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The Orchards @ Anderson Heights Homeowners' Blog

The Official blog of The Orchards @ Anderson Heights – made by homeowners, for homeowners

Master Association Meeting Follow-up

Hello,

As Mike F. pointed out, if you didn’t go to the Anderson Heights Master Association Annual Member’s Meeting, you didn’t miss much… at one point there were actually 2 meetings going on – I didn’t know which one I wanted to attend! As people realized that the meeting was not for discussing The Orchards, they started leaving… so a group of Orchards residents gathered outside the main meeting. After checking it out outside and promoted the website a little, I went back in to the main meeting :)

Inside the Anderson Heights meeting, it seemed like there were a lot of empty promises being made. I think that can be attributed to Mark Asplund’s desire to want to help our community and also because he was new to the Board. By the way, the Board was solely represented by Mr. Asplund. I really hope that Mr. Asplund is able to live up to what he has promised, including to stand before the City Council on behalf of Anderson Heights’ Residents for the Sandstone Trails park, during the next meeting pertaining to funds for disbursement for City Parks (see the meeting minutes here).

One thing that concerns me is the piece at the bottom of the Meeting Minutes:

Before the meeting was adjourned, a member from the floor implied that the
meeting was tape recorded without the knowledge of the board or other
members. If evidence of this is found, the meeting and all decisions rendered
must be deemed null and void, as the information provided and discussions were
recorded illegally.

I don’t know the law but if it’s true that the meeting will become null and void if evidence of recording is found, it would be very unfortunate and a true waste of time if that happened. Please know the law before you try to record meetings or any conversation!

A couple of other random thoughts/concerns that I have are:

  • Everyone’s time is valuable.  Once a year isn’t enough time to discuss all the Master Association issues at hand, so bringing up issues not pertaining to the Master Association is a waste of time.  For example, a common problem that is always brought up at these meetings  is when the neighborhood kids are doing something they shouldn’t be doing – “what should I do?” is the question.  Well if you don’t want to go talk to their parents yourself, call the cops!
  • Keeping order is also in everyone’s best interest with respect to time and the efficiency of the yearly meeting.  Speaking out of turn, hogging the floor or continuously ranting isn’t going to solve anything.  People are much more likely to listen to your message if you are calm while delivering it.  Also keep in mind that children are welcome and sometimes present – keep it civil!

I hope that everyone knows that this is solely my opinion and not the opinion of any body or any group!  Thank you for listening to my rant :)

I had a lot of questions after the meeting, so I wanted to follow up on a few things. Thanks so much to CGRES and the Anderson Heights Board of Directors for providing great information in a timely and professional manor.

Here are my questions followed by their answers. I will note if the answer came from CGRES or KB in red.

When are the Board meetings for the Master Association? During the Master Association meeting, it was said that homeowners can attend to observe.
(CGRES)Board meetings are held quarterly, in Jan, April, July, and October. However, the Annual meeting and KB moving offices has pushed back the fourth quarter meeting until Nov. I will let you know when the date is set.

Who are the Board members? What is their contact info (email)?
(CGRES)
KB Home –
Anthony Sciarrillo
Margo Williams
Mark Asplund – masplund <at> kbhome.com – as Mark noted [at the Master Association Meeting], please contact our office first, feel free to copy him on correspondence

What is the official policy for publicizing names of delinquent accounts?
(CGRES)Delinquent accounts are only provided to the Board due to privacy issues under the fair credit act. It is my understanding that homeowners could possibly sue the association for publicizing their personal account information.

How much money is in the HOA’s reserve fund?
(CGRES)
As noted on September financials presented, there is $40,802.82 in Anderson Heights Reserve

What does and doesn’t the assessment cover? Please provide details on the day-to-day items such as common ground maintenance, one-time costs and anything else you want to include.
(CGRES)Assessments cover landscape maintenance (map attached), water, electric, management including financial responsibilities, homeowner correspondence, delinquencies, convenience compliance and ensuring that the association and members are adhering to the governing documents set forth.

How many homes have been built in Anderson Heights?
(CGRES)553 homes

In Anderson Heights, what percentage of homes are owner-occupied? How many units?
(CGRES)75% or 414 homes*

In Anderson Heights, what percentage is tenant-occupied? How many units?
(CGRES)25% or 139 homes*

*These are merely owners with off site addresses, it does not mean they have renters in the home, some of them could be PO Boxes.

