The McMahon Report December 2023

T H E S O U R C E F O R P R I V A T E C L U B E X C E L L E N C E™ DECEMBER 2023 THE McMahon Report® Have a Wonderful Holiday Season! Now Accepting 2024 Nominations! Please nominate a deserving manager for the Excellence in Club Management® Awards on the website today! 3 Bel-Air Country Club Prepares for New Clubhouse Opening 4 Why Strategic Planning is So Important for Achieving Club Facility Success 6 Energy Management and Conservation for Clubs 9 Pulse Survey Results - Future Trends for Clubs

ABOUT MCMAHON GROUP Our Mission: “To be the premier club consulting firm dedicated to private club excellence by providing clubs and their management with the best possible strategic and facility planning expertise. We are committed to identifying the key trends impacting the club industry, enhancing the profession of club management and to assisting presidents and Boards with adopting the best practices to foster effective governance to create successful clubs.” Family- and managementowned since 1983 with an outstanding professional staff. We have served clubs and communities throughout the world in all aspects. OVER 2000 CLUBS SERVED OVER 150 HOA’S SERVED McMahon Group, Inc. 670 Mason Ridge Center Drive, Suite 220 St. Louis, Missouri 63141 • 314.744.5040 For more information or to schedule a First Impressions Visit, please contact Alison McMahon at WHATWE OFFER • Strategic Planning and Implementation • Facility Planning and Funding Programs • Membership Surveys and Research • Existing Facilities Condition Analysis • HOA Community Consulting $3+ BILLION RAI SED CONNECT WITH US ONLINE FOR VIDEOS, BROCHURES AND EVEN MORE UP TO DATE CLUB INFORMATION! 2 The McMahon Report® FROM THE VICE PRESIDENT Club leaders, Since joining the McMahon Group almost three years ago, I have received many questions from friends and colleagues about my role with the firm and what it is we do. • Are you with the company that does facility master planning? • Do you work with club Boards and GMs to update and write strategic plans? • Do you prepare and present capital improvement plans for membership approval at town hall meetings? • Do your services also apply to HOAs and POAs? • Do you sponsor the Excellence in Club Management® Awards? • Do you work to educate club leaders through webinars, seminars, pulse surveys and the publication of Club Trends? • Do you provide expertise in saving clubs money through energy audits? • Are you leveraging Artificial Intelligence for the benefit of your clients? To all of the above questions, the answer is a resounding YES! • Is McMahon an architecture firm? No, but our founder and chairman is an architect in 44 states and Canada as well, and we have other architects working for the firm. Our specialty is developing major facility projects that create feasible solutions, affordable costs and funding plans that members approve. After we get projects approved, our clubs hire local architects and contractors to build our projects. To date McMahon has developed over $3.5 billion in approved projects. • Do you do GM searches? No, we do not, but we highly recommend our friends in the Club Leadership Alliance (CLA), Kopplin, Kuebler &Wallace, for executive placement in the club industry. • Do you do capital reserve studies? No, but we recommend the services of our CLA partners at Club Benchmarking. This edition of The McMahon Report® provides excellent examples of the multitude of services we provide to assist clubs in operating more efficiently while enhancing the member experience with current and relevant facility programs, amenities and strategic plans. We also spotlight Lynn Butler, GM of The Bogey Club in St. Louis, who retires from the Excellence in Club Management Awards panel of judges after nine years of devoted service. Lynn has been a stalwart member of the St. Louis Chapter of CMAA for over 30 years and has served in several leadership positions as she has mentored young people in the industry. We will miss Lynn’s calm, objective demeanor and devoted service to the Awards as she continues her position as the manager of The Bogey Club. Kevin Carroll, CCM, ECM, CCE, CAM Vice President of Club Consulting Chicago | Florida | Missouri | NewHampshire | Pennsylvania | South Carolina

The McMahon Report® 3 Exciting New Clubhouse Prepares for Opening BE L- A I R COUNTRY C LUB CONSTRUCT I ON Stay Tuned for the Club’s Grand Opening Announcement in the next Edition! It took two years to plan and two years to build one of the finest clubhouses in the nation. This accomplishment by a visionary Board, General Manager and architect with perfect timing saved the members half the cost had it been started today. Congratulations to a very visionary team!

