Special Projects don't always require Special Assessments

Special Projects don't always require Special Assessments

Hello Brookside homeowners;

Last Tuesday night (on the 1st) we finally found out the Board of Directors plans on re-building and financing the special project-garage parking and tennis courts at their first Town Hall Meeting on this issue. Town Hall Meetings are suppose to promote a project in a friendly, communal process that relays information to the community in a transparent, two-way communication that also gathers information from the community on what the community wants and feels about the project.  None of that has happened; the Board has just forged ahead over the last two years and made decisions. Decisions that now effect all of us.

Well, the structure will be completely demolished (except for one existing retaining wall) and then rebuilt to much the same appearance and footprint as the present structure, only there will be a new handicap ramp for the upper level and a fire sprinkler system installed in the lower level.  The projected 6 month project will cost approximately $2.13 Million dollars, all of which the cost burden is on the homeowners. The Board has already signed off on the plan to assess current homeowners $2,500.00 each (or $962,500) and borrow the remaining $1,167,500.00 from our Reserve Funds.  The financial burden of this Special Assessment effects the sale-ability of our property now and the burden is magnified over the next few years because the borrowed Reserve Funds have to be paid back to the Reserve account because the structure was never an amenity that had been reserved for, (which makes the funds used actually borrowed against amenities that have been reserved for over the years of your ownership).  The pay-back period (whatever that is as determined by the Board) risks that our regular monthly assessments will also be raised each year to pay back the borrowed funds.  Make sense?  No !

You may have noticed in very recent unit sales, the deteriorated condition of the structure has had little to no effect on the FMV of the units recently sold.  In turn, a new structure will have little or no effect on the FMV of units to be sold.  Therefore, I introduce an alternative financing plan, as I had proposed in 2013, that is much more friendly to the homeowner base, especially considering that not all homeowners use the tennis facility nor park in that garage.  I had once proposed the Association take a mortgaged revolving credit construction loan for as little as $500,000 at the best competitive rate available in today's low market and capitalize on the Association's excellent credit rating. (Alternatively, if the loan were to go up to $1 Million dollars it could include the final phase of the streams project and the preventative maintenance required on the upper level parking structure as well.)  Just the minimum loan amount of $500,000 would cut our Special Assessment in half, making it more affordable to most homeowners to pay in full and avoid the 10% processing fee charged by Horizon Mgmt, benefits by our burden.

There is no downside to a loan for a project like this. Commercial banks and large general contractors arrange financing like this all the time for HOA's.  In fact, there is a mortgage banker sitting on our Board right now who has been strangely silent about this issue.  I don't think the current Board has thoroughly thought through all of the options available to our Association.

It is our Association and your voice is needed to make this Board of Directors re-think the financing plan for this project with consideration for the community as a whole.  Voice your opinion in person at their next Board Meeting on the 15th or send emails and letters to the Board of Directors (c/o jacquie@horizonmgmt.com) before their next Town Hall Meeting on Sept 17th.

Thank you for your time and hope you have a great Labor Day weekend.

Mike Sukey

Annual Meeting 1/15/15 Adjourned

It can be reported this morning that the 1/15/2015Annual Meeting of the Brookside Village Homeowners Association had been adjourned due to a lack of membership quorum.  As of the the 8PM closing of the polls there were only 115 ballots submit, 81 short of quorum. This is the usual situation for Brookside Village. In the 10 years as a member, the Association had never achieved quorum at the annual meeting.

It was announced last night that a candidate, Carl Scaglione, had withdrawn his nomination and that members would be allowed to recast their votes accordingly.

The meeting reconvene date is scheduled for Tuesday 2/3/2015.  A motion will be made to reopen the polls in order to accept all the ballots submitted thru that date so that there is the best representation of the membership and to consider any recasting of votes due to the withdrawal of candidate Carl Scaglione.

If you have not voted, please submit your ballot as soon as possible and your consideration in casting all of your five (5) cumulative votes to me (Mike Sukey) as a "Write-in" candidate would be greatly appreciated.  Thank you.

