HOA DUES are increasing to $877.11 starting October 1, 2023

7/16/2023 91 Comments

HOA DUES are increasing to $877.11 starting October 1, 2023

The HOA Board presented the latest version of the 2023/2024 budget summary on July 14th. Homeowners were not allowed to comment on this budget presentation.

As the budget stands now, HOA monthly dues will be increased to $877.11 per month. An increase of $129.11 per month. Our dues have increase in the last 5 years over 43%.

The Board will be approving the final budget at the Board meeting on Friday, July 28th at 1:30pm. Homeowners will not be able to see any details of how the board plans to spend our money until after the budget is published and mailed to the homeowners in late August.

HERE IS WHAT WE KNOW SO FAR:

Over 45% of our monthly dues will go to pay for salaries, taxes, benefits and grounds. The Board does not plan to put Management Trust , O’Connell(landscaping) or legal services out for competitive contract bids.
The Board’s budget includes increases in additional staff, pay increases and corrections for previous budgeting errors.
A board member proposed a $200,000 reduction in the budget (reducing dues by $13.81/month). That proposal was voted down 4 to 3.

The Country Club budget was not included in the presentation.
The Board presentation excluded any reference to increases in golf membership fees and/or dues.

The blog would love to know your thoughts.

91 Comments

Home owner

7/16/2023 02:03:51 pm

This is absolutely outrageous with no consideration for the home owners that have these properties as investments.

Rental owner

7/16/2023 03:41:08 pm

The HOA board has never cared about the investor owners. If they had their way..they would get rid of all of us.
Don’t you know..some of them believe we are all making lots and lots of money from our rentals! They have no clue because they don’t own any as rentals.
We as rental owners are an intricate part of the community. We bring new people in that see our beautiful property and spread the word to others.
I have had a handful of renters that have come back and bought their own.
Word of mouth both ways is the best means of advertising.

Tom

7/17/2023 10:19:32 am

Funny how nearly a decade the HOA was $600 a month two increases in the last three years and now this! Monthly HOA of $877 for virtually nothing, is insane! There are so many people on the payroll and O'connell landscaping is nothing short of money laundering--they running around on lawn mowers when the grass is mostly brown and pushing the cuttings left and then right... I took a 2 minute video of this it was so funny! Trimming mature trees at 4X the market! Trees that NEVER need to be trimmed. Criminal! They are stealing from us and lining their pockets. Time to get rid of this board.

Rosey

7/19/2023 09:26:22 am

Yes Tom. I agree with your assessment. They could run our place with half the number of employees O’Connell uses. Every resident Ive talked to say they overtrim all trees and plants as they need to justify their employment

Kelly

8/3/2023 09:47:35 am

Spend more wisely rather than making homeowners pay for incompetent spending. I'm so frustrated that I'm thinking of selling.

Pamela

7/16/2023 02:04:19 pm

How can the board decide by themselves to increase the budget without a vote from the owners. This increase is ridiculous! Surely there is a way for owners to stop this increase?

Tom

7/18/2023 11:12:14 am

No notice at all because this board is so criminally wasteful. We need to recall the entire board. Why are there so many employees at the HOA?? My last HOA had more services, more properties, more facilities and there were 0 full time employees. 100% voluntary. Wasting thousands of dollars on this CVWD water reduction plans. Wasted tens of thousands of dollars on the landscaping plans that fortunately we got voted down with 96% NO vote BUT they still wasted all the money on the plans before asking us. Wasting $70k on a sound system! Wasting money on plans for restaurant remodel (extend the patio????). Wasting money on plans to remodel the Spa and then new plans and then cancelling the entire project.... hey hey, ho ho this HOA has got to go!!! Wasteful. Never asking for our input except ex post facto.

mike

7/18/2023 05:55:27 pm

i totally agree with tom. additional staff???? spa upgrades? is a spa the expense even needed? dont heat the pools. just one or two. this is cathedral city not laquinta or ranch mirage. know your market. do a deeper dive on the expense lines. the easy decision is always to charge more. do your job. make some tough calls on spending our money. try harder, this increase is an embarassing act of governance.

