CAP/STEP Revenue Shortfall?

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groomerdriver

New member
"ddhanna" from "northern wi" just posted this:

You are making the assumption that CAP/STEP will result in more money in the segregated fund. We have been advised that revenues are way short due to lower than expected trail pass sales along with extended 3yr registration period at the old 2yr price. It is entirely possible (I hope not) that we will have less money in the bucket than before.

There are other folks on this board (jr37 comes to mind) that would also have first hand knowledge of this.

Is this what you are hearing in your areas?

Once I find out what is the latest in my part of Wisconsin I will report back.

 
C

Cat600

Member
No snow, no one will buy a pass. Just bought mine this Saturday since I have plans now to get out finally. Otherwise I was gonna pass this season. So it makes sense.
 
J

jr37

Well-known member
I would believe that revenue is lower than expected, because of the late winter we have had. But, we have not been told anything for fact along those lines. I would find it very hard to believe that revenue is lower than previous years, but I guess anything is possible. The last I heard trail passes sold through the AWSC were doing very good, but I have not heard any DNR sales results lately.
 
gary_in_neenah

gary_in_neenah

Super Moderator
Staff member
Word from the club that I belong to is that the AWSC office is swamped, too few people to handle the volumes this year. I would hope that that would translate into more funds for snowmobiling. Just sharing what we were told at our last meeting.
 
C

Cirrus_Driver

Guest
Face it, the idiots that devised this elaborate tax scheme didn't think of the effects on the average consumer with 1-2 sleds, and how they would look for ways NOT to pay for the trail pass during low snow years. Have to just LMAO at you state snowmobile association management council members.
 
C

caged_beagle

Member
ddhanna said:
So the volume of posts a person makes has some kind of bearing on the discussion? Typical welcome to JohnDee.
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Nope not at all! Not even a little bit! Welcome to the board. It's just that obviously we are all familiar with whitedust and not with you. So feel free to use this as an opportunity to introduce yourself to the board an any insight you may have with the cap/step situation.

Again, welcome to the JD board.

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E

ezra

Well-known member
but even if there is less money in the jar there is prob same money in the jar with the total lack of fuel used .
u cant count the cash till the end , I have not gotten my WI yet but deff will . most yrs I would have been ridding WI long ago just like a lot of guys.
I think a plan like this will take a few yrs to see the true results.U cant make any judgments on any thing biased on 1 bad yr or 1 good yr
 
ddhanna

ddhanna

Active member
ezra said:
but even if there is less money in the jar there is prob same money in the jar with the total lack of fuel used .
u cant count the cash till the end , I have not gotten my WI yet but deff will . most yrs I would have been ridding WI long ago just like a lot of guys.
I think a plan like this will take a few yrs to see the true results.U cant make any judgments on any thing biased on 1 bad yr or 1 good yr
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Not exactly. Fuel represents around 6% of our annual spend. State funding represents around 80% of our income. Do the math... I agree we need to wait and see. We do that every year due to the "in arrears" supplemental payment system. Part of the challenge with running these kind of operations.

p.s. I'm up to 24 posts. When will I be credible?
 
C

caged_beagle

Member
ddhanna said:
Not exactly. Fuel represents around 6% of our annual spend. State funding represents around 80% of our income. Do the math... I agree we need to wait and see. We do that every year due to the "in arrears" supplemental payment system. Part of the challenge with running these kind of operations.

p.s. I'm up to 24 posts. When will I be credible?
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With that attitude about 6,986 posts. Why the huge chip on your shoulder? FYI I am the VP of our WI club and cannot wait to see the proven success or failure this program produces. But as ezra stated we need to have a long term thought process to be able to evaluate it proficiently.

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E

ezra

Well-known member
ddhanna said:
Not exactly. Fuel represents around 6% of our annual spend. State funding represents around 80% of our income. Do the math... I agree we need to wait and see. We do that every year due to the "in arrears" supplemental payment system. Part of the challenge with running these kind of operations.

p.s. I'm up to 24 posts. When will I be credible?
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6% really. how many new groomers are u guys buying every yr? is WI paying drivers? is AWSC paying more than 1 full time employee ? not trying to be a ars serious questions .
 
B

blu2u2

New member
Gary in Neenah is correct. At the AWSC Winter Directors Meeting in Jan. we were told that the office staff is working 6 sometimes 7 days a week till 9:00-10:00 pm just to keep up. Even though I don't have an exact number, I would think well over 50,000 passes have been sold since the law went into effect last July.
Doing the "guesstimated" math (50,000 trail passes x $10 club member or $30 non-club member = $1,000,000+/- add to this the number of registered sleds in the state 220,000+/- that now pay $30 every 3 years or $10 year x 220,000= $2,200,000 + $1,000,000 trail pass revenue = $3,200,000 vs. just the the old two year renewal (220,000 x $15 = $3,300,000).
I do not have the exact total of club passes vs. non club member passes so the revenue of $1,000,000 could easily be a lot higher given the fact that club membership is less than 25% of the number of registered sleds!
About 3 years ago I was strongly opposed of CAP/STEP as I was frustrated with only getting 60-70 percent of every dollar spent back from the state. At the time I felt like the AWSC was beating their heads against the wall for seven plus years. I was wrong as even though the name is changed the law did get passed...now we need to move forward. Only time will tell how the story plays out.
 
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S

snobuilder

Well-known member
I want too see how many new first time members are signed up this year.

The smartest thing they did with the cap step bill is to put a sunset clause in to revue its success or failure and then decide to keep, tweak or discard.
 
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J

jethrobodean

New member
Should of left good enough alone and had someone like JD tell ya how the season was gonna go and pop it on a good year snow. Not a historical bad year for the lower state.
 
D

dothedoo

Member
The change in registration would have no impact on revenues the next 2 years. If your sled came up for renewal this year, or will next year, you're still paying $30. 2017 renewals will be the first year there will be lower revenue from the 3 year registration period.

I paid $90 this year for 1 renewal and 2 passes. Last year I spent $30 for 1 sled renewal.

There's no possibility there is less revenue available.
 
S

snobuilder

Well-known member
dothedoo said:
The change in registration would have no impact on revenues the next 2 years. If your sled came up for renewal this year, or will next year, you're still paying $30. 2017 renewals will be the first year there will be lower revenue from the 3 year registration period.

I paid $90 this year for 1 renewal and 2 passes. Last year I spent $30 for 1 sled renewal.

There's no possibility there is less revenue available.
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That makes sense. In the next few years we will have to see how many folks join clubs and take advantage of the discounted trail passes. That will be where an overall lower revenue is realized as it sends more funds to the local clubs and AWSC and less into the segregated fund.

if you follow the money, a guy like Dothedooo who rides every year and pays the full $30 for a trail pass is actually helping the trails themselves more than the guy who joins a club to get the discounted pass.
 
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