February HOA Newsletter
Board Elections Results
Thank you for voting in this year’s Board Election. We received 40 votes for John Maginot, Tim Horning, and Ela Perry and the board accepted this as a quorum as per our By-Laws. Tim Horning will be taking up the role of Vice President, John Maginot will fill the role of Secretary and Ela Perry will be continuing in her role as our Treasurer. Please make sure they feel welcome and maybe thank them for the service they will be providing.
Clubhouse Rental Fee Increase
The board has voted to raise the rental fee for the clubhouse by $50 per rental. This brings the total rental cost to $200, with $100 of that serving as the standard damage deposit that is returned to you after your event is complete and the clubhouse is inspected. The rate increase is necessary to offset the rising operational costs of the clubhouse, as utilities have seen a marked increase over the past year.
Despite the increase, we believe that $100 is still a reasonable price to rent the clubhouse for an entire day. To provide some perspective, renting a single party room for just two hours at the Stovehouse costs $300.
Thank you for your understanding as we work to maintain the clubhouse and keep it affordable for our members. If you have any questions or concerns, please don’t hesitate to contact the board.
HOA Dues Increase
The Homeowners Association’s 2023 budget is expected to have a significant shortfall of $9700 due to the ongoing loan payment for lake repairs. This shortfall will continue for the next five years as we repay the loan. To address this issue, the minimum that the Board can do is seek a special assessment of $60 per year for the next five years. However, this alone will not cover the increased operational costs of the HOA, and without additional funding, the Board will struggle to balance the annual HOA budget.
To avoid having to come back to the community again next year for an additional increase, the Board is proposing a $150 increase to the association fees, This will enable the Board to pay off the lake renovation loan within two years and prepare for the balloon note that comes due in 2025 for the $200k in existing debt owed by the Association. The proposed increase will result in an additional $38 per quarter, making the total quarterly assessment cost $163 and totaling $650 yearly.
The first $100 of the increase will be earmarked for debt reduction until both loans are paid in full, and the remaining $50 will be used to rebuild the depleted saving reserves of the association that have been used to continue operating at a loss for the last few years.
To help members understand why this dues increase is needed and be informed, a survey of other associations in the area is being conducted to compare the value of our amenities and the cost of our HOA fees to similar HOAs in the area. The report will be shared alongside the request to vote for the dues increase. The 2023 budget is also included below to show how the board is utilizing the current dues.
The Board is actively taking steps to ensure the HOA’s long-term financial stability by addressing the budget deficit and paying off existing debt. The Board is also reviewing the CC&R and By-Laws to ensure that the due increase process is followed correctly. The proposed increase will need to be voted on by the association members however, If the dues increase is not approved, the Board will have to make difficult decisions, including shutting down amenities and services like the pool, clubhouse, and lawn care, to cover the cost of the association’s debt. Therefore, the Board urges association members to support this increase to ensure the continued operation of the HOA’s services and amenities.
2023 HOA Budget
| INCOME | ||
| Association dues | $84,500.00 | |
| Clubhouse rental | $1,900.00 | |
| Late fee | $1,500.00 | |
| Violation fine | $0.00 | |
| Key fee | $0.00 | |
| NSF fee | $0.00 | |
| Legal fee | $0.00 | |
| Other Income | $0.00 | |
| Closing Fee | $0.00 | |
| Total Income | $87,900.00 | |
| EXPENSES | ||
| Property Management | ||
| Property Management Fee | $12,168.00 | |
| Postage | $2,272.00 | |
| Total Property Management | $14,440.00 | |
| Landscaping | ||
| Landscaping Contract | $17,940.00 | |
| Aqua Systems – Lake Algae Treatment | $0.00 | |
| Bushhogging | $0.00 | |
| Irrigation System Repair | $550.00 | |
| Hardscape Repairs & Improvements | $0.00 | |
| $18,490.00 | ||
| Clubhouse | ||
| Cleaning Services | $1,600.00 | |
| Consumable Supplies | $250.00 | |
| Pest Control & Termite Service | $750.00 | |
| HVAC Service and Repair | $500.00 | |
| Clubhouse General Maintenance & Repair | $300.00 | |
| Clubhouse Paint | $800.00 | |
| Insurance | $4,600.00 | |
| Real Estate Taxes | $2,650.00 | |
| Utilities | $6,300.00 | |
| $17,750.00 | ||
| Pool | ||
| Pool Maintenance Contract | $4,900.00 | |
| Pool Chemicals | $3,900.00 | |
| Pool Repairs | $500.00 | |
| Pool Supplies | $150.00 | |
| $9,450.00 | ||
| Community Events | ||
| Craft and Party Supplies | $250.00 | |
| Association Events | $500.00 | |
| $750.00 | ||
| IT Services | ||
| Internet | $1,224.00 | |
| Web Hosting/Email Hosting | $165.88 | |
| Website Tools | $106.87 | |
| $1,496.75 | ||
| Capital Improvements | ||
| Computer Equipment Purchase | $0.00 | |
| Clubhouse Furnishings | $0.00 | |
| Security Camera Replacement | $800.00 | |
| Pool Furnishings | $837.00 | |
| $1,637.00 | ||
| General | ||
| Loan Payment | $23,385.24 | |
| Sea Wall Repair Loan | $9,700.00 | |
| Additional Principle on Debt | $0.00 | |
| Transfer to Reserves | $0.00 | |
| Legal | $500.00 | |
| $33,585.24 | ||
| Total Expenses | $97,598.99 | |
| Net Cash Flow | -$9,698.99 |
Arc Compliance
As a reminder to the community, it is essential to submit a proper ARC Request for any Improvements or changes to your property. Adding a Fence to your property also requires an ARC request. Additionally, the community guidelines detail the allowed stain colors for fences. Residents can find the Fencing Guidelines listed on our Residents page. Residents can submit an ARC request through the AppFolio Portal provided by Elite Housing Management. Residents should also remember to read the Grand Lake covenants concerning street parking.
Residents can submit an ARC request through the AppFolio Portal provided by Elite Housing Management.
HOA Board Meeting
Our Neighborhood HOA board meets monthly on the 3rd Monday of the month at 6:30 pm. These meetings are open to all homeowners who wish to attend.
To help make sure that all discussion topics are covered, the board asks if you are attending for a specific issue for discussion that you email communication@grandlakehoa.com with a brief description/explanation at least 24 hours before the board meeting so the agenda can be updated and the board can provide time for you to speak about any concerns or issues you are having.
2023 Board Members:
Teddy Schell (President)
Tim Horning (Vice President)
Ela Perry (Treasurer)
John Maginot (Secretary)
Sam Hilson (Communication)