Christina Adams

7/16/2023 02:08:26 pm

How do stop this from continuing to happen

Lynn MacDonald

7/16/2023 02:15:04 pm

OUTRAGEOUS !! Those on the Board who approve spending OUR $ on "vanity projects" have to go !! At least we can say good-bye to 2 or 3 of them in 2025 when their terms are FINALLY done ! There were numerous very good suggestions proposed at the July 14th meeting to SAVE money but the Board ignores what the owners suggest. They look at you with glazed eyes, never give a word of encouragement or say, "that's a good idea - we will discuss it". All they are concerned about is that no-one speaks for more than 3 minutes...Even when another owner offers up their 3 minutes to continue listening to an intelligent owner, Board member Terri Schwartz stated, "you are not allowed to do that". Who made her the dictator of the Board ??. It's absolutely pointless to have these Open Forums when we all know the majority (4 of them) on the Board have already made up their minds to do things their way whether we like it or not ! The Fitness Centre and Spa are definite money-losers and have never been profitable. Owners can drop into an outside fitness centre for $10 without the rest of us paying to have 1-15 people go to ours daily. The Spa barely sees 30 people/month which does not warrant it staying open. Planting annual flowers at the entry of every condo is a waste of thousands of $ especially when we are supposed to be conserving water and implementing desert landscaping. Half the ownership is not there 1/2 yr anyways and the flowers are dead within weeks of planting them. Waste of money spending $70,000 on a new speaker system when owners in the business have offered their expertise that it could be done for under $10,000. There are just so many ways to save $ but those 3-4 on the Board without any fidicial responsibility to the ownership think increasing HOA dues by $129 is the better way to go. Get rid of the money-losing amenities and get smart !! Take a course in basic economics - we have had enough of these outrageous expenditures as well as those Board members who know nothing about being financially responsible.
Also, many owners will be surprised to learn that our land lease fees will be increasing next year up to 25% according to Las Estancias. ALL BAD NEWS ~

Please make sure your VOTE counts and you are aware of what that candidate stands for - are they working on behalf of themselves or us ?? Sad to see we will be losing Bill Bergstrom in February as his term is up. He has fought valiantly against the Board majority on most if not all spending projects until we get our House in order, only to be outvoted. However, Bob Mangold will be up for a second term who IS ON OUR SIDE !! This HOA increase should awaken the complacent owners who do nothing but complain. Our votes can change things in the next 2 years. Like myself and many others, we can learn not to make the same mistakes with our votes again...

Tom

7/18/2023 11:18:33 am

AMEN! Did you notice the $670k of budget to go to landscaping project was around ever board members homes? Funny. This entire board has to be recalled and removed. They are self serving people who waste OUR money. At $877 do you realize we give them $1,019,000 A MONTH!! They have wasted all our reserves on ignorant "pet" project. We have NOTHING to show for the $1 million a month! Criminal. I did see somebody in the management company is driving a new $200,000 Porsche. Wonder how that was funding. What do these jobs pay? Do any of the people on the board or working here actuall live here? That seems crazy to have people who don't even live here, or are only here a couple months of the year, and ALL they care about is the golf, calling ALL the shots. We need to recall and remove the board and reduce staff 90%. I have NEVER seen anybody in that HOA building except to get RFID to open gates... INSANE.

Concerned Homeowner

7/18/2023 05:00:02 pm

Lynn, I absolutely agree with everything you've said here. Terri behaves like a bully and a dictator consistently trying to muzzle homeowners - I witnessed her at two meetings at the Masters Lounge where she was threatening to have homeowners thrown out for expressing their thoughts - so you're going to physically eject a few senior citizens for speaking up? Wow. Bill Bergstrom has been the only strong homeowner advocate for over 5 years yet the usual 4 on the board consistently treat him and his suggestions with condescension and disdain. On July 14, he proposed numerous excellent and feasible solutions for reducing expenses and increasing revenues, and all of them were rejected by the majority of the board. He suggested reducing water waste, leasing out the operations of the restaurant and spa to independent businesses that could turn a profit for a change, eliminating the hiring of another arborist (we already have Jerry Hernandez on staff), bid out the annual contracts for HOA Landscaping, HOA Management and HOA Legal Services (why is this being provided by a Canadian company? Incidentally Condo Communities is also a Canadian company).

Why can't they consider raising golf fees again for non-homeowners? They were raised this season and the course was incredibly busy, but that is also highly attributable to Rodney Young's business acumen. This board could learn a lot from him and try for a change to be financially responsible and accountable to the homeowners.

John MacNichol

9/23/2023 06:39:27 pm

Raising golf fees for non homeowners is a ridiculous solution. I am a renter, I live on property 6 months. Whatever HOA increase there is, I pay it. Whatever increase there is for non homeowners, I pay it. Double whammy. Eventually those like me are going somewhere else to live and spend our money. The green fees for public are becoming out of reach and eventually you will soon see many many openings… and your HOA fees will be higher and higher.
This BOD does not have CLUE 1 about running a business, and as a renter I’m willing to pay for the recall signs!