Write-in candidate nomination

Michael Sukey ~ Homeowner since 2004

626-502-6498 ~ preservebsv@gmail.com

January 2015

Dear BSV Homeowner:

I am writing to you today to ask for your HOA membership votes as a “write-in” candidate in the upcoming annual election on January 15, 2015.  As a Board member at Brookside Village, I will promptly introduce a reduction of 5-10% to our assessments simply based on the operating funds that were not spent last year, but budgeted for again in 2015, by the Board of Directors.  I will scrutinize the budget and find other areas to create efficiency and value in your assessment dollar.  I will also re-establish the good community reputation in the South Bay that was established during the six years before the past year.  

Over the past ten months, I have been monitoring the actions of the current Board of Directors and have reviewed the financial reports of the association on a monthly basis.

Examples of what I have found:

• An embattled management body that is constantly at conflict within itself.
• Several incidents of conflict of interest with association policies and funds.
• Only $69,232 of the $2.7 million Reserve Fund has been reinvested back into our community. Yet roofs need to be replaced and maintained, buildings need to be painted, plumbing needs to be replaced, trees need to be trimmed, fire alarms need to be inspected annually, etc.
• Vendor payments have been made slow or late or until the vendor complains.
• A 2015 budget that was not adjusted based on community needs but merely rolled over from 2014.

Some of what has transpired:

• Several officer title changes during the year as each director has thrown up their hands in frustration and pulled away from the responsibilities.
• One Director had resigned as early as August and the Board has not considered appointing a qualified replacement.
• The Horizon management contract had been unilaterally renegotiated to increase services to “full-service” (>$6,000/mo nearly double the previous rate) to alleviate the duties and frustrations of the Board without a competitive bidding process.  Competitors offer “full service” at nearly half that amount.
• Monthly meeting minutes are not posted on a regular basis to keep the community informed. Resident open forum sessions are banned at open meetings against Civil Code requirements.
• Non-existent supervision of the maintenance staff resulting in work slow-downs and little production by the crew of six, practically wasting the $500,000 Personnel and Benefits budget.
• The Board has not spent budgeted funds nor have reinvested in the community amenities that we use and pay for so they can show how much money they saved and get re-elected. Why haven’t they passed those savings down to us? Why would they then hold assessments steady and approve a new budget for expenditures they did not spend in the first place?
• Harmed property values by the Board’s delay in rebuilding the south parking structure and recreation facility.

I am broadly experienced in the homeowners association business since 2008. I am an active member in the Community Association Institute-Orange County Chapter (CAI-OC), attending monthly educational events, and periodic educational classes. I have been an HOA Board member, an on-site General Manager and now a Portfolio Community Manager. I am certified CMCA by the national industry standards organization, Community Association Institute (CAI). I won the CAI-Los Angeles Chapter, Community Leadership Award in 2009. I also hold an Association Management Specialist (AMS) certificate as the next step in achieving the PCAM certification, the highest certification in the industry.  I am also a member of the California Association of Community Management (CACM) that focuses its concentration on California Civil Code legislation under the Davis-Sterling Act. I have also held a Certified Public Accountant’s license for more than twenty-three years although my license status is currently inactive.

I will reduce our assessments and protect the market value of our homes. Please consider casting your five (5) cumulative votes to me as a “write-in” candidate prior to the reconvene deadline of February 3, 2015.   If you need another copy of the election ballot and casting envelopes, please contact Tracy Vees at Horizon Management (tracy@horizonmgmt.com or 310-543-1995) who is obligated to mail out duplicate ballots upon request.

If you have any questions concerning the Association in which we all live, please contact me above. Sincerely,

Michael Sukey

An incident of interest?

Last September, my neighbor mentioned that the unit down the way had new shrubs planted in front of their patio but they didn't plant shrubs in front of the patio just next door. A few days later, I checked it out and there were six new shrubs planted directly in front of the patio at 643-103 but none planted in front of 102. Well, 103 just happens to be owned and rented out by a current Board member.

