Analysis of Royden Revised Covenants
Analysis of recent Royden Board of Directors REVISED BY-LAWS AND COVENANTS-THE TROJAN HORSE
Dear Royden Homeowners, please see the following comments on the subject:
1. COVER LETTER: Ron Arrington is incorrect in his first paragraph in stating there are “4 separate sets of Covenants “….There are only 2…Phase I/II and PhaseIII/IV. However the Phase I/II covenants were merged into the III/IV covenants so the Phase III/IV Covenants are the operative covenants for the entire HOA, The only Covenant that is meaningful to all of us as Royden Homeowners is Article IV-Covenant for Maintenance Assessments. If necessary I can support the statement with the specific covenants including the key “ADDITIONAL PROPERTY COVENANT” which specifically. If they want to Consolidate the Covenants, juat print Article IV…and you have it.
2. COVER LETTER: Ron Arrington states that these UPDATED Revisions conform to CURRENT LAWS AND REGULATIONS!!!!!! The operative legalese is THE PLANNED COMMUNITY ACT OF NC……”current to today;s lifestyles”…..b___s___!.There is no way we want to revert from a NC GS55A Non-Profit Community to a PLANNED COMMUNITY ACT OF NC COMMUNITY……Just visit nchoalaws and see the difficulties communities are having under this ACT. This act gives significantly broader powers to HOA’s in fining actions and control of homeowners property…Currently the powers of the Royden BOD is limited to “MAINTENANCE OF THE COMMON AREAS”…….And they can’t stand it and want MORE POWER….AGAIN….We are a NON-PROFIT and should stay that way!!!!!
3. THE BY-LAWS………We just revised our By-Laws…..in 2012…Why Change????? Why…Because the Board has expanded their POWERS …Section 2(h) Take any other action on behalf of the Association that the Board of Directors shall deem necessary or advisable.
4. THE BY-LAWS….Removed the Fiscal Reserve Limit and fails to define fiscal reserves (TOTAL ASSETS) On May 31, 2018, Fiscal Reserves were $30,794 and over $28,000 more that the 10%Contingency Covenant!!!!! At no time in our Associations history was a reserve needed…Much Less $30,000 and a Treasurer who doesn’t reconcile the books to closing bank statement…A NC Law!!!!!
5. BY-LAWS-Removes the requirement that members be notified if a legal action is to be taken against a member!!!!!!
6. COVENANTS:…Currently the clear PURPOSE for ANNUAL ASSESSMENTS is stated as maintenance of common areas…….that’s it….Notice that in the Revised ASSESSMENTS Article X…There is no definition of what is to be included in the Assessments…What Budget!!! What EXPENSES!!! Currently our Covenants call for Annual assessments for “maintenance of common areas only”……..Social expenses and legal expenses are SPECIAL ASSESSMENTS!!!!!!! MORE POWER TO ASSESS BEYOND THE LIMITED SCOPE OF “COMMON AREA MAINTENANCE ONLY”
7. VOTING…….PHASE I/II WILL REQUIRE 48 VOTES OUT OF THE 97 HOMES….PHASE III WILL NEED 14 AND PHASE IV WILL NEED 20 TO REVISE THE COVENANTS TO THE PLANNED COMMUNITY ACT OF NC….NO WAY THIS SHOULD EVER HAPPEN AND GIVE SWEEPING POWERS TO 5 NEIGHBORS WHO HAVE COST THIS COMMUNITY OVER $300,000 IN A FAILED EASEMENT LAWSUIT THAT LEAVES THE MEMBERS WITH NO CONTROL OVER THEIR FRON T ENTRANCES…..
SEE WHY I HAVE SPENT OVER 300 HOURS, $10000 IN LEGAL FEES AN SANCTIONS OF $6300 FIGHTING THESE FOLKS…THEY ARE ALL ABOUT POWER…….VOTE NO TO BOTH THE BYLAWS AND COVENANTS