Beatrice Levy

7/16/2023 02:28:43 pm

That's preposterous!!!
I've had this unit for just 2 years and my HOA fees started at $648 and now are at $877.11. That's an increase of 15%, just for this year. The legal percentage for renters in California is capped at 10%. Seems better to rent than to own!!!!
This is abuse of power and it seems it's to deter selling off our units or even renting out our units. People have fixed incomes or can't find jobs. It's great that the board members have endless access to money, but others live in the real world.
I understand that most board members are volunteers, but others are just sponging off of our hard earned money and lining their own pockets. It's just like politicians, take care of our own and screw the rest.
We don't need so much money in reserves. We don't need to anticipate about this or that unit and we certainly do not need a $70k sound system. We don't need all pools heated and water 4 times a day...ridiculous.
The board is reckless and maybe the members need to find a worthy hobby or job, other than spending other people's money like it was water. Ironic, since we have a serious water shortage in California.
The board's actions are pathetic. But what's more pathetic, is that they don't give a hoot about the homeowners comments, let alone give them any consideration.
The last meeting, I could see every board member having no real interest in any of our insights, because it doesn't change a thing. It's all smoke and mirrors. Just like a "proposed" $60 increase mentioned during that meeting
ABUSE OF POWER AND THE LACK OF ANY BUDGET EXPERIENCE IS WHAT THIS BOARD IS MADE UP OF. YOU SHOULD ALL BE ASHAMED OF YOURSELVES!
It may be fun to play pretend, but you are dealing with real people, real lively hoods and you are messing with people's lives.
Shame on you all.

Tom

7/17/2023 10:21:48 am

Agree. The board has absolutely NO INTEREST in hearing from us. None.

LORI ROGERS

7/16/2023 02:43:14 pm

There are pricing people out and there will be a landslide loss of ownership!

Tom

7/18/2023 11:22:12 am

They have to go... there are like 28 units for sale in here and prices will drop further as more people list as I am doing. I am planning to list my 3 bedroom condo for $50-75k less (30% loss) than I paid just to get rid of it and all the anxiety this HOA has caused me. Horrible people have created a horrible situation and horrible environment. A few bad apples spoiled the entire community. So sad. I loved my last HOA...

Donna Mead

7/16/2023 02:55:54 pm

Outrageous! Surprised, not at all. We own and have previously owned multiple properties in HOAs. This is the ultimate in poor decision making, lack of regard for constituents, arrogance, etc. Do we regret buying here? My answer is a resounding yes!

Homeowner

7/16/2023 04:25:32 pm

This is outrageous. !!!
We as homeowners have a right to vote on this. They say they are hiring more people ? For what positions? Who are getting the raises?
An example is security. - supposedly they’re supposed to do rounds and let the homeowners knw what’s going. Well no, I got informed by my neighbor that my utility door was hanging. . I’ve seen security go around with their light looking around, what are they looking at or looking for. ? That it wasn’t noted. I had to call them to make the report.

Landscaping , the grounds are not well worked. We ( my husband ) does the trim around our front of the entrance because it’s not done well.
The dust from the garages are not picked up well. We see like 5 workers doing the same thing and it not done correctly. Isn’t the supervisor, manager supposed to check on their daily duties?

We like to go to different pools. But not all of them are cleaned. Yes a day before we can have winds but in a day it’s not going to be as dirt as some are.

So what is this extra money going to? We’re the highest and we have the right to know. If things change for the better with better keeps grounds then I’m in favor because we live here and we as well have guest say how beautiful the community it.

Let us Vote

Terry Albright

7/16/2023 05:00:08 pm

Bitching and moaning does no good. We the homeowners need legal help to get the HOA to follow Davis Sterling laws and regulations. The HOA is not listening to homeowners. Homeowners need an advocate. There are enought concerned homeowners to fund the legal help we need. Someone please explain to me why Management Trust pays their CEO $285k a year to preside over this mess? We need legal help.

MAGGIE HOOD

7/24/2023 06:11:35 pm

I honestly am one who cannot afford to fund legal help to find help. Isn't there one single attorney who lives here who can assist? Our board lawyer must be crooked - he or she is allowing them to violate our CC&R's and Bylaws regarding : getting more than one bid - they don't. representing the owners - they don't... THIS BOARD VIOLATES THE DAVIS-STERLING ACT - STATE LAW - CONTINUOUSLY!!

Michelle Dupar

7/16/2023 06:30:15 pm

This current increase of HOA dues is outrageous! This it the 8th increase since 2017 when the dues were $608/month. The dues were at this amount from 1989-2017 without any increases. I fail to understand why there is such a tremendous hike this year. It’s. Not like we are getting more services. We as homeowners need to band together and vote on this.

Tom

7/18/2023 11:27:33 am

Haven't you seen all the waste? Paying management $285k annually to manage our HOA! My last HOA which all the residents loved required that board member be FULL TIME residents. That management LIVE in the community. Almost all staff was volunteer. I saw a new $200,000 Porsche in the parking lot... I was scratching my head how anybod working here would make more than minimum wage based on level of service... I read that the manager is making $285k to do what exactly? We need to recall and remove this board they are wasting $1 million a month, each and every month. When I started looking here the HOA had $8 million in reserves that is all gone as is $1 million a month... there needs to be a criminal investigation there is no way there isn't money laundering or theft occurring. Where did $32 million go?? My accountant said he'd be fired if he produced the balance sheet this HOA did. In short, they need to go!

