The Board appreciates and values the input we receive and the involvement of the community. We’d like to take this time and respond to input we have received around concerns regarding the 2022-23 General Assessment (GA) increase from $200 to $260. We would like to address those concerns and provide next steps.
SUMMARY
Prior to the HOA Board being turned over to the community, the Declarant (builder) increased the 2021 GA from $50 to $200. Additionally, the declarant’s attorney provided guidance that indicated an allowable annual increase of up to 120% from one year to the next.
With that as a backdrop and facing rising costs and some fiscal uncertainty, the 2022-23 GA was increased by 30%, up to $260. This was less than a120% increase and thus within the guidance we understood at the time. The Board published a budget and this GA was sufficient to cover expenses. After listening to owner input, we then engaged our own attorney to give us an opinion on the allowable cap for GA increase. Our attorney’s opinion was that the maximum allowable increase should be no more than a 20% increase per year.
Legal statutes and covenants can be interpreted differently by different attorneys, judges and Courts. The Board considered this advice and has elected to operate under the more conservative interpretation of our covenants to avoid any risk exposure.
NEXT STEPS
The Board as currently constituted has voted to decrease the 2022-23 GA from $260 down to $240. This will involve providing every homeowner who has paid their GA a refund of $20 for the current Fiscal Year. Those that have not yet paid are still required to pay $240, along with any late fees that have accumulated since the date for GA payment has already passed.
Homeowners may elect to either receive a refund or leave it as a credit to be applied to the 2024 assessment. Hughes Properties will be making a balance adjustment to each owner’s account to reflect the revised annual dues amount for 2022-2023. This will ensure transparency on each account. To receive a copy of your updated statement please email Chrissie.
If you would like to receive an immediate refund, you may make the request with Hughes Properties by emailing Chrissie@Hughes-properties.com. A refund request must be made by December 30th, 2022. We encourage you to leave the $20.00 as a credit to minimize expenses such as office supplies and postage. If a specific request for a refund is not submitted, we will leave the funds as a credit on your account.
In closing, we’d like to again thank the community for bringing visibility to this matter. We do listen and take action by trying to find the correct answer. In this case, since the answer differs from our original guidance, we are electing to follow the more conservative path. We hope to see continued input from the community as we strive to move forward in making our neighborhood a safe and inviting place for all who reside here.