to become regular members

• Increase revenues– make up for reduced yearly fee with greens

fees, cart fees, incremental dining

Restrictions on Golf Privileges

• Program currently approved for one year only

• Four rounds per social per year– Tuesday-Thursday only– must pay guest fees (for member and guests)

Restrictions (cont’d)

• Restricted to existing and new social members

• Board has right to restrict existing regular members from converting– anticipate 12 or 18 month waiting period for

existing regulars to convert to social

Initial Feedback To New Program: Positive

• May 12, 2009 focus group with socials– excited about prospects of limited golf

• Discussions with former social members– several indicated a willingness to come back

Membership, Golf and Board Recommend By-Law Change

• Vibrant social program is critical to long-term health of Club

• CDGA: social program is best source for new regular members– anecdotal data from Cress Creek confirms

• More social members help reduce year-end assessment for all members