Dianne

7/20/2023 09:58:05 am

Tom, you make a good point about the HOA staff. The rule here has always been that no homeowner is permitted to work here. Why? What do they have to hide? I have been a homeowner here for 31 years. The HOA dues were approximately 350ish back then. And the HOA office functions were all done in house, as was the landscaping. The landscaping was done much better under the supervision of Arturo. The more things change, the more they stay the same. I major shakeup is needed to send a message. These people seem to take their cues from the government. Tax and spend on frivolous things, the people are a bottomless pit. They act like dictators and oligarchs.

Harry Goldthorpe

7/16/2023 06:33:22 pm

Like most everyone here my wife and I absolutely love our beautiful community but after doing some quick math it looks to me that this latest HOA yearly increase from last October comes in at a 17.2% increase which is an eye opener.

When looking at the last 2-year period I suggest that our HOA fees have increased some 32% which certainly is substantial to say the least.

Assuming that my calculations are correct and before I make any further comments, I would like to fully understand what predicated our HOA fees to increase some 17.2% this past year and how our HOA Board plans to spend $1,860,000 of newfound money received from us homeowners over the next year?

Janet Hayes

7/16/2023 06:38:12 pm

According to Davis-Sterling the maximum increase per year can only be 20% of the prior year. We pay $748 now and 20% would be $897. It’s pretty nasty that the board is asking for just $20 a month less than what they could have gouged us for. This increase every year is not sustainable. While it’s true that fire insurance is going up all over the State, the irresponsible spending on unnecessary issues runs counter to arguing that the board has no choice due to the increase. I will not be able to keep my condo, as it is a second home and it’s not feasible to keep it. Shame on the board.

Bill

7/16/2023 06:51:09 pm

Do you really think that the BOD sit around and talk about how they can unjustifiably increase the HOA dues!! Give your head a shake and help the community rather than criticize the HOA.

Beatrice Levy

7/16/2023 08:57:58 pm

To Bill.
No one is saying the BOD is thinking of ways to increase our monthly HOA's. Please read the comments carefully.
What the community is saying, is we should have a say in the increase and know why it is being increased.
The BOD has no accountability. And as a homeowner, that is not right. They should not have carte Blanche to do what they like!!!

Tom Rosa

7/17/2023 06:03:38 am

Bill, I believe the common thread is we suggest the board should entertain ways to cut expenses rather than be a direct pass through with cost increases. It's called business acumen.

Tom

7/20/2023 08:53:44 am

I do not think they do this BUT there is certainly TOTAL lack of transparency. My other two HOA publish a MONTHLY budget, they don't hide behind a management company and lawyers. My accountant looking at the published budget said he'd be fired. Funny how they do these rate increases to the letter of the law... 20% is the max in CA so they hit the max. With no explanation. None at all. I have seen $32 MILLION go thru the hands of this HOA and I cannot point to SINGLE service that has been enhanced. Not a one. It is time for the residents to get together an end this HOA. All we need is 80% vote. We need to put the control of this HOA, these services, in the hands of the residents not an over compensated private management company.

Maggie

7/24/2023 03:23:37 am

I'm really glad so many people are finally waking up to this wasteful spending that's been going on since I've lived here (3.5 years) and longer.
Someone here said Bob Mangold "is on our side".....I ask "since when has he EVER voted with Bill Bergstrom on any issue?" No, Bob is not on our side! Bill Bergstrom is really the only "voice of reason" on this board, questioning the ridiculous spending and suggesting alternatives. No, it's always Bill standing alone. And we are losing his voice next year. When I bought my condo in 2019 the dues were $640. My friend who owned here told me "the dues only go up $10/year. I thought that was reasonable, having been on a board myself once. By the time I closed escrow they were $650. I retired when I moved here. If this board raises dues by $129 - without ANY attempt to cut costs, we will be close to $900/month PLUS my land lease costs $185/month. I don't even think I WANT to live in a place with such a poorly run HOA. WHY don't they put our most expensive services out to bid? Plus, not getting multiple bids on things like the sound system VIOLATES our governing documents!! Have they ever talked to other community managers to see which companies do great work? What if WE tell the board what we are WILLING to pay next year? Like, "we will pay $775 for dues, and YOU, management, will have to make THAT work." Then how about we ALL just start mailing in our payment for $775 each month, instead of having auto debit just TAKE IT FROM US. Maybe that would get them to sharpen their pencils. And finally, if you haven't written to each of the board members in protest, please do it now. BTW, we could have spent the $70,000 that was spent on architect and city fees for the "fitness center renovation" to completely rearrange things, replace some machines which are not good, maybe install new carpets and a more cheerful coat of paint in the fitness center - but no, the money was totally wasted. Nothing is done and the unnecessary $500,000 "remodel" is in limbo and the 70k is gone. Do you know that that unnecessary overkill of a $70,000 sound system that was discussed and approved months ago is NOT even installed. And it should never be; they should bid it out and make the project smaller! This Friday, we need more than 100 people to show up at the HOA office and each person demand their 3 minutes at the mike. Let's not let Terri Schwartz shut us up and disallow speakers. If they have to sit and listen for the whole damn day, let's make them listen to us! Let's tell them "we're mad as hell and we are not going to take it anymore" The board is supposed to REPRESENT US!! How about we tell them we will absolutely pay no more than $775 next year. And they can stop wasting our money, raise golf fees and stop watering so much in the middle of the heat when the water blows away and also evaporates. So many ways to still have this place look beautiful and spend less...but how come only WE the owners see that and the board seem to have their heads in the sand?