4 The McMahon Report® example of clubs continuing to place open bars in the family mixed grill where men, women and children members want to enjoy a family meal without a raucous group at the bar loudly using four-letter words. There is a time and place for everything offered in a club. But a club with a mission that is family-friendly should surely not be subjecting family members to issues caused by a poor mixed-grill design. A club’s mission should directly affect the grill room’s and open bar’s design. For instance, a three-quarter screen wall might protect the bar area from the rest of the grill T he answer is simple and basic. Good facility planning must work towards achieving a club’s mission/purpose and its aspirational vision for the future. If facilities at a club don’t contribute to achieving the mission and vision, they should not be done. The real challenge at many clubs today for their facility programs is that well-meaning Boards see a need to fix a facility problem, but not in the context of a club’s future development and membership needs. There is little vision beyond fixing the one facility deficiency that exist at the time. Take the classic by Chris Coulter - VP of Club Consulting dining area. Or the bar should be placed in a room of its own for an adults-only bar/lounge. Clubs today must have a clear mission and vision that only a basic strategic plan can provide. Key words in a club’s mission, such as family, golf, dining, club of choice, year-round, etc., should tell facility designers how to design facilities. At your club, make sure the Board provides a facility-planning committee as part of a club strategic plan before asking it to design and construct improvements. It is the Board’s responsibility to do strategic planning before facility planning is done. STRATEGIC PLANNING Why is Strategic Planning So Important For Achieving Club Facility Success? The McMahon Refresher brings the best expertise in governance, education programming and membership through these steps: 1. Initially a brief, online survey is completed by all Board members who are participating in the Refresher planning. 2. From the survey, a Refresher planning agenda is developed stating the primary objectives for the planning and specifically identifying the three or four major Chapter issues that need resolution. 3. The Refresher planning meeting, as moderated by a For Chapters with and without Strategic Plans, this One-Day consulting service can help assure theywill stay on the path to success! A ONE-DAY Board Strategic Planning RefresherTM is the simple, effective way for a CMAA Chapter to plan strategically and: • Study the Major Issues affecting the Chapter. • Identify goals and prioritize. • Develop real action plans, and implement those action plans with the best consultants at your side. by Kevin Carroll - VP of Club Consulting McMahon principal, discusses issues and establishes ways to address and resolve them. 4. After the Refresher meeting, McMahon provides a summary report and makes specific and strategic recommendations on how to improve your Chapter. McMahon not only helps to identify key challenges, but we have the expertise to help resolve them. Our virtual visit and in-person consulting visit are both complimentary, we just ask to be reimbursed for travel expenses. Contact us today! CMAA CHAPTERS Strategic Planning Refresher For CMAA Chapters

