Willow Grove Mill Homeowners Association Budget Meeting Minutes: 3/8/16 – 6:30pm

Location: Brick Mill Elementary School

Attendees: Willow Grove Mill Homeowners Association board members and homeowners.

  1. Aaron Blythe, President WGM HOA, opened the meeting at 6:45pm covering the agenda for the meeting which included:
  2. Introduction of WGM HOA board members
  3. WGM HOA facts
  4. HOA vs. Town of Middletown responsibilities
  5. Key functions of the WGM HOA
  6. WGM HOA planned projects
  7. Review of the proposed 2016 budget
  8. Option “A” - $72 per year
  9. Option “B” - $55 per year
  10. Questions & Answers session
  11. Vote of residents for the 2016 budget options
  12. Adjournment
  13. Aaron addressed questions and comments raised by the homeowners of WGM after the budget was reviewed.
  14. Questions and comments from the homeowners included the following:
  15. A homeowner questioned the mailing expenses including postage rates and the need to allocate $4,500 towards mailing expenses.
  16. Aaron explained the postage rate and mailing expense is a result of the number of mailings predicted for the first year of an operating HOA.
  17. A homeowner asked the question as to why the need for liability insurance.
  18. The board expressed the reason for liability insurance was a requirement of an HOA that helped to protect the board and decisions made as well as used to secure rental of facilities to hold meetings such as the budget meeting.
  19. A homeowner expressed concern over the ballot only containing 2 options with none of them being a “yes or no” option.
  20. Aaron explained that the HOA has an obligation as outlined in the bylaws and deed restrictions to assess a fee. With no operating budget there is no option to not assess a fee but that this amount will be evaluated each year to determine what, if any amount will be assessed in the following years.
  21. A homeowner asked if there was an option to amend the budget with lower expense for signage or no signage at all since there is a DelDOT sign on 299.
  22. The board advised the options presented include a lower option, “B” that spreads the signage expense over 2 years with 1 sign in the first year and a second sign to be included in year 2.
  23. Aaron explained that the feedback the HOA has received from residents has indicated the strong desire to have a sign to identify the community and explained the 2 vote options available for spreading out the expense.
  24. A homeowner asked what if they do not agree with the budget proposal is there an option available.
  25. Aaron responded that the two options presented are the choices available for the budget and if it was not satisfactory the other choice would be to not cast a vote.
  26. Aaron also indicated the approved assessment amount would be determined by the majority vote of the homeowners present at tonight’s meeting.
  27. A homeowner stated that they had purchased their home in July 2015 and were told that no HOA was in existence in WGM. They also indicated that no notice was provided to the neighborhood regarding the July 2015 meeting.
  28. Several homeowners stated that notice was provided for the July 2015 and that they were aware of the HOA in place for WGM.
  29. Aaron apologized if the homeowner did not receive notice but that notices were sent out and the July 2015 meeting was held to vote on the selection of the board members for the WGM HOA.
  30. A few homeowners asked if was possible to have itemized expense detail provided to homeowners.
  31. Aaron indicated that the goal of the WGM HOA is to be transparent with all homeowners and that expense information would be made available. He indicated the budget reviewed did include actual expenses to date that the HOA has incurred.
  32. A homeowner asked the board what they can do to establish trust with homeowners.
  33. Aaron indicated that the WGM HOA will provide transparency to homeowners on all matters and will be including homeowners in committees so that they have a voice. Homeowners will be encouraged to provide feedback to the board so that matters can be addressed.
  34. A homeowner asked about the option of using email to help reduce expenses on communication to other homeowners.
  35. Aaron addressed the question by indicating it was a good idea and that the board would look to reduce mailing expenses wherever possible. Aaron did indicate that certain meetings and actions the board takes do require physical mail as outlined in the bylaws for WGM.
  36. A homeowner expressed their fear of unknown expense and a bad experience in a prior HOA in another state.
  37. Aaron responded that the expenses reviewed are based on what the board feels will be the initial operating needs along with the signage expense. Aaron acknowledged that the expenses could change based on the payment rate of assessments but that the board would remain transparent with expenses.
  38. Other homeowners expressed similar concerns due to past bad experiences with HOA in another state.
  39. A homeowner stated that they did not like the capital expense being included in the budget.
  40. Aaron indicated that two options for the budget are available and the second option “B” reduces the capital expense and spreads the amount of two years.
  41. After completion of the questions and comments Aaron covered the upcoming important dates for homeowners which included:
  42. Assessment notices mailed 4/8/16
  43. Payment of the assessment amount due 5/9/16
  44. Second notices for those who had not paid mailed 6/19/16
  45. Interest assessment would begin on delinquent payments 6/16/16
  46. Court filing for failure to pay would begin 7/19/16
  47. Aaron concluded the meeting by reminding all homeowners to cast their vote and place votes in the ballot box.
  48. The meeting concluded at 7:43pm.
  49. Ballots were collected and independently reviewed by non-board members, homeowners Curtis A. Rogers and Donnamarie Weaver.
  50. The count of attended homeowners and votes was:
  51. 173 homeowners attended or provided proxy
  52. 106 votes were collected for budget option “A” - $72 per year
  53. 55 votes were collected for budget option “B” - $55 per year
  54. Option “A” received the majority vote and will be the amount included when the assessment notices are mailed beginning on 4/8/16.