Categories
lack of transparency

A very Lake Lorraine meeting

Greetings Lake Lorrainers,

As many know, this last week was the annual meeting and the subsequent meeting since no quorum was achieved. 

This is not an official meeting minutes. 

March 5th:

The meeting started on March 5th at about 2pm

Even with proxy votes they could not get enough people to make quorum. 

Which started a sort of impromptu meeting where some of the information declared in the meeting agenda notes was then discussed. 

One sticking point was the question “since the water rate changed, how much in the black are we?”

Liz took up that question and answered with “I don’t know. I left that information on my kitchen counter.”

Another member of the community commented it would be nice to have a more transparent board and that this information was important to know. 

They were explaining all of the bills that the board pays for but when they moved on to the electrical I had to correct them 

Ronnie Mauldin and myself James Dias have and will continue to pay the electrical bill for 2 poles 

They commented that they had noticed that we had been paying for the last “few” months. I told them it’s been since July 2022, just over 7 months. 

They were and are still rather upset with that and asked why I did it. I explained that the president said people feel as though “I have no skin in the game” so I put skin in the game. 

They were not happy with that answer. They then asked me who I told I was doing this. I told them Ronnie Mauldin and I’m pretty sure like 6 to 8 other members of the community. 

The community will no longer endure late fees for late bills, as this has been an issue in the past and we as a community have paid thousands in late fees over the years. 

They also corrected me when I said that mowing the HDA land was also a service that a board memeber told me I had to do since I owned lake front property. 

The correction was that it is LLCO property not HDA. I said I disagree and they responded saying they did a survey….. 

The link to this public information is available https://esearch.mcad-tx.org/Property-Detail?PropertyQuickRefID=R30400

A survey for what? 

How much was said survey?

How did this survey help the community?

Where are the meeting minutes regarding this non public meeting in which this survey was “agreed” upon? 

So the non formal open meeting wrapped up and was set to meet again in 6 days.


MARCH 11TH:

The meeting started with a short speech from one of the board memebers that they were going to go right into the vote. 

This is where Doug, a community member, reminded them that they have to read the previous minutes from last year’s annual meeting. Here for reference https://lakelorrainenews.com/2022/03/llco-annual-meeting

Liz, one of the board members, said she didn’t accept the meeting minutes as they were incomplete. 

They proceeded to read meeting minutes for a meeting that I (James Dias) was asked to leave when I entered the room at 2:00 pm as per the sign posted at the front of the neighborhood. 

This was a private meeting between just the board memebers on or about August 21, 2022 

A meeting in which they voted a member off the board without a community vote. 

The same meeting that they voted amongst the board to hire an attorney to not only lower the water rates but also fight against the members of the community that are submitting complaints to the PUC for various reasons. 

These were supposed to happen at the open board meeting that day but that didn’t occur. 

The board voted to add in additional meeting minutes as they didn’t have the full meeting minutes from last year’s annual meeting. These new meeting minutes being added in were both unread and not present. 

They proceeded to also talk about budgets. 

The question was finally answered, the water company is still making a profit. They have how spent $8,648.75 on a water attorney in order to lower the bill and fight PUC complaints from the people who have been overcharged for years. People who were overcharged are now having their money used so the board can have legal counsel to fight against them. People wanting the fulfillment of what was told would happen, “Once the loan was paid off the bill would go back down!” It’s a story I have heard from about 15 people. 

They have also spent another $3,881 in legal fees with, presumably, the same attorney they use for deed restrictions. Which is a lifetime commitment of tens of thousands of dollars with, in my opinion, zero results. 

Last years “mantaince fees”   $9,293.25

Less legal fees                        – $12,530.25

Or a gross loss of  -$ 3,237 before all the bills are paid. 

Another outstanding issue was 2 people had the same person’s proxy vote for this election. Which in itself raises questions. 

Next item up was talking about the decision to cap the wells on lot 9 as they have cost the neighborhood, for years, extra fees for no reason as the water is unsellable. They pointed out that it will cost $10,971 to cap both wells and if anyone has any objections that they can hire an attorney or leave them to do the work. 

Again, all done without talking with the community at all. The previous board had attempted to open dialog about this and the community shut them down. Now it’s a good idea to spend thousands more due to inflation?

When was this decided?

Why were the meeting minutes not disclosed for this meeting?

What other business was discussed? 

Finally, we were informed that the water bill here in Lake Lorraine would be getting lowered again by a little over a dollar, and will be retroactively credited to December. 

This raises more questions. 

Why can this be retroactive and not from almost 3 years ago? 

What day exactly was the loan paid off?

How many tens of thousands in profit has the water company made off the community?

Why is there no water bill charged to LLCO?

Who pays for the water at the front of Lake Lorraine?

Do the residents pay for it with the water rates in a hidden fee as a part of the water bill?

Is there insurance on the water company? 

How about on the infrastructure?

Where is an itemized list of Plant and equipment estimated at $196,383.18?

Shouldn’t we have insurance on that in case of theft or loss?

I left before the board took the vote for the new board. So at this time, I am unsure of who is on the board or if one even still exists. 

Some additional questions for LLCO coming very soon. 

All the best,

JAMES DIAS 

The views in this post are opinions and have been researched to keep the article as factual as possible This is not official record.