How many homes are paying assessments to the HOA (including delinquent accounts and excluding foreclosures)? I’m assuming that homes for sale are still paid by the seller.
(CGRES)Yes- prorated fees or past due balances are included in closing costs
Based on 2009 Delinquency of 13+ %, that makes about 470 lots paying

In Anderson Heights, how many lots are KB Homes paying assessments on?
(CGRES)As noted in the meeting, for Anderson Heights, it is still under developer control so they are responsible for the shortfall, not assessments. Orchards is a different story – it is under homeowner control so they must pay the assessments on lots owned.

CGRES also provided the following documents:

  • Covenants, Conditions, and Restrictions for Anderson Heights (download PDF)
  • Covenants, Conditions, and Restrictions for The Orchards Subassociation (download PDF)
  • Bylaws for Anderson Heights (download PDF)
  • Bylaws for The Orchards Subassocation (download PDF)
  • Meeting Minutes for the last meeting(10/06/2009) (download PDF)
  • Master Association financial statement

I would like to know what financial responsibility KB has in regards to the Master Association in its’ entirety as well as KB’s responsibility in regards to unimproved land. Please phrase your answers in layman’s terms and please reference specific sections of the documents that support your assertions.
(KB Homes)KB’s financial responsibility as it relates to the Master Association would be to fund or supplement the association for whatever dollars are required to keep the association in good financial condition, that is to cover all expenses which are not covered by the Assessments that the HOA receives. The unimproved portion of Anderson Heights ,to the North, will someday be Sold or Developed , KB has restored most of the land to a vegetated state, so our Financial Obligation is minimal.

Will you also please clarify the financial responsibility in regards to the Orchards and unimproved lots therein. I asked the question at the Master Association meeting if KB is responsible for assessments in empty lots and the answer you gave was, if the community was 75% full. I assume this is still the case. Have KB been paying the assessments since The Orchards went under homeowner control? Will you please provide supporting documentation of payments? If no, please provide an explanation as to why not.
(KB Homes)KB’S Financial obligation for the Orchards is the same as any other Property Owner, we are billed and we pay for all the 90 remaining vacant lots in that gated subdivision. The supporting documentation for the payment should come from Canyon Gate, KB will NOT PROVIDE you with copies of our checks to Canyon Gate.

I would also appreciate any information you may have on the park that is supposed to be developed in Sandstone trails.
(KB Homes)The Future Park site in under control of the City of Albuquerque, KB has donated the Land to the City, It is up to the City place it in their Capital Improvements Plan for future construction. KB does not have any further obligation for the Park site.

What are your thoughts on the meeting if you attended?

What questions do you have for the Anderson Heights Board?

What would you like to see accomplished?

What do you think is a waste of time or money?

What do you think is going well?

Please leave your thoughts, concerns, questions, answers or rants in the form of a comment. -thank you!

-chris

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24 Responses to “Master Association Meeting Follow-up”

  1. Margo says:

    Thanks or all the information . In the future I would want the meetings better organized and kept to the point .

  2. Travis says:

    Thank you for putting all this info in one spot for those of us that were unable to attend.

  3. Brian says:

    I would like to know what everyone thinks of the fact that the yearly assessment for the Anderson Heights HOA does absolutely nothing for the Orchards. My wife attended the meeting and asked several questions as to how exactly our $200 a year benefits The Orchards. They had no answer. Our $200 a year fee pays basically for the community to the south of us. I think the name is Sandstone Trails, but not positive at the moment.

    The monthly fee for the Orchards pays for Canyon Gate’s management, landscape maintenance inside the Orchards, landscape maintenance along the street in front of the Orchards, the gate, park, pool, etc….basically everything. Our $200 a year for Anderson Heights is paying Canyon Gate for management of Sandstone Trails, landscaping and maintenance for Sandstone Trails, and a long list of other items that have no benefit to the Orchards. It makes no sense to me why we should be paying for another community.

    If possible I think the board for Orchards needs to look at seeing whether the landscaping and management fees that we pay to Canyon Gate can be changed to come out of the Anderson Heights assessment and the fees we pay for the Orchards can pay for things only for our community such as the park, pool, and gate. We would then have more reserves to do things such as gate repairs, fix the lights in the park, etc. I do not know where we stand on this legally, but I feel we are majorly getting screwed over and we need to do something about it.

    553 homes in Anderson Heights at $200 per home is $110,600 that Canyon Gate collects every year that has zero benefit to The Orchards. Imagine when Sandstone Trails and The Orchards are fully built out.