Troy Dose

7/16/2023 08:27:12 pm

It is interesting that our HOA dues is almost the same as my mortgage payment. I understand there are costs associated with the community. The focus should be on keeping up with the increase in necessary costs, insurance, maintenance, items of that nature. With inflation the way it is now is not the time to spend excessive more on items that do not protect or add value. I’m sorry if you think an area of landscaping looks bad and redoing it adds value you are so out of touch with what true value is. Our community is amazing as is.

Valerie

7/16/2023 09:19:33 pm

We can't afford to live here as it is now without help. We thought we'd retire here for life. Now, we are struggling on a fixed income and wonder where we will live next. It's so frightening at our age that what we THOUGHT we bought into turned out to be a true nightmare. Hate it more every day. Amenities suck (lousy "landscaping", outsourcing which costs more than it saves, over-priced mediocre food in the clubhouse, always unnecessary spending). It's obvious that this HOA wants to weed out anyone who isn't super-rich and wouldn't notice the gouging. Most frightening for me is age and health which makes any potential move (to where, I don't know) the major cause of continuing decline in health. Yes, the Desert Princess will surely be the death of me.

Over 20 year Homeowner at DPCC

7/16/2023 10:19:01 pm

DP has always been club run by new founded seniority OWM that have not a clue in the world what reality means. Before this increase goes into effect, I demand and hereby give notice that all homeowners reject this action as it is based on poor management and failed contractors preforming as agreed. Excess and unqualified workers slacking on their duty, is only the fault of management, of which I never see in the field correcting slackers and time wasters. The excess revenue from rental units fee charges can not possible be accounted for in this calculations of deficit. Where are the cost related to running golf and country club? Profit or at a loss? Who does the marketing for DPCc ? effective?

Olga Kolomyjec

7/17/2023 09:26:49 am

That large an increase in one year is outrageous. when we purchased in 2018 our HOA dues were roughly $500 per month. Annual increases are understandable but this smacks of mismanagement or excessive non essential spending. Personally I see myself now needing to rent if I can, or sell and who is going to buy knowing that HOA Dues are $877.11. The result will be a decrease in value of properties.

Maggie

7/31/2023 08:19:14 pm

Olga, I bought in 2019 - dues were disclosed as $640 - they were raised to $650 starting October 1, 2019 - so they were $640 as of October 1, 2018. So from October 1, 2019 to October 1, 2023, they are going up to $855 - a total increase of $205 per month. I also pay $185 for the land lease which goes up next year, so I'm a squeak below $1,000 month in dues and fees, like many others here - and you are right, the high dues are NOT condusive to attracting BUYERS for these places.

Lauren-Michelle Kraft

7/17/2023 10:19:51 am

Please please please does anyone have any access to an attorney? We need action! When I got my property here it was $610/mo in hoa dues. I couldn’t believe how fast it’s gone from that to the $748 now! People’s raises shouldn’t be coming out of our dues. The security here is lackluster as well. This isn’t some luxury community. We need action! Who’s with me in getting an attorney involved?

Winston N Wicomb

7/17/2023 10:25:03 am

I am appalled to read all the comments above and realizing that it all pertains to an incompetent board. In all my years as a homeowner have I never experienced such an outrageous increase in dues. It is a clear indication that the leaders are poorly versed in their spending choices. Speaking with one member recently, who informed that improvements to the gym (exercise facility) was a waste of money because only 110 members attend monthly. What the member does not realise is that the place is rundown and totally inadequately equipped. If it was made more attractive by updating the facility, it certainly will draw many more homeowners - as a result I exercise at Planet Fitness. I am in agreement with pay increases for staff working in the heat of day, but I am not agreement by the fact that training of these folks is inadequate or absent. As a result I attend to my entire property by maintaining its appeal to my tenants. Because of the boards poor decision capabilities I propose that homeowner participate in voting and making this change mandatory. I fully agree with 19 of your comments to the board.

Frank Bailly

7/17/2023 10:46:38 am

I think what comes to mind for my family, and I am sure many other homeowners is how will this new increase affect my ongoing liveability at DP? Can I afford the increase in costs, how will this increase effect my property value if I decide to sell, etc. Like most of the previous responses the answer to the questions are undoubtably negative. I think we all realize inflation is driving up costs. But most people are finding ways to economize and trim their spending. I think at this particular juncture the board would be well advised to take a similar prudent approach to spending and join the rest of us who are well along in economizing.