by Frank Vain - President CLUB LEADERSHIP ALL IANCE President’s Council Report McMahon explained the founding of the Club Leadership Alliance and its Mission of “creating relevant, enduring clubs.” And while this may seem to be a lofty goal, the three major club consulting firms are committed to guiding our industry and its clubs to higher success. For the last three years, the three firms have been working together to help the entire industry by also working with the CMAA and NCA. And we are happy to say, it is working. Industry data indicates clubs are performing better than ever, member satisfaction is higher than ever and Board members and managers are making an impact through their informed leadership. A brief report on the issues discussed at this President’s Council showed significant improvement in the governance and management of clubs. Today there is a far better understanding of the operating and capital finances of our clubs, as they have finally embraced the need to continually reinvest in their facilities. Clubs that have reinvested in facilities through proper maintenance and periodic aspirational improvements have performed extremely well in terms of membership usage and growth. Conversely, the T he Club Leadership Alliance (CLA) sponsored its second President’s Council of the year in Atlanta at the outstanding Cherokee Town & Country Club. General Manager/Chief Operating Officer Michael Wheeler and his team rolled out the red carpet for the presidents and general managers from thirty-two clubs representing all types, sizes and locations. The purpose of the Council was to bring together leading club presidents and their managers to discuss the state of the club industry, review the Best Practices for club success developed by the CLA team, learn new ideas and help each other provide the best clubs for their members. The three CLA founding firms of McMahon Group, Kopplin Kuebler &Wallace (KK&W) and Club Benchmarking had their principals moderate the day-long presentations, education and breakout group sessions to identify opportunities and challenges for clubs themselves and for the industry. John Schultz, Executive Director of CLA, and TomWallace of KK&W led the day of planning, with Frank Vain, Kurt Kuebler and Chris Barron hosting presentation sessions. Bill The McMahon Report® 5 clubs that have not properly maintained or added facilities continue to struggle, even in what is clearly one of the best-ever environments for the industry. The most surprising discovery at this President’s Council was the lack of clubs having and following a longrange strategic plan. Yes, clubs do strategic plans when approaching a major facility project, but just to clarify, a strategic plan covers all club issues, not just facilities. The greatest value of having a true, comprehensive strategic plan is understanding a club’s Mission/purpose/ culture. Once this is understood, the Board and manager can make sure all aspects of the club are in sync with the club’s Mission. A customized strategic plan for a club should have specific goals and action plans for governance, management, finances, facilities, communications and all operating departments. The CLA will continue to develop, refine and communicate industry Best Practices so club leaders can apply them at their clubs. Thanks to a convergence of positive trends in demographics, economics and values, the club industry is in a good place. These Best Practices are designed to help clubs extend this golden-age success into the future. McMahon’s Club Quality Rating System McMahon’s Club Quality Rating System is based on input from each club’s own membership with comparisons to McMahon’s national satisfaction and importance averages from the entire club industry. McMahon Group has been surveying and planning clubs for 40 years, helping managers and Boards provide their members with the best possible clubs. We have always wanted to provide a fair and objective way to identify club quality for clubs of all sizes, types and costs. We now have developed such a club quality rating system based on what is most important to members and their relative satisfaction with the most important activities, services and facilities. All comprehensive McMahon club surveys will now provide a club’s quality rating score at no additional cost. A special mini-club quality survey is also available for clubs wanting to determine their quality rating score - Call McMahon today to get more information. Mc MAHON’ S CLUB QUALI TY RATI NG SYSTEM MAHO G SYSTEM NEW

6 The McMahon Report® every operating efficiency has to be studied. We have to evaluate and utilize all options to keep operating costs as low as possible, so we are not priced beyond what our members can afford to pay. CLUB BUILDINGS ARE BIG ENERGY USERS So let’s look at the efficiency of our club buildings and facilities, as buildings across the world account for 60% of all energy consumed. Yes, we did say 60%, and this includes not only the energy consumed in operating buildings all year long, but also the embodied energy that’s consumed when making all building components (brick, glass, concrete, aluminum, equipment, steel, etc.) as well as the energy required to erect buildings. Constructing and properly maintaining buildings is the first place a club should study in conserving energy and saving our planet. T he news media today is filled with persistent messaging on spending our money on green buildings, carbon footprints, electric cars and on and on and on. And while their goals are to have a safer, cleaner, healthier world, few of the climate experts talk about the true costs to achieve the goals they are promoting. We are getting a one-sided viewpoint. In our club industry, with its mostly not-for-profit tax status where we cannot write off depreciation and operating losses like taxable entities, we have to inflate our dues to pay our rising costs of capital expenditures and operations. So when members ask, “Why don’t we do more to be energy-efficient?” they usually have no concept of the costs to accomplish this. And with continuing high inflation affecting every aspect of our economy, especially for club operations with at least 60% of all expenses being labor-related, by Christian Clerc, McMahon Group and George Brill, Talisen Technologies However, in approaching an energy goal for conservation, we must use common sense to tackle the challenge and get past all the media hype. Yes, it is glamorous to talk about saving the planet with solar panels, windmills, geothermal underground systems, etc. But let’s be honest: For the average club without federal, state or local energy subsidies, and especially for private clubs, such energy-saving strategies rarely make economic sense. Energy-saving programs rarely are a good financial investment for a club, nor do they truly do as much as promised to help the overall environment. Most energy-saving promotions will struggle to find any true financial savings as they conveniently forget to include the embodied energy that is required to make all of the energy-saving material and equipment that newly installed systems require. Nowwe are not saying energy conservation is bad or not desirable. What we are saying is that there is a much more common-sense way to approach energy conservation and environmental impact. CLUB ENERGY MANAGEMENT The Common-Sense Approach to Energy Management and Conservation for Private Clubs