Every month since, I looked for an Association payment to the landscaper for these plants but didn't find one....so I started thinking the landlord may have actually paid the landscaper himself, knowing that the Board knew of my monthly review of the books and records of their dealings.  Well, guess what I found?  Paid in November with an Association check (#6307), nearly $300 of plants and installation for six new plants in front of 643-103.

Now why would you think the Association would pay for these new plants in front of a Board member's unit at 103?  Common Area?  Yes, common area, but why would there not be new plants planted in the common area in front of the adjacent unit at 102?  I, myself, have been waiting on a request to Maintenance since July to replace the Holly shrub in front of my unit? Who else is waiting for new greenery in front of their unit?  Maybe the separation of responsibility no longer exists under this Board of Directors where the rules no longer apply to them(him)?

If I am elected to the 2015 Board of Directors as a "write-in" candidate, this kind of conflict of interest will not happen.  I ask you to consider casting ALL of your five (5) cumulative votes to me as a "write-in" candidate.  Please vote January 15, 2015.

Thank you,
Mike Sukey

Happy Holidays 2014

Excuse my absence. With the holidays, a little time frees up to do the things we really love to do or need to do.  Well, the BSV Election ballot has been issued. I expected to submit my intent to run but am too busy at work to commit the to community at this time. BUT, I will say alot of bad stuff continues to happen at Brookside and new slat of candidates doesn't seem to promise any change.  Over the holidays, I will catch you up on what has transpired in the past 6 months or so.  Stay tuned. BTW: I would be happy to accept your Write-In vote for the 2015 Board of Directors.
Happy Holidays!

Going into the May 2014 Board Meeting,
there are already a lot of Board actions in question. Way too many issues to cover in just one post. Many come from my review of the financial reports and Board meeting documents over the last two months. I will be posting those details of my findings, which will show where our money is being spent (or not spent) and the Association's new unorganized management style in decision making.

Take the recently posted meeting agenda, for example, anyone can spend $1,000 on flowers and say "Look what we've done, the place looks great! But here are some real issues that homeowners are concerned with;
1) the Communications Committee is now officially "inactive" at this time. Amazing politics even at  Brookside Village. This Board ran a campaign promising better communications with the community and now the Communications Comm itself is now inactive! Way to go Candice, VP and Director of Communications!
2) the Garden Club is being funded with $2,500 to construct an herb garden for only the 818 and 820 buildings, despite the funds coming from the entire Association. It just happens that one of the Board's biggest supporters, January Blanford, lives in the 818 building and has been driving the garden idea. Way to go self-serving Board!
3) a new business agenda item - "Processes/Authorizations/Delegation". Seems that the Board President has expressed comments on the overwhelming activity within BSV at the last two Board meetings, where it has been taking three Board members to perform the daily duties of the previous on-site manager. With this new agenda topic, is the Board now going to form additional sub-committees, spreading out the work load to more unqualified residents, adding more Chiefs for the Maintenance Dept to answer to? Way to go Nedra, President!
4) another new business agenda item - "Day Time Board Meeting". Here is the best self-serving example from this Board. Moving the monthly HOA meetings to day time (reg work) hours, no homeowners of the membership will be able to attend, except for the 10-or-so retired supporters of this Board. In just two months, the Board has already forgotten who they serve. The Community, AS A WHOLE! Way to go self-serving Board!

I will be observing the entire Board meeting this month because of these self-serving topics. I will report the developments soon after the meeting instead of having to wait a month for the approved minutes to be posted. If anyone would like to join me, please reply to PreserveBSV@gmail.com.

There are a lot issues at BSV,
to catch up on but in the meantime, check out these other public (YELP) postings about one of our HOA Directors with financial authority over our bank accounts! OMG!

Happy Reading - NOT


See http://www.yelp.com/biz/peninsula-fireplace-campbell

See http://www.yelp.com/biz/wilshire-fireplace-pacific-palisades-2