Henrique

7/17/2023 10:55:36 am

I’m concerned about the lack of transparency on how this increase translate into the community value. This year the proposed increase is excessively high. Without more details on how the board proposes to translate that value amount into value, it’s hard for us supporting the board on this decision. I’m concerned about the process of approving these kind of decisions. What is the most effective way to challenge this proposal?

Heidi Van Horn

7/17/2023 11:24:33 am

You would have to be an idiot to not get other bids from vendors. I’m not even sure what these gardeners do I came to my place late one night my backyard was covered in weeds. You could tell a gardener hadn’t been there for a very long time the next morning they noticed I was there and came in the yard to clean it up. I had a tree in my front yard with low hanging branches into my driveway you would think they would just go and cut them but no I had to go to the HOA office and request for them to cut them. I don’t know if that’s the regular protocol but that sounds pretty lame to me. If you’re paying for a gardener they should be going around and gardening properly. I shouldn’t have to put in a request. And why would these board members vote on raising our HOA fees without our input? sounds like the Gestapo. this is the first place I’ve ever owned where there’s an HOA. I’ve heard many nightmares about HOA board members. Now I’m experiencing it. do not raise the HOA fee.

Kim

7/17/2023 12:33:10 pm

THIS IS UNBELIEVABLE! I moved in just over two months ago with the knowledge that there had been an HOA increase last year and trusting my logic and common sense that there would not be another increase immediately. And then I learn that the board has been increasing it almost every year since 2018 and now wants to increase it again at almost 20% without a community vote. I attended the July 14 board meeting and listened to owners who thoughtfully expressed good ideas and ways to take the HOA burden off the community. I listened to a concerned board member who said three times they could reduce the budget $200,00 which would reduce HOA dues to $13.81/mo. People brought budget solutions and ideas and the board member shared the HOA increase solution, but it was clear to me that several members on the board never truly listened to anything that was said and shut down people who barely exceeded their 3 minutes of allotted time. Some of the board members had their minds made up even before anyone spoke. I moved here as a single person on a fixed income and don't have an extra $1,549.32 to add to my HOA yearly dues. I'm quite sure I'm not alone in this situation in this community. I was excited for a new start in Desert Princess, but the cavalier way I observed some of the board members respond and behave at the meeting left me angry and frustrated. This increase amount is outrageous! Thank you to the board members who fought to do the right thing.

Gilbert Caldwell

7/17/2023 12:45:24 pm

Ridiculous. Recall them all!

Joanne

7/17/2023 12:55:42 pm

Again here we go! How many homeowners are Canadians. Number one we pay for twelve months of services but most only spend 6 months at DP. If you again figure out exchange on dollar…it will be cause for many homeowners to sell. The landscaping in used to be second to hardly none.. but the last couple years it has definitely gone down hill. it appears . Sadly it will likely become a hard sell for anyone as the increases in HOA will be to costly for people to buy here. Being conservative. 877.11 x 1.38 =1210.41. Per month for our HOA fees !!!!!!, Just getting harder and harder to be able to enjoy the DP. Sadly it will also affect the businesses around as we have been told by lots that they wait for the fall when snowbirds arrive!

Michele Hughes

7/17/2023 01:44:56 pm

Thank you for providing the emails of all the board members. I have just sent each of them and individually written email voicing my concerns regarding this outrageous increase. I would encourage everyone to do the same. It may not help but at least I tried.

Ken

7/17/2023 01:55:23 pm

Outrageous!!!!
We need more transparency
As homeowners aren't we allowed to vote against the increase,,?

Peggy

7/17/2023 02:06:25 pm

I'm in opposition to this increase in dues. think about maintaining rather than improving Desert Princess.

5yr owner full time resident

7/17/2023 03:23:36 pm

How do we stop this? Sign a petition..? contact an attorney..?? This board is constantly breaking rules by not including the homeowners, reckless spending and now a HUGE increase in dues. My sister moved here to be close to me, but she’s on SS and might not be able to afford to live here. This is so wrong!!! Shame on the board!

Concerned Homeowner & Full Time Resident

7/18/2023 04:42:23 pm

There is a group of very upset homeowners including myself that are coordinating our efforts to obtain legal advice on our options including recalling the board or initiating a class action lawsuit against the board for breach of fiduciary duty. Their consistent mismanagement of OUR community with the pursuit of expensive, unwarranted projects in a time of high inflation and rising interest rates (the $5M landscaping debacle, a blatantly overpriced new sound system for $70k, a gym renovation starting at half a million and climbing to $600k) coupled with DP being on the "Do Not Loan" list and now an egregious monthly fee increase will undoubtedly adversely affect our property values and seriously affect the average homeowner that isn't wealthy and is living on a fixed income. Where is the openness and transparency that we deserve? It is completely and utterly unacceptable that 4 individuals on the board can wield such unchecked power over our community's management without actually listening to the voices of the homeowners and being properly accountable. Their continued arrogance is absolutely insulting and beyond frustrating.

