Dear Homeowners:
It has come to the attention of the Board of Directors that a number of homeowners have concerns about the management of the Harris Ridge Association. This group’s has made claims of illegal activity from the Board of Directors and the Property Management Company. Nothing could be further from the truth. The Harris Ridge Board of directors has strived over the past year to be attentive to the needs and desires of the homeowners of Harris Ridge. We have also strived to maintain the property values in the neighborhood by taking corrective action against those who would let their homes and property deteriorate.
The Board would like to take a moment to address a few specific concerns in an attempt to clear up the matter and therefore devote less time addressing them at the Annual Meeting.
Concern #1: There has not been an audit of the financial records of Harris Ridge since 2002. This is true, the last audit of the financial records of Harris Ridge was in 2002 when PS Property Management was hired. The audit was performed to confirm that everything was in order when PS Property took over from the previous property management company. The Board of Directors since that time has not deemed it necessary to perform an annual audit. Audits such as this cost of the order of $3,000-$5,000 for each audit. This is a cost that would be passed on to the homeowners. This year, the Board of Directors felt it necessary to hire an auditor to perform an audit of the 2007 Fiscal Year. The auditor is Erickson Demel & Co., P.C. and they will be performing the audit at a cost between $3,250-$3,750. There were other bids placed, but this company was the best balance of experience and cost.
Concern #2: The Property Management Company writes checks to themselves. The Board of Directors decided a number of years ago that due to the high demands that would be placed on a Board Member acting as Treasurer, that the responsibility for day-to-day transactions would be delegated to the Property Manager. The Manager has no voting power to make large decisions such as hiring a contractor, managing long-term assets, etc., but manages and maintains the financial records and day-to-day activity for Harris Ridge. The Property Manager provides detailed reports each month for all income and expenditures for Harris Ridge.
Concern #3: Property Manager is trying to prevent homeowners from speaking at our own annual meeting. This is patently false. In no manner is anyone being denied his or her right to be heard. The Board of Directors decided that rather than have a free-for-all at the annual meeting that questions would be taken in written form. This way, order is maintained and ALL questions may be answered. The Board of Directors have promised that we will attempt to answer all written questions at the annual meeting, but in the event we run out of time or additional research is needed, the remaining questions will be answered in full on the Harris Ridge website at http://www.harrisridgehoa.org.
Concern #4: Homeowners Association lots sold to David Weekly without consent or notification of the neighborhood. David Weekly has approached the Harris Ridge Board of Directors twice with intent to buy the four HOA-owned lots surrounding the pool. In the first contract, the Board decided to sell two lots to David Weekly, but at the last minute David Weekly changed the contract putting demands on how the Association was to spend the money. The previous Board refused to sign the contract, and the deal was off. David Weekly approached the 2007-2008 Board requesting again to buy all four lots, but this time for twice the money offered before. Through much negotiation, the Board decided once again to sell only two lots and that the money earned through the sale would be set aside for capital improvements. There is a substantial tax liability that came with selling these lots, but it comes off the sale of the lots and not out of the HOA general fund.
Concern #4: After selling the lots, the Board of Directors decided to raise annual assessments by the maximum allowed 10%. While true, the timeline offered here is backwards. The Board of Directors creates the annual budget for the following year at the November meeting. Based on anticipated increases in expenses stemming from additional property maintenance that the Association must incur once David Weekly completes their development, and other increased costs, the Board of Directors increased annual assessments from $204 annually to $224 annually. This is an increase of 9.8%. As mentioned before, there was a pending contract with David Weekly for sale of two lots, but it did not close until December 15—nearly a month later. Also, the Board’s prior dealings with David Weekly had been less than amicable and the Board could not in good faith depend on the sale of lots. The Board also decided that any money gained from the sale of lots would be used exclusively for capital improvements and not for the temporary relief of assessment increases.
The 2007-2008 Board of Directors have been dedicated to maintaining and improving the neighborhood for all the homeowners of Harris Ridge.
Sincerely,
Brian Jones
President, Harris Ridge Board of Directors
10 responses so far ↓
1 tonya // Apr 5, 2008 at 9:22 am
Overall, I think our board is doing a good job.
I will say that I did not like to see those lots sold to David Weekley and I very much hope that the lots on the other side of the pool remain community property, with no playground or so called “improvements.” Just leave them be, please.
2 Mark Rogers // Apr 7, 2008 at 8:14 pm
We pay approximately $70,000 a year in dues, and probably more with the new edition. I would like to see where all this money is being spent.
3 Joe // Apr 9, 2008 at 8:45 pm
It takes a lot to maintain our neighborhood. With common grounds maintenance, pool, playground, utilities (water and lighting for common areas), etc.
I hope you made it to the annual meeting where you saw the financial data for 2007. We’ll get that same data posted here on the website shortly.
4 Tracy // Apr 10, 2008 at 1:30 pm
It is distressing that the board members are not looking for ways to trim expenses from the budget, i.e. landscaping, from the budget.
Instead of looking for ways to save money, the board is increasing our assessments on a yearly basis. Doesn’t sound like the board is looking out for the neighborhood’s best interest.
Do we really need to pay a someone to cut the grass for over $27K??? See out other vendors.
5 Buddy // Apr 11, 2008 at 6:48 am
The issue of crime in our neighborhood is a concern and yes, should be addressed. However, it was interesting hearing people complain about the lack of involvement by our police department, when in fact, I tried on three occasions to get our HOA and community involved in a neighborhood crime watch, all to no avail. We have to have some accountability before we start blaming APD for their lack of involvement.
6 Santos // Apr 14, 2008 at 9:34 am
I thought cars were not allowed to park overnight on the street. If that’s the case, how come I see car park overnight all the time? If you’re not going to enforce all the rules, take it out of.
7 Joe // Apr 14, 2008 at 9:43 am
Tracy,
The board will be reviewing our contracts shortly and seeking out ways to cut costs. Thanks for the suggestion.
Buddy,
You make a good point. Homeowner apathy and indifference may be one of the greatest challenges our neighborhood is facing.
Santos,
You’re right that parking overnight on the street is against our deed restrictions. If you see cars parked overnight, please submit a violation report here on the website. We rely on homeowners like you to report problems when you see them.
8 Brian Jones // Apr 14, 2008 at 9:43 am
Santos,
You are correct, the deed restrictions prohibit parking in the street overnight. However, the Association does not own the streets, the City of Austin does. The Association has no way to enforce this restriction except to fine the property owner. The Association may not tow vehicles in the street because the city owns the streets.
The Association has tried in the past to enforce this restriction through fines, but was very unsuccessful. The Board WAS successful in getting a commercial vehicle removed from neighborhood streets because there is a city ordinance against commercial vehicles in neighborhood streets.
The best course of action (in my opinion) is for neighbors to police each other and remind each other of the rules. The Association should fine repeat and gross offenders.
9 V. Santos // Apr 15, 2008 at 1:05 pm
I recalled there being a vote to get rid of a board member. What came of that? and when will the meeting minutes being posted?
10 Joe // Apr 21, 2008 at 7:35 am
V. Santos,
The only vote that took place at the annual meeting was for the open Board positions. Seven people were elected to the board to join the two homeowners that were already serving.
The property management company took the minutes at the annual meeting. The Board is currently trying to get those so we can post them here on the website. Thanks for your patience.