The McMahon Report® 7 THE COMMON-SENSE APPROACH We actually have made great strides in improving the energy-efficiency systems in today’s club buildings and facilities. Our buildings today have much better insulation, double- and triple-paned windows, vastly improved heating and air conditioning systems, more efficient lighting systems and much more efficient electrical systems. But one thing we don’t yet have is good maintenance management of all of these energy-efficient systems and equipment within our existing buildings. We see clubs with the best possible systems installed in their buildings, but with inadequate engineering staff to maintain and operate them properly. Why spend millions of dollars to install all of this wonderful, energy-saving equipment if it is not going to be properly maintained and used? So as a first step in managing your club’s energy consumption, start by first putting your building systems in first-class condition for efficiency, and then hire and train the right technical people to operate them. This can also mean training your existing maintenance team so the club can properly operate the facilities it now has. Start your club’s energy conservation here, without massive investments in reinventing all your facilities. One of the benefits of enterprise facilities/energy management for a club is that it frees up valuable resources spent chasing problems and allows the team to focus on the issues that will have greater impact. A valuable first step for clubs can be to maximize the energy systems in their buildings before replacing them with new systems.” - George Brill Talisen Technologies CEO “ ”

The best way to provide the best club experience is by listening to our members. AI is providing the tool to listen and understand so we can continue to improve our clubs and member satisfaction. Contact Alison McMahon for a First Impressions visit at 314.744.5040 or To learn more about our award-winning private club services, visit McMahon Surveys Now Include Artificial Intelligence Analysis For Better Understanding of Survey Results For the past 40 years, McMahon Group has been the champion of involving club members in the decision-making process at their clubs. We have been providing Boards and managers with critical data from members so they can govern and manage better by listening to their members. And now we are including artificial intelligence analysis into our survey process to provide better understanding of the thousands of personal comments and suggestions that members make in our survey results. “THE CLUB SURVEY SPECIALIST” BoardRoom Membership Survey Firm-of-the-Year 12 Years in a Row! 8 The McMahon Report®

New Survey Takes Pulse of Key Future Trends for Club Industry by Joe Barks - Director of Club Communications McMahon Group conducted another of its proprietary Pulse Surveys in November, this time to measure the current state of the club industry and gauge its outlook for 2024 and beyond. A wide range of questions was asked, covering everything from clubs’ plans for upcoming capital expenditures and the areas that will be given operational emphasis, to expectations for membership growth, dues and initiation-fee increases, golf rounds and food-and-beverage revenues. Input on the outside forces (economy, upcoming election, global conflict) that are most expected to affect club operations, and the potential impact of artificial intelligence technology and energy initiatives, was also gathered. More than 400 responses were received, representing a good cross-section of industry leadership, including club General Managers, Board Presidents and owners. A full report on the survey results will be presented in the “Outlook 2024” issue of Club Trends that will be published shortly after the first of the year. An “Outlook 2024” webinar based on the survey and interpretations/projections from McMahon and its partners from the Club Leadership Alliance and National Club Association will also be presented in February 2024. Here’s just a sampling of some of the interesting findings from the survey: PULSE SURVEY The McMahon Report® 9 Howwould you rate 2023 for your club? What expectation do you have for facility improvements in 2024? Will Spend More Will Spend Less Will Spend the Same 21% 53% 26% What do you expect your membership situation to be at the end of 2024? Which of these outside factors are the greatest source of concern when thinking about how 2024 and the remainder of the decade will affect your club? (Check all that apply) Still full with a waiting list 48.5% Will reach full capacity and start a waiting list 12.7% Will add members but still be short of full 33.3% Will have attrition and fewer members 5.4% Workforce issues 64.8% Inflation 57.2% Recession 50.7% Elections 26.3% International conflicts 16.3% Societal issues/unrest 15.6%

Club Leadership Alliance Built-In Project Management Boost productivity by easily assigning and tracking tasks Centralized Documents Make it easy for Board Members to find any document they need Board communication and management madeeasy Tasks and Voting Online polling and eSignature Dashboard Overview of metrics related to your club Designed specifically for clubs, it is customizable, asy to use, intuitive and loaded with proprietary features and content from CLA and our partner firms - KOPPLIN, KUEBLER & WALLACE, McMahon Group and Club Benchmarking. Easy to Schedule Meetings Meetings are now intuitive and easy to set up The CLA Board Portal is simply a better way to govern your club and engage your board and committee members. The industry’s first and only club-specific board portal Board Portal rt l Powered by e 10 The McMahon Report® BoardRoom Institute is the only online learning solution designed specifically for private club Board and committee members, and it sets out to create better clubs through collaborative governance and one-on-one training by leading industry experts. Benefits to Board members and general managers: • Reduces micromanagement • Promotes understanding of best practices in the industry • Improves the most common element of dysfunctional club leadership: the Board • Misunderstanding of roles and responsibilities • Provides perspective to newly elected volunteer leaders • Minimizes Board, club, and personal liability • Creates a more harmonious Board • Opportunities to learn from industry professionals, which saves tens of thousands in consulting fees. MCMAHON IS PROUDLY SERVING THE CLUBS AND HOA’S LISTED NEW/RETURNING CLIENTS Bohemian Club (CA) Century Country Club (NY) Country Club of Winter Haven (FL) Dallas National Golf Club (TX) Estancia Club (AZ) Fiddlesticks Country Club (FL) Fresh Meadow Country Club (NY) Harbour Ridge Yacht & Country Club (FL) Hideaway Golf Club (CA) Kenwood Country Club (OH) Kernwood Country Club (MA) Meridian Hills Country Club (IN) Midland Country Club (MI) Milbrook Club (CT) Naples Heritage Golf & Country Club (FL) Nashawtuc CC (MA) Pelham Country Club (NY) Pinehurst Country Club (CO) Pine Forest Country Club (TX) Rockaway Hunting Club (NY) Sea Oaks Beach and Tennis Club (FL) Snowmass Club (CO) Spring Island (SC) Sulphur Springs Country Club (TX) The Merion Cricket Club (PA) The Villages Golf & Country Club (CA) Tulsa Country Club (OK) Willoughby Country Club (FL) EXISTING CLIENTS Acoaxet Club (MA) American Yacht Club (NY) Applebrook Golf Club (PA) Atlanta Athletic Club (GA) Bald Peak Colony Club (NH) Beach Point Club (NY) Beverly Yacht Club (MA) Blackhawk Country Club (CA) Bonita Bay (FL) Country Club of Jackson (MS) Diablo Country Club (CA) Dunwoody Country Club (GA) Elkridge Club (MD) Greenwich Country Club (CT) La Gorce Country Club (FL) Larchmont Yacht Club (NY) Maryland Golf and Country Clubs (MD) Monterey Peninsula Country Club (CA) Nashawtuc Country Club (MA) Olde Providence Racquet Club (NC) Round Hill Club (CT) Royal Poinciana Golf Club (FL) Shoals Club (NC) Starmount Forest Country Club (NC) The Trail Club (NY) Tuckaway Country Club (WI) Winter Park Racquet Club (FL) VIEW ALL CLIENTS HERE OVER 2000 CLUBS SERVED