  4. Travis says:

    @ Brian

    Right now as it stands your Orchards dues pay for the landscape regarding the Orchards only as well as plenty of other things regarding the Orchards. None of that money makes it to Sandstone Trails in any form.

    Sadly we have little say in the Master Assoc. as it is KB controlled. When it is homeowner controlled is when we will have a better voice. Unfortunately if it is set up anything like the Orchards was that control won’t come until 75% of the homes in the master assoc. are homeowner controlled.

    Now some you may say hey wait it was posted that 75% of the homes are owner occupied so why aren’t we in control? Well, that is true, that of the 553 homes built in the master assoc. 75% are owner controlled. But what we don’t know is the total build out number of the entire master assoc. Example, if the entire build out number for the master assoc. is 1000 homes (this is just a guess) then right now we only have 41% actually owner controlled.

    I hope this helps and makes sense.

    Travis
    Orchards Board member

  5. Melissa says:

    @ Travis
    Your response doesn’t address what Brian wrote. When we went to the annual anderson meeting, I was told flat out that we are paying for the Sandstone trails community to have violation inspections. Our anderson dues also do not cover landscaping along our wall as that is covered by the orchards dues. So in essence, we are paying for a large amount of services that don’t actually make their way to our direct community.

  6. Brian says:

    Hi Travis. I do realize that our Orchards dues do not make it over to Sandstone Trails in any form. My frustrations are with the Anderson Heights Master Association dues.

    We pay the Master Association for management fees, violations, and landscaping for the Sandstone Trails community. That is all the money goes for.

    We need to find out why the Master Association fees do not pay for our management and landscaping at the Orchards and why the Orchards has to pay a completely separate dues for these items.

    The only difference between our community and their’s is the park, pool, and gate and that is what the Orchards dues should pay for.

    I do know this is not in your control and not frustrated with the Orchards board at all. I think you guys do a great job.

  7. Travis says:

    @ Brian

    Sorry for the misunderstanding, let me try again. It is my understanding the reason that the Master Assoc. dues don’t do anything within the Orchards is because we are a “Private Community”. This is also why some city stuff doesn’t apply to us, like street cleaning, street light repair, and street repair.

    Trust me I hate the idea of paying for Sandstone stuff just as much as anyone.

    Travis

  8. chris says:

    Hi,
    I’m wondering if anyone has any ideas as to what kinds of projects the Master Association would be trying to accomplish with the $40K reserve in the future. Since The Orchards will need to pay for things like Travis mentioned above, street lights, repaving, etc – and the city will be paying for Sandstone Trails lights, park, roads, etc – why does there need to be such a large reserve?

    I bet if a reserve study was done, we would get a refund and a lower assessment in future years.

    When/if the SST park is every built, I’m assuming the City will be paying for maintenance etc – anyone know?

  9. melissa says:

    Travis
    What your posts are not addressing is what exactly we get from anderson dues. I asked flat out how they benefit the orchards and was met with a blank stare.

    Each orchards homeowner is paying $200 a year and from what I can tell none of it benefits us in any way. The board needs to take a closer look at this and determine what recourse there is, if any, so that homeowners receive services for the money we pay. As it stands now, we get nothing. Orchards dues pay mgmt fees for our inspections, landscaping, park, pool, etc. Anderson dues pay for sandstone inspections, mgmt fees and landscaping in front of sandstone.

    Do you see the issue? And not liking it but going with it without at least doing due diligence – especially as you review mgmt options – seems wrong.

  10. chris says:

    @Melissa,
    I completely agree and also want to know what can be done about this. The best avenue of approach could be to get the $192/year assessment lowered!

  11. Brian says:

    I agree. We need to go one step further though and attempt to get the Orchards residents reimbursed for their Master Association “dues”. Does anyone have any legal background to assist with this? We could have a nice class action lawsuit.

  12. chris says:

    Hi, for the record, I don’t really think a reimbursement is in order… maybe a rebate for over payment… much like a tax refund.

  13. Robert says:

    Hey guys,

    While I have nothing to support this thought, what I suspect happened is that they did an initial budget based on full build out. They took the total expense divided by homeowners and came up with $192 per year. I think the reason they could not answer Melissa’s questions is because I don’t think they considered the potential for duplication of services etc.

    I think the way to approach this is to ask KB to re-examine the fees with CGRES. Either master association assessments need to be lowered for Orchard’s residents, or the fees we pay monthly to CGRES need to be lowered if we can demonstrate that we are paying for duplicate services.