Jean Napier

7/17/2023 04:22:16 pm

I agree with every comment. These increases in HOA fees are untenable. How do we rein in the spending? Can someone find out what kind of contract the landscaping company has with management? Perhaps we can force management to put contract out for bid unless the company is locked in to long term contract. There is certainly a lot of waste of money with the landscaping company. Can we start there? I was glad to hear that the fitness center project was halted. Please advise what we home owners can do to force reduction of fees etc.

James F

7/17/2023 05:03:07 pm

What is the real reason that the HOA will NOT make the draft budget available to all homeowners? What is the HOA hiding? Possibly spending $70K on an new audio system, $50K on an arborist (when we already have one on staff), Salary increase for Management Trust and O’Connell who in my opinion are not worthy of an additional penny and additional staff. This increase and additional staff will be costing each homeowner $59 per month! STOP WASTING OUR MONEY!!

Mike Ryan

7/17/2023 10:20:26 pm

Can you let me know which 4 voted to allow these increases, I think it may be time for a recall.

Tony

7/19/2023 08:27:38 am

Hi Mike, the 4 board members are: Terry, Russ, Mark and Ernie.

James L Sanderson

7/18/2023 08:54:19 am

Turning nine holes of the 27 into some money generating project such as tasteful @tiny homes” and shutting down the clubhouse with the hotel able to adequately pick up the slack could help reimburse homeowners.

Lynn M.

7/18/2023 10:58:08 am

To Michele Hughes: Agreed - everyone should write to every Board member expressing our outrage at the non-fiscal responsibility being shown to all of us for the past 3 years. 4 of the Board members vote together to block the other 3 who try valiantly to work FOR the owners however, their arguments are not heard.
To Bill: We do not think the Board sits there and comes up with ideas to spend our $ BUT many owners have shown up or called into the Open Forums with GREAT suggestions as to how we can save $ but their ideas are never discussed any further nor does the Board give them any encouragement for future input.. There are some very intelligent owners in Desert Princess who I'd love to see run for the Board and perhaps by 2025, the majority of existing Board members who continually spend our $ on "vanity projects" will be finally gone !! Sorry to see Bill Bergstrom's term end but Bob Mangold can still run for another term and perhaps Bill's replacement will be 'on our side' and not be swayed by the other side.
Unfortunately, according to the Davis-Stirling Act which governs all HOA's in California, the Board is entitled to increase fees up to 20% without owners' consent and as you can see, they are pushing to raise them as close as they can permitted under the Act.
In my mind, the only way to change things is to VOTE for those who are like-minded and when inflation is running high, stop the madness and look for ways to save $ not continually spend on unnecessary projects i.e. $70,000 sound system, upgrade fitness and spa centres which are both money-losers, planting annual flowers at every condo entrance which die quickly in this desert heat, etc. etc. The landscaping has deteriorated over the past few years since we have contracted it out. We are NOT saving more $ with this contractor - go back to having our own landscaping STAFF who are monitored and work harder to keep their jobs....and have always done a much better job !!

Ellen Balcomb

7/18/2023 01:14:42 pm

I feel manipulated by defensive special interests, the steam comes out the ears every time my mind goes to DP. Questions: what is our current reserve? I have been advised by 2 separate professionals that 70-80% is a good reserve. Is there a 5-year plan? A 10 year plan? Is there even a damn list of projects needed to be done over a 10 year period? Vanity projects should be out, spending more than $5000 unless the Board goes out for 3 bids (they aren’t responsible enough to spend more) should not be allowed, all bids from vendors should be available for the community to see. O’Connell is a money sucking landscaping company with untrained staff and questionable goals. 51K for an Arborist is so excessive. The trees aren’t worth millions of dollars if the buildings are falling down around them, truly the most outrageous justification I’ve ever heard. How frightening for folks who can’t afford this irresponsibility. How dare you treat residents with such distain. Step up and do the right thing!

Margaret Daniels

7/18/2023 04:16:54 pm

Thank you, Ellen, for your concise and responsible response to the HOA's proposed dues increase. There are other responsibility areas of equal importance.

I have been very concerned about our "Reserves" and how they are handled, having served on the board of a smaller HOA that considered Reserves to be tantamount to the the HOA's existance. The total fund was categorized by project; i.e. roads, pools, common areas, etc, including the value pecentage to be set aside for each category to cover Replacement or Emergency Repairs (certainly not to be used for enhancement or routine maintenance). There should never be borrowing or transfering of $$ from the Reserve Fund to cover any other HOA shortages. The Reserves are a major part of an HOA's financial responsibility. I've not seen an update to the Desert Princess 30-year Reserve Plan since 2019, which was only itemized in annual dollars--a report of income and expenses.