The McMahon Report® 11 Nominations Are Open for the 2024 Excellence in Club Management® Awards! The ECM Awards honor managers who are nominated by their Board Presidents to recognize their achievements at their current clubs. A Selection Committee comprised of a peer group of leading club managers conducts the judging. There are four award categories for General Managers, based on club size and type, including an award for a Canadian manager. There is also an additional “Rising Star” award for assistant managers, and in some years a Lifetime Achievement Award is also presented to a retired manager. More information on the ECM Awards and on how to nominate candidates for the 2024 Awards can be found at The deadline for nominations is March 15, 2024. If you have questions about or need assistance with the nominating process, please contact Alison McMahon at The 2024 Awards Dinner will be held on Monday, April 29 at the PGA Headquarters at the NCA Conference in Texas. As always we thank our dinner sponsors for their continued support, Kopplin Kuebler &Wallace Selection Committee Joseph Krenn, ECM, CCM, CCE, Chairman Farmington Country Club Mark Bado, MCM, ECM, CCE Mizner Country Club Robert Crifasi, ECM, CCM New Orleans Country Club Steve Cummings, CCM, CCE, ECM The Harvard Club of Boston John Dorman, ECM, CCM The University Club of New York Peter Holt, ECM Lambton Golf & Country Club Brandon Johnson, CCM, ECM Farmington Country Club M. Kent Johnson, CCM, ECM Baltimore Country Club Patrick King, ECM, CCM, CCE Army Navy Country Club Kristen LaCount, CCM, ECM The Country Club Jeffrey McFadden, ECM, CCM, CCE The Union League of Philadelphia Robert Sereci, CCM, ECM Colleton River Club Anne Stryhn, ECM, CCM The Country Club of Virginia Crystal Thomas, MCM, ECM, CHE, CAE CMAA Golden State Chapter Chairmen Emeritus Kevin Carroll, ECM, CCM, CCE David Chag, CCM, ECM Phil Kiester, ECM, CCM The Country Club of Virginia Jeffrey Kreafle Congressional Country Club Kevin Vitale, CCM Baltusrol Golf Club David Voorhees, ECM, CCM, CCE Welcome Brandon Johnson and Steve Cummings to the 2024 ECM Committee! A Special thanks to Lynn Butler, for serving on the committee for the past 9 years

BoardRoom magazine’s industry peers and experts reviewed and selected McMahon Group as one of the outstanding suppliers and consultants, representing various aspects of course and club operations. Winners, each year, are selected for overall excellence in their respective fields, achievements, innovation, vision for future growth and continued impact on private club operations. BoardRoom Magazine 2023 Strategic Planning & Member Survey Firm of the Year! 12 Years in a Row! T H E S O U R C E F O R P R I V A T E C L U B E X C E L L E N C E™ M C M A H O N G R O U P Facility Planning: The McMahon Way of planning develops feasible projects which members review, approve and fund before construction architects and contractors get involved. This makes sure the right projects are built to achieve each Club’s strategic goals. Our principals serve Clubs in many ways. We are not only facility planners, survey specialists and strategic planners, but most importantly, we know how to build consensus in Clubs so projects get built. Survey: The primary goal for surveying members is to learn valuable information from the people who know your Club best - your membership. The goal is to make your members a part of every strategic and facility solution. The McMahon Survey is that essential first step in solving problems, addressing controversial issues and planning for your facilities. With a McMahon Survey you will have the best strategic and facility planning specialists available to you. Strategic Planning: Every Club’s Strategic Plan should relate to its own circumstances. McMahon’s process is customized to each Club’s situation and often requires an initial membership survey. The process addresses long-range and short-term challenges and gives a Club, its leadership and management the ability to control and shape their future by having the best and most knowledgeable consultants in the industry not only in developing the plan, but also in implementing it. We Can Help Make Your Club Successful Click to download our brochures today! OVER 2000 CLUBS SERVED 40 Y E A R ANNIVERSARY th $3+ BILLION RAI SED Scan to View all of our Online Brochures »