This chapter sets forth the policy and process to be used to determine the number of openings that will be available each calendar year for those applying for active membership from the wait list. This chapter does not address:
(i) rules and information to be provided to members and applicants for membership, which are set forth in Chapter 140 et seq.;
(ii) operating procedures governing the processing of membership applications by the Membership Committee, which are set forth in Chapter 254;
(iii) procedures governing the acceptance of actual membership applications by the Board, which are set forth in Part A of Chapter 240; or
(iv) any other admissions to membership or changes in class of membership, including without limitation the admission of JSPs to active membership, the admission of social members and the conversion of active members from and to social membership.
The number of members within each class shall be fixed from time to time by the Board of Trustees at its discretion.
Article I, Section 1
The number of applications for active membership admitted from the active wait list during any calendar year will not exceed the "Number of Openings" for that year, which means the number determined by the Board as described below.
In counting the number of applications admitted, each application will count as one, whether it is for joint or single membership, and without considering children of applicants who may also be applying for junior or JSP membership.
1. P&P Recommendation. Each year, the Planning and Policy Committee will make a recommendation as to the Number of Openings for the following year.
The committee should consider this recommendation at its meetings sufficiently in advance to ensure that its recommendation of a specific number is submitted to the Finance Committee before its regular October meeting. The expectation is that the committee will begin deliberations on this matter no later than its July meeting. Members of the Finance Committee and the Board are encouraged to attend these meetings.
Staff will prepare such information as the committee finds necessary or relevant to its consideration, which should include at least:
(i) the number of individuals who are active members and junior members (and children of active members under age nine, to the extent known), and a reasonably detailed breakdown of these individuals by age;
(ii) the number of the following "trigger events" that occurred in each of the current and preceding two years: death of an active member without a surviving spouse, resignation of an active membership and conversion of an active membership to emeritus;
(iii) the number of the following additional events that occurred in each of the current and preceding two years: conversion of an active membership to social (and conversion of a social membership that was formerly active back to active) and conversions of active membership to non-resident and vice versa;
(iv) a year-by-year breakdown of the number of current JSP and junior members who will reach age 25 in each of the following five years, and the percentage of JSPs who did not elect to become active members during the current and preceding two years;
(v) the number of applicants on the wait list, the length of time that the most recently admitted applicants were on the wait list, and the percentage of applicants who, upon reaching the top of the wait list during the current and preceding two years, elected (A) to apply for membership, (B) to defer applying or (C) not to apply at all;
(vi) such information as is available regarding the use of and demand for use of the indoor tennis courts, the fitness room, the beach and other facilities the committee believes to be relevant; and
(vii) an estimate of the revenues to be received from all initiation fees, including those to be paid by applicants for: active membership from the wait list, social membership, junior membership and JSP to active membership (payments due at ages 25, 30 and 35) .
(a) Base-case Budgets. The Finance Committee, with the assistance of staff, will prepare a financially responsible and practical "base-case" non‑operating budget and capital budget for the following year, based on the Number of Openings recommended by P&P. The base-case capital budget will show the Finance Committee’s recommended capital projects, with whatever omissions and reductions may be necessary to conform to the Number of Openings recommended by P&P.
(b) Alternative Recommendation(s). If the Finance Committee determines that the base-case capital budget (or the base-case non-operating budget) requires omissions and reductions of capital projects (or other changes) that are not advisable, the Finance Committee may recommend that the Number of Openings be increased to some larger number, and propose an alternative non-operating budget and capital budget based on that increased Number of Openings.
The Finance Committee should also consider other possibilities, which might contemplate an increase of the capital assessment or initiation fees for all classes of membership including Active, Social, JSP, JSP/Sr. Transfer, and Junior, and may propose multiple alternatives.
(c) Considerations. In considering the proposals and recommendations above, the Finance Committee will take into account the various factors relevant to the capital budget and the non-operating budget generally, such as predictions of and plans for major capital projects and other capital expenditures in future years, requirements and plans for repayment of debt, and projections and plans made in connection with the financing of previous major capital projects.
3. Conference To Resolve Differences. If the Finance Committee recommends that the Number of Openings be increased above P&P’s recommendation, the two committees will meet and attempt to determine a Number of Openings that both committees recommend. If they are unable to do so, each committees will make a separate recommendation to the Board.
4. Determination by Board of Trustees. At or before the time it approves a capital budget for the upcoming year, the Board of Trustees will determine the Number of Openings for such year. The Board should not increase the Number of Openings above the P&P recommendation, unless the Finance Committee recommends a higher number and the Board determines that it would be irresponsible to limit capital expenditures to those in the Finance Committee’s base-case budget.
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9/27/07: Board adopted Chapter 242, number of membership openings; 7/28/22: Approval of Chapter 242 confirmed by the Board, with non-substantive editorial changes.
See expanded historical note describing prior policy and practice.