Treasurer Responds to Director Kessler’s Question

At the November 28 Board meeting, Director Kessler asked why there was a discrepancy of $31,928 between the amount PCM reported for General & Administrative (G&A) expense, and what the Treasurer’s report reflected.

Beginning with the September 2016 unaudited financial statements which combine the financial statements from both Troon and PCM, we added a separate line item in the statement of revenue and expenses to include depreciation expense.  This is consistent with the preparation of the SCSHCA audited financial statements.

  • PCM reflected year to date G&A expenses of $1,303,208, including depreciation expense of $31,928, which has been reclassified to a separate line item titled “depreciation expense” in my Treasurer’s report.
  • So, year to date, PCM G&A expenses in the Treasurer’s report is lower by the amount now reflected as depreciation expense vs. G&A expense of $1,271,280.

Had I been given some heads up to the question, I would have been prepared to respond at the board meeting, and avoid the need to table the acceptance of the September financial reports to a later meeting.