On May 28th, the Franklin-Palmer HOA board hosted their annual member’s meeting at the Canton Twp Administrative Building. There were many topics discussed, but some important items were left unresolved. Some of those items can be found, below, along with some updated information.
Please take a moment to click this link and read through it, as it involves an increase in our annual dues, and the transition to a full-time Property Management company.
HOA Board Participation
During the annual meeting it was announced that Brian Pratt will be stepping down from the role of President, due to lack of availability in the coming months. In addition to the Presidency, there are additional Officer roles that need to be filled; the HOA board does not have enough members to run effectively.
This issue was punctuated by the fact that only 7 home-owners (out of 337) were in attendance at the annual meeting. When posed with the question of joining the board, all attendees expressed a desire to help with various specific tasks, but none were able to step in officially, to fill the vacant board positions.
These vacancies are still unresolved.
Transitioning to a Management Company
Our community is full of families that lead busy lives. The current board members are no exception. This board, and all previous incarnations of the HOA board, have historically struggled to recruit volunteers to help run our association.
With some of the current board members preparing to step down and move on to new chapters in their lives, we appear to have reached the point where a Management Company is needed, to handle maintenance and financial matters. The board has been soliciting bids from various management companies, and consulting with legal representation to ensure all necessary bases are covered.
Please prepare for a transition to a full-time management company in the coming months.
HOA Budgetary Troubles
Since its establishment in 1975, the annual HOA dues have not increased in such a way as to keep up with inflation and rising maintenance costs. Because of this, when the current board took over for the previous staff, an analysis of our budget determined that our annual expenses significantly outweigh our annual income. Continuing on this path, the board will be solvent (out of money) within 2 more years. A significant increase in our annual dues is long overdue.
In addition, the costs of the new management company will need to be included with the needed increase. Homeowners should expect dues to increase by an additional $60-$70, annually, starting in January 2015. To clarify, this amount is in addition to our current $50 yearly dues amount; an estimated total of roughly $120/year. Without this increase, the Home-Owner’s Association cannot continue to exist. If the association dissolves, the common areas will go unmaintained, and the community roads will quickly become entrenched in snow, in the winter months.
This increase is currently just an estimate; we will provide additional details and specific numbers, as soon as have them.
Liens for Unpaid Dues
In the past, previous incarnations of the board have been lenient with outstanding and unpaid dues. This has resulted in an unprecedented number of delinquent accounts. The current count stands at 50 unpaid homes, for the 2014 fiscal year and beyond. Considering the current financial situation, the board has all agreed that any outstanding balances with 2 or more years of delinquency will have liens filed against them this Fall.
Secretary Nancy Polderdyke kept meeting minutes, and additional items can be found in the following document, if you are interested in other topics which were discussed during the meeting.
If you are interested in viewing a copy of the financial breakdown (last updated August 2014) please visit the following link: