By Ron Duncan
The ArrowCreek Club Committee convened at 2:04 PM PDT, 26 October 2015. It was called to order by Rich Kenny and members present were Sam Fox, Paul Burkett, Robin Rakusin and Charley Dickinson, along with ~30 residents.
There were three items on their agenda, not furnished to the public, that were (1) The proposed ACHOA Budget with golf additions; (2) The proposed revised schedule of activities and (3) Status of the banking discussions.
Item 1 was begun with recognition of the contributions of Gary Smith, who resigned with a disagreement over the direction of the committee and is currently in Arizona, per Rich Kenny. This kicked off (AC 2016 DRAFT SUMMARY BUDGET For Owner Review) the budget discussion as Gary had recommended a $2.00 increase to the reserve assessment. That assessment only covers Bridge Maintenance inspections and Engineering golf course tunnel inspections. It did not/does not cover the reserves for replacement of irrigation water pipes 2 inches or larger on the proposed owned land. The committee discussed the reserve contributions and decided that $2.00 was the correct amount and IF the reserves were to fall short, excess funds from Fy’15 to be transferred to reserves to make up any shortfall, per Ms. Rakusin. So, the committee tentatively settled on a property owner fee increase of $27.00, additional components of which will be discussed in item 3.
Item 2. Rich Kenny presented a revised schedule, that he said had ACHOA Board approval (since no Board meeting was held to discuss this it came as a surprise). The Committee’s plan (All dates are ‘targets’ as dependencies were not acknowledged) :
23 November 2015 –
Send Information Packet to Property Owners: Packet to consist of DRAFT CC&R’s, DRAFT Bylaws, Updated LOI, Cost estimates, DRAFT contract with the FOA LLC, DRAFT Lease agreement with the FOA LLC, Reserve Study, DRAFT ACHOA budget with golf property additions, and possibly a summary of all this material. There was lots of discussion on this topic and it was declared that a ‘Special’ ACHOA Board meeting would be called to approve all of this draft material for release to the property owners.
1 thru 10 December –
Informational meetings to be held at the residents center. The Communications Committee had provided a motion to the Board that these not be held until after 1 January as holidays and absent owners might not be able to participate. Mr. Burkett stated that “The Board had denied that schedule and moved it to December.” Further, the Board had decided that the meetings would be presentation style, versus the Communications Committee proposal to have at least one be a debate format. Presentations will be allowed from the ACHOA, FOA LLC, APG, CNA and any other group that qualifies (to qualify, the criteria will be sent by e-mail blst from Associa today, 27 October). The presentations will be followed by a Q&A session.
15 December –
Ballots to be shipped to Property Owners: Discussion of the ‘ballot’ entailed w o get it to owners who are away for the holidays/winter season and the number of propositions. From the committee discussion there will be at least three propositions, all of which either have to pass or they fail. This led to a discussion of the need for some guidance on filling out the ballot along with the ‘Pro’s & Con’s’ material with appropriate rebuttals.
Additionally, there was a discussion of ‘how many ballots would be needed to begin a count.’ Mr. Burkett was under the mistaken idea that only 545 votes would be need for passage. Ms. Rakusin and Mr. Duncan chimed in that the number is 547 based upon the current version of the CC&Rs, 547 it is. Sam Fox then spoke up and mentioned that once 800 ballots are received, the ACHOA would call for a count of the ballots, and if there were no clear winner, re-solicit for additional ballots from those who had yet to vote. It was agreed that opponents would be notified of who was receiving this ‘second chance’ and would be party to the solicitation.
Again this is a tentative schedule that it’s not clear who’s pushing this so hard.
Item 3. Status of Banking/ Loan discussions: Sam Fox said that they have contacted three different banking firms and received one package back. Interest rates are running from 4.75% to 5.75%d he feels they’ll be able to negotiate a loan package of 4.5% (which is the figure the Committee has been using in its presentations to the community. There was a lot of discussion between Sam and Bob Kirtley as to the actual costs of the loan and the need for those to be part of the documentation package sent to Property Owners.
At the end of their exchange, it was not clear if the loan amount contains all of the bank charges or not.
It was also brought out that the loan is a ‘Commercial Loan’ not a ‘Real Estate Loan.’ That then led to a discussion of placing liens on our individual properties, per the draft CC&R Article IX. Fox and Burkett then chimed in that NO there would not be liens placed on individual property but it would be placed on ‘Common Property.’
The meeting wrapped up around 3:25 PM PDT.
The next meeting of significance is the Governing Documents Committee meeting tomorrow, 28 October at the Associa offices, from 2:00 to 5:00.