Doe Valley Welcome to the Doe Valley Special

Doe Valley Welcome to the Doe Valley Special Town Hall Meeting 14 May 2013

Doe Valley Why are we talking an increase in Dues? ü Significant loss of dues on more than 425 vacant lots ü Unexpected loss of more than $120, 000 from our operating budget ü Other inflationary items putting pressure on the budget

Doe Valley What happened? ü The largest owner of vacant lots, has been selling lots at below market prices. ü At the same time the POA has also legally reclaimed from delinquent dues payers ü This glut of lots for sale has pushed prices to historic lows

Doe Valley What happened? ü Causing two unintended consequences: Ø One is buying and then legally combining the lots with adjoining property. Ø The other consequence is that other real estate investors who hold multiple lots have stopped paying their dues

Doe Valley What happened? ü In total, the number of 2 nd lots producing dues revenue fell from 620 to only 183 in the span of one year. ü This is the main cause of the unexpected loss of more than $120, 000 from our operating budget.

Doe Valley What are we doing to collect the unpaid dues? ü Working with the delinquent members ü Place liens on the lots ü Usually collect back dues when the lots eventually sell

Doe Valley Where is your money going? Utilities: Water, Sewer, & Roads Amenities Ø 24 Hour Security/Privacy Gates Ø Marina Ø Parks & Beaches Ø Campground Ø Swim and Tennis Club o Swimming Pool o Six Lighted Tennis Courts o Meeting Rooms/Social Programs o Excellent Restaurant/Cocktail Lounge Ø 18 Hole Championship Golf Course Ø 360 Acre Spring Fed Lake

Doe Valley Roads �Designated amount of $7. 50 per month set aside for roads. � Fund is solvent with a surplus of $531, 516. 13

Water Tower Repair ü Paid $163, 937. 90 each for repairs & refurbishment ü Establish a water trust fund with an increase of $1. 50

Sewer Plant What’s next?

Dam Repairs • State providing $55, 000 • Doe Valley providing at the rest • Estimated cost $120, 000

Doe Valley Amenities Ø 24 Hour Security/Privacy Gates Ø Marina Ø Parks & Beaches Ø Campground Ø Swim and Tennis Club o Swimming Pool o Six Lighted Tennis Courts o Meeting Rooms/Social Programs o Excellent Restaurant/Cocktail Lounge Ø 18 Hole Championship Golf Course Ø 360 Acre Spring Fed Lake

Doe Valley Is Doe Valley in Financial Trouble? ü Absolutely not! ü Total annual revenue is more than $2, 500, 000 ü Dues are not our only source of income ü This shortfall is less than 3% of our total budget ü Last dues increase was 2004 (nine years ago)

Doe Valley

Doe Valley

Doe Valley

Doe Valley Dues Increase Main Lot dues are $79 per month - If our dues had increased by the same rate as: § Social Security, they would currently be $107 § Military Pay - $110 § Consumer Price Index - $100 - Money from the Lake / Golf Course assessment is used to pay loans. It is not used for operations.

Doe Valley Striking the Proper Balance If We Raise Dues Too Much, People Will Choose To Live Elsewhere But If We Don’t Invest in and Maintain the Things that Make Doe Valley Special, People Will Choose To Live Elsewhere

Doe Valley What are our options? 1) Implement Budget Cuts (Reduce staff/services) 2) Raise dues on main lots $9 per month • Condo’s $4. 00 per month • Additional lots $3. 00 per month 3) Do Some of Both 4) Other Ideas?

Doe Valley Member’s Feedback 1) Introduce yourself 2) Be polite 3) Talk clearly 4) Make actionable recommendations

Doe Valley Thanks for coming and drive home safely