Much more CRRRF repair work, and more upgraded levels of maintenance, will still remain unfunded even if both proposed ballot measures pass this November, but we have had great success this year using the funds we already receive:

• Roads construction is almost final, and we will be able to return 100% of the $43,397 contingency to the Roads Capital account. The project also came in substantially under-budget, which will provide an additional return of funds to Roads Capital (exact amount not yet final, but expected to be tens of thousands). The worst failed portions of roads were repaired (Gates 2, 3, 5, 9, and 13), in addition to hot-patching the “worst of the worst” potholes. Stop signs are now easier to notice with new striping. Where road painting was found unacceptable, touch-up painting has already started—at contractor expense.
• “Daylighting” (replacing part) of Culvert 19A is on schedule, within budget, and the area will be hydro-seeded and replanted in October. This project was imposed on the Association by the state and county, and – since it involved a culvert – was funded from Roads Capital.
• However, another unexpected, potentially expensive, road issue is being assessed at Gate 28: stabilization of the near-vertical hillside along the roadway that had a rockslide over the winter.
• Roadside vegetation work in Gate 5 is nearing completion, and cut areas have already begun looking better after summer growth. In fact, several areas that had been scheduled for reseeding did not need it due to heavy natural regrowth. Approximately 18,000 square feet of road side areas in Gate 3 and 5 were hydro-seeded in mid-September (with forecasted rain).
• An arborist report for Treehouse Park and elsewhere in Gate 3 lead staff to suggest removal of all trees Hazard Ranked 8 and 9 (the worst we still have)—an unusually large number are in the Treehouse Park neighborhood. The county has accepted a single permit application for removal of these 53 trees, saving on permit costs, however the poor quality timber will be of low value.
• The County made a preliminary decision not to require a rain-water management system for the proposed Temporary Storage Structure replacing Barn 6, saving the Association about $40,000.
• Design Contracts have been issued for the Removal of Barn 6 plus installation of the Temporary Storage, as well as for Soft Armoring the Marina Spit (now almost half eroded) and Marina Fire Standpipe (newly required by the Fire Marshal, though not yet officially “noticed,” giving us more time to prepare), plus new Gangways (in part to support the new fire system).
• Preliminary analysis of ground water samples from Area Z is promising, and further analysis of soil and water samples is due soon: it appears probable that additional, expensive clean-up measures can be avoided.
• As of August 31st, the Association is net cash-positive in operations by $12,000 (after UDR funding). We are now expecting to finish 2017 with an operational profit—much better than our spending plan that had projected a loss of $27,000. This is the second year in a row we will have finished profitable despite a conservative estimate of loss. We are managing our money tightly since the recent spending-plan estimates have been conservative. Increased profitability is also directly tied to improved collections and increased home building.
• Golf revenue through September 14^th is $652,151—2% over the $641,458 earned in 2016. A very busy late August and early September dramatically reduced our green fee shortfall.

Despite these successes, we do still need the Special Assessments to pass this year in order to fully fund the roads as our Covenants require, and to improve the maintenance of our common areas, especially including parks, that is also required.

Thank you for the opportunity to serve.

-Larry Brown, SVCA Board President