Categories
Open Meeting

LLCO Meeting 12/21/21

Board members in attendance:

1. Doug Bubela President
2. Liz Neighbor Treasurer
3. Mark Denker Member at Large
4. James Dias Member at Large
5. Donald Young Secretary
Not in Attendance:
Jeff Tanner Vice President

Doug starts the meeting at 1800

Doug explains that we had a vacancy on the board and Alisa has resigned as treasurer. He made the motion to move Liz to treasurer, and to bring James Dias aboard as a director at large. Mark then asked if James was a member in good standing and paid his membership fees of $100 . James Dias offered to write a check then and there for $100 , but he was told that the $100 requirement for membership have been done away with in years past. Motion was seconded by Donald young , the board ended up voting James in 3 to 1 ( Mark Denker voting against it) . James Dias was then asked to join the board at the table as a voting member. Doug had announced Judy is resigning December 31, 2021. Doug then made the proposal that we replace Judy with Jeremy Hair as a bookkeeper. His services would be secured for $300 to $500 a month, he uses QuickBooks and that he would transition over with Judy ’s assistance. Silva Oquendo said we should keep Judy on, Maria Pena said we don’t need to rush on finding a new bookkeeper but offered up the possibility of knowing someone that could do it. Mark stated that he wanted to raise the motion to retain Judy for another month , the motion was not seconded there was no vote. Liz made the motion to ask Judy to stay on past December to facilitate the handover to Jeremy, so we have some overlap. The motion was made, it was seconded by Donald Young . Motion was passed 4 to 1 (Mark Denker voting against it). Liz was going to contact Jeremy to work out the details of his employment with LLCO and get the audit started. There was discussion if the residents had to pay assessments. Mark Denker said in our attorney’s opinion yes, we are acting as an HOA. That the attorney said keep business as usual until this is challenged, just do not charge late fees, or put liens on homes . Donald Young informed residents that to issue a lien at this point could be criminal. It was said that the board would be meeting with the Civic Organizations attorney Tuesday to discuss this further. Doug then discussed lowering the water rates from 78 dollars and eight cents basic rate to $50. There was some discussion back and forth between the board members and the community about MUD 4 s validity of contracts and lowering the rate further or sustaining the rate where it was. Motion was made to lower the rate to the lowest rate possible while keeping a reserve for emergencies pertaining to the water. Motion was made by Liz, Donald seconded motion was passed 4 to 1, { Mark Denker voting against ). Ronnie Mauldin asked if the water company is a for profit or nonprofit company. Donald Young responded that he didn’t know but that we are filing as an 1120 – H IRS form, and it appears to be a nonprofit . Donald Young ask ed Mark Denker if he could elaborate, Mark ​Denker said that we are a water provider, and we buy water wholesale. Donald Young asked if that’s the case, if we’re making profits off the water should that be a separate for – profit company separated from the civic organization that is a nonprofit? No answer was given there was a motion raised to have a water attorney look over the water rates and the status of the water wholesale company to determine if the rates needed to be raised back up from the prior motion. The board agreed to go ahead and lower the water rates but to have an attorney who specializes in water to go back over what the board has done and to give guidance on how to structure the water wholesale company. James Dias asked if we were making any interest on the money in the water account. It was pointed out that we do not have a treasurer with experience who could tell us, this would have to be investigated and get back with them. Doug the association president wants to contact an attorney named Mr. Zeppa in Austin who worked with the association before to discuss water rates taxation and insurance . Mark motions that we make a call to Mr. Z e ppa . James Dias says that we should talk to an attorney Zeppa if the attorney takes more than two weeks, then drop the water rate to $50 by January 14th, Mr. Zeppa will be contacted by Donald young. It was brought up by Mark that fire hydrants may be needed in the neighborhood again, and that the neighborhood would have to buy the fire hydrants and pay for the installation. Mark said that he did not want to lower the monthly water bill so we can keep an excess of funds in the bank that would allow us to leverage and obtain loans to install the fire hydrants and the plumbing needed for them. At this point Glen Hotchkiss objected and said he had talked to the Fire Marshall, and he said it is not necessary to add fire hydrants. Glen said he was also told they have another truck just for that purpose that can service this area . The Fire Marshall also mentioned that all of this was already explained to Mark Denker 10 months prior . Matt McQueeny also mentioned that he has done quite a bit of research and seconded that we do not need fire hydrants and were completely covered if there was a fire. During the meeting Matt went out and measured the distance needed to be safe during a fire and reported back 100% no issues and there is no need to go out and buy and install fire hydrants. Mark Denker still wants to keep the water price where it is to leverage loans to get the fire hydrants. It was suggested by Glen to try to bring the fire marshal to a meeting with all the residents to ensure that we do not need these fire hydrants, Mark Denker did agree that we could do that at a later date. At this point Doug the association president asks the community if they wanted to discuss deed restrictions. Ronnie Mauldin raised a concern that as the deed restrictions are written now, that they overlap and infringe upon state city and county law. He does not believe the overlap needs to exist. Ronnie Mauldin also asked if we should first vote to become an HOA since we are a currently a civic organization. There was a lot of discussion from the community it was decided by the board that we would meet with Brian Fowler on Tuesday of next week and get advice on how to become an HOA and what percentage of the vote we would need 50 + 1 percent or a super majority and is it one vote per household or a vote per individual on a mortgage or deed in the neighborhood. At 1916 meeting ended with Doug calling the meeting to an end.​