Let’s get straight to the point. We have a problem. It has now been discovered that total cash at the beginning of the year is $18,923 less than originally stated. Without any mention or explanation from leadership . . . poof . . . it is gone. Seriously, where did it go? Was it lost? Was it spent? Was it taken?
This is not innuendo. These are serious questions based on documented fact . . .
Specifically, the beginning cash as stated on the recently posted March and April (2021) “Statement of Cash Flows” (1) (2) has been changed from the amount stated in previous months. (3) (4) It is important to note a basic accounting fact – “beginning cash” NEVER changes throughout the year. That said, obviously, the newly adjusted amount no longer agrees with the total amount of cash as stated on the balance sheets at year end 2020. Likewise, no corrected financial statements have been provided to the property owners.
And while the dollar amount may not seem like much to some, discrepancies in cash are always of utmost importance and concern. Further, any references by leadership that the financial statements are “preliminary” can not and should not apply to cash.
How and when was this outage discovered? . . .
-
- Was it discovered by management when the time was finally found to reconcile the previous year end bank statements? (5) The unacceptable delay of this critical function may have prevented any discovery of the shortage until many months into 2021.
-
-
Or was it perhaps discovered by the outside CPA firm on site in early April?
-
Or is the adjusted “beginning cash” in error? It is impossible to tell.
-
Unanswered questions . . .
In addition, it also can not be forgotten that approximately $265k was unaccounted for at year end in the “Master Plan Fund” account. (5) Where did that money go? And although that very question was directed to management and leadership; the whistleblower hotline; and posted on this site, no answer has ever been provided to that question.
And now, yet another discrepancy is found as that same “Master Plan Fund” fails to reconcile to the disclosed 2021 receipts and expenses resulting in an overstated balance ($55k) beginning with the March financial reports.
No accountability . . .
All of this can not be. Bobby Jones Links and the general manager are paid and tasked, among other things, to have these basic accounting tasks performed accurately and timely. Likewise, our board of directors is elected and tasked to safeguard the assets of the association which presumably includes holding that entity (BJL) and management accountable. Yet, none of these expectations are being met.
Instead, here we are today with unexplained discrepancies in our cash accounts and delayed reconcilement of the bank statements. Big Canoe – we deserve better. Truly. Perhaps an extended audit of these areas would be a really good idea.
. . . . .
To see additional articles posted in the future, please check back frequently or subscribe for an email notification. Likewise, please feel free to contact me at thepcrosses@gmail.com for questions or further discussion. Meanwhile . . . take care and stay safe.
Patricia Cross (10438 Big Canoe)
References:
1) March 2021 Financial Package, “Statement of Cash Flows”, pg. 15 (POAwebsite>login>POA>Financials>2021>March)
2) April 2021 Financial Package, “Statement of Cash Flows”, pg. 3 (POAwebsite>login>POA>Financials>2021>April)
3) January 2021 Financial Package, “Statement of Cash Flows”, pg. 3 (POAwebsite>login>POA>Financials>2021>January)
4) February 2021 Financial Package, “Statement of Cash Flows”, pg. 3 (POAwebsite>login>POA>Financials>2021>February)
5) Revisiting that balancing act, March 1st, 2021, bcmatters.org. https://bcmatters.org/revisiting-that-balancing-act/