(Added to website 9/13/24)
Summary Provided by RFRS Club Member
Matt opened the meeting by explaining that the $4,200 assessment failed due to the board's lack of success in educating residents.
He then outlined the different funds and their purposes:
- Operating Funds: Cover CAM, subsidies, and roads. $300K/yr capped on capitalized items from the operating fund.
- Capital Improvement Fund (CIF): Finances improvements enjoyed by residents, including leases and equipment for community maintenance. Created in 2016 and funded by resale home fees, with 2024 expenditures expected around $70K.
For future needs:
- 2024-2029: $35.4 million required over 5 year period
- 2024-2034: $49.1 million required over 10 year period
Specific Areas of Concern:
- Roads: 45 miles needing a $4 million increase over the next decade above what was budgeted in the reserves.
- Preserve Golf Course: Needs $10 million by 2029. for refurbishment. Any changes to the golf course beyond maintenance should be funded solely by users similar to the pickleball. ie: Pickleball was approximately $1.1 million for construction, and $300K was raised by club users through donations. and sponsors. Members pay a fee to be part of the club.
Reserve Fund:
- Covers assets with a life of 3+ years, allowing modest improvements like adding pool covers. Typically over $5000 in total or aggregate cost.
- Uses a 3% inflation rate for cost estimates in the reserve plan.
- Duff is developing a living reserve document for annual updates.
Funding Strategies for Saddlebrooke 2 needs and wants
- Regular budgeted contributions
- Special assessments
- Securing a loan
- Deferring work
- Combination of the above options
In 2018, no reserves were set aside for golf courses. Troon, which manages 800 golf courses, typically phases refurbishments over multiple years; only 10 have been refurbished in a single year.
Chuck presented a plan to fund the Preserve golf course by phasing the building process, using moneys already available, the additional collected on the $1500 assessment and CIF fees. Might call for small assessments $100-$300 but possibly not if we improve efficiencies and tighten expenses.