    But whether we like it or not, we are all part of the mater association and do have some financial responsibility to it. We have a vested interest in the upkeep of the surrounding communities.

  14. Melissa says:

    I think the way to approach this is to ask KB to re-examine the fees with CGRES. Either master association assessments need to be lowered for Orchard’s residents, or the fees we pay monthly to CGRES need to be lowered if we can demonstrate that we are paying for duplicate services.

    Robert – Thank you! That’s what I’ve been trying to get at. The same with Brian.

  15. Robert says:

    I guess time will tell if KB really intends to move our community forward. I think it would be nice if KB provided a more detailed plan on what moving us forward means? And I would love to take them up on the meetings with our City Councilor. We need to discuss the park as well as the maintenance of sidewalks. Let’s figure out who’s responsibility it is and move forward.

    Mark made a lot of promises that I hope his company let’s him fulfill. We just want to live in a nice place. That’s what we were sold and that’s all we want.

  16. Julia says:

    I have not been able to attend any of the Anderson Heights meetings, and quite frankly wasn’t very concerned about it as I thought it was the area from us all the way down to Unser. Based on the comments above, I was totally misstaken. Unfortunatly, the covenants say they have a plot attached, but they’re just blank pages on my computer. I was curious as to what was labeled common areas on those.

    I find the comments above disturbing. Everyone within the Anderson Heights area should be getting equal service. Just because we chose to live in the gated portion with the pool, we should not be covering services of other communities without receiving those same service from the association.

    Are we really covering repairs and maintenance on the areas outside of our community as well as all areas inside our community? The Master Association bylaws state that they are responsible for insurance and R&M for all common areas. Why are we covering those things?

    I think the Orchards fees should be used for those things that are unique to the Orchards only (park, gates, and pool), and everything else needs to be run through the Master Association. As such, maybe we should go back and adjust the books and bill the Master Association for those items that we covered that they should have been responsible for, including a portion of the management fees. As these are all run through Canyon Gate,they should be able to break these out fairly easily. Then, we can use the monies we were using to cover master association expenses for the things that we haven’t been able to cover.

    Am I looking at this right or just totally misintrepreting?

  17. Robert says:

    Hi Julia,

    The funds used by the Master Association are taken from the yearly $192 assessment. Our monthly fees are not used by the master association for master association expenses.

    The question to resolve is extracting what services we are paying for on a monthly basis that are also provided by the master association. It’s unclear what services those may be. I am going to inquire with Canyon Gate to get their take on this. I’ll keep you posted.

  18. Matthew says:

    I attended this meeting and all I got out of it was the KB board member saying “ya…i’ll follow up and send an email” and the CEO of CGRES sitting there like she’s missing her favorite TV show. Time for a reassessment!

    Matt

  19. Julia says:

    What is the status of this? I haven’t heard anything in a few weeks, and I think it’s important to resolve this issue prior to the finalizing of the 2010 budget.

    Thanks – Julia

  20. chris says:

    @Julia,
    Was there something specific that you wanted a status on?
    Thanks Julia!

    chris

  21. Julia says:

    Yes, sorry I wasn’t clear. I thought there was to be follow up on whether we’re paying for services twice and whether we’re going to get reimbursed for those services the master association is supposed to be covering for our community that the Orchards are covering out of their funds.

    Thanks – Julia

  22. margo says:

    I just don’t see canyon gates giving us any of the money back. Just my opinion. I do hope they evaluate the fees for the future.

  23. Travis says:

    The good new is that we did make some head way, as of 11/13 the Master Association dues will be lowered by $72 for 2010. This will bring the yearly total for the Master to $120 and it will be billed quarterly.

    The board has other things in the works that may help, but we haven’t finalized them yet so I don’t want to comment on them only to have gossip & speculation run rampant. I will say that in the coming weeks look for some very BIG news. Granted saying this will have gossip and speculation run rampant. =)

    Travis Reilly
    HOA Board Member

  24. Julia says:

    Travis – Thanks for your work on this and your reply! You’ve got me really curious now. It’s so great to hear that the fees are reduced!

    Margo – I agree that they wouldn’t give the home owners back the money, but I was hoping they’d give the orchards the money. As it’s all managed by CG, it wouldn’t be that difficult of a transaction accounting-wise, but would give us the resources needed to do some of those things we’d like to but can’t due fees that aren’t being paid. But you’re right, I may be being too hopeful. :)

    I’m just happy to hear that there are things in the works on this! Thanks!

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