| Article #2 Dues & Roads |
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For those who missed Article #1, we are repeating the introductory paragraph of definitions and acronyms. For starters, we must start from the beginning, when the developers of the community established the rules for owning and developing a lot in the development. Those rules are currently known as the “Declaration of Covenants, Conditions and Restrictions for The Peninsula on Lake Granbury” (CCR). The CCR allows for the creation of the HOA Board of Directors (BOD) and the HOA Bylaws and the Architectural Committee (ARC). Broken down just a bit further, the ARC then establishes the Design Guidelines, Policies and Procedures for the development of lots and construction of homes in the community. All of these documents are available on the community website at www.tpolg.com and all property owners should retain a copy of these documents. We will discuss more of the details of the documents, BOD and ARC in future articles and blasts. There are a lot of questions that come to the board members regarding the HOA dues. Article 9 of the CCR addresses the duties of the board with regards to the business of the association and the need for the board to maintain funds to take care of that business, that is utilities, insurance, taxes, legal fees and management and professional services etc. These funds are also used to take care of the common areas of the community which include the front gate, the boat trailer storage area and the water storage and pumping areas. The largest and most costly common area of the community is our roads. We will speak more regarding the roads in a moment. Article 10, Assessments, of the CCR addresses where the board generates the funds necessary to do the business of the association. Specifically, Article 10.3 Annual Assessment, is our annual HOA dues which currently stands at $450/ year. Now, let us address the roads. Very simply, we own our roads. Our roads, built in 1998, are not public roads and are not maintained by the county or the state. The maintenance of our roads is on us. The good news is, we have the best roads of any private community in the county. The bad news is the roads will eventually have to be replaced (that is resurfaced with a new asphalt overlay). The questions that arise are 1) when will that happen and 2) what will that cost? In 2002 the board at that time hired a firm to analyze our roads and created the “Reserve Fund Study” for the HOA of The Peninsula. This study established a timeline of preventative maintenance and related costs and predicted the costs of the total replacement overlay in 20 years.Bottom line, the study concluded that the total replacement overlay would need to be done by 2018 and at recently estimated cost of $450,000. In 2002, the HOA board established a road reserve fund, setting aside nearly $24,000 a year from the annual dues assessments less HOA business expenses. The road reserve fund currently stands at approximately $333,500. The good news of all of this is because of the sealcoat project we had done this summer, we extended the life of our roads by 5 – 6 years, meaning we will not have to spend significant money on road repairs until 2022 or 2023. And at our current rate of road reserve savings of $24,000 annually, our road reserve fund would exceed $450,000 by then. The question then will be, will that be enough at that time and if not, what then? We will leave the answer to that and possibly other questions regarding our dues and roads for the annual meeting January 21, 2017. Your HOA BOD! |
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| Last Updated ( Sunday, 12 February 2017 ) |
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