I totally agree there should be a prioritized 10-year Project List (separate from Reserves). Modificatrions to this list should be reviewed openly with homeowners at year end.

Unfortunately, there seems to be a lack of knowledge amongst Homeowners as it relates to our governing Rules of Order, By-Laws, and/or CC&Rs, Perhaps time should be taken periodically, in open meeting, to educate homeowners to avoid embarrassing, irrelevent and incorrect charges against any Board Director, or the Management Team.

Jerry Persky

7/18/2023 01:19:19 pm

I believe the HOA fee increase is unjustified. I am aware that costs have gone up, but I question the $700,000 increase in salaries, taxes, and benefits, and I don't think the board has really heard the objections from residents and considered the hardship an increase of perhaps $129 will cause. I question what previous budget errors were made and what corrections are necessary. The board should provide details about budget errors. I agree with board member Bill that competitive bids should be solicited for all major expenditures on a yearly basis, but he is an outlier on the board and rarely gets support for his proposals. Finally, I urge residents to demand the budget process involve the residents more closely by allowing residents to vote on 2 or 3 fee increase proposals before final adoption is made.

Tom Rosa

7/18/2023 02:31:29 pm

Wash / Rinse / Repeat. This is my mantra for the way this place operates. All the homeowners are asking for is basic business acumen. I know for sure that not one of those board members would operate their own lives in this fashion. So, why not consider other revenue generating and cost saving measures. Perhaps it's just easier to pass the cost increases along. No talent or effort there. LAZY YES! ARROGANT YES! UNAPOLOGETIC HELL YES. So lets do the math, 7 Board Members and +/- 1200 homeowners. Now, I am not suggesting that the board is evil or devious. What I am suggesting is that they are lazy and follow the direction of the Management Trust without question. So let's examine the Management Trust, I'm not sure what interactions others have had, but mine have all been negative. They have that dismissive attitude as though you know nothing, and they are omnipotent. I am NOT the smartest guy in the room. But I do know how to manage large $500MM projects. Cost containment is in my blood. I don't have 1200 + humans to make up for my apathy or mis management.
So now what ? Perhaps an overwhelming turnout for the next meeting. Would it matter when Terry Schwartz turs her back on homeowners. That is the level of contempt they have for us. Recalls don't work, they are expensive and pointless. I have made many suggestions on this blog and through other methods. ALL have been rebuffed. It simply indicates an agenda that we the 1200 have NO part in. So, $877 a month. Shut up and pay, that's the message. " Please sir can I some more"

Margaret Daniels

7/18/2023 07:59:22 pm

Tom, I'm in agreement. Does the financial situation the HOA is in, fall under "too much reliance on the Management Trust?" This may account for too many projects, ego desire for upgrades, etc.?

So Sad!

7/20/2023 02:41:44 pm

Tom, regarding your comment about Terry Swartz turning her back on homeowners. Even though she is on property, she has not shown up in person for a board meeting in months. She likes to hide in her house. That way she doesn't have to turn her back on homeowners. Hopefully she will speak faster when reading homeowners letters in the open forum at the upcoming board meeting. If a homeowner takes the time to write a letter to be read at open forum it should be read in its entirety. It is so sad how she has become a dictatorial and loves to punish homeowners.

James F

7/18/2023 03:41:03 pm

Mike, at the special meeting last week there was a motion made by the treasurer Bob Mangold to put $200K towards our assessments which would have decreased the dues by $14. President Russ Holowachuk, VP Terry Swartz and Directors Mark Brown and Ernie Hall voted against the motion.

Kaz

7/19/2023 07:40:52 am

Here we go again, big hoa increases will result in nothing more than big property value decreases. Thanks to our elected board
of directors.

7/19/2023 09:46:58 am

It is an HOA board's fiduciary duty to maintain property values. The HOA board has a legal obligation to act in the best interests of all of the homeowners, and maintaining property values is one of the most important ways to do that. There is a direct relationship between HOA dues, land lease, selling price, time on the market, the ability to qualify for a loan, etc. In addition, it is the HOA board's duty to review comps when raising HOA dues. This is because comps can help the board determine whether the proposed increase is fair and reasonable. By comparing the proposed dues increase to comps, the board can get an idea of whether it is in line with what other HOAs are charging and maintain their fiduciary duty to maintain property values in the community.
When I asked the HOA Board if they have reviewed the comps and to please justify their decision that a small one bedroom unit should have dues at $877 and not affect their property value this was the response I got from Terri:

“looking at comps is not appropriate unless you are comparing apples to apples”

That is about the scariest thing I have ever heard. This board has no business acumen, is unsophisticated, and has no business running our HOA. They should be sued and recalled. In addition, she lied to me several It is an HOA board's fiduciary duty to maintain property values. The HOA board has a legal obligation to act in the best interests of all of the homeowners, and maintaining property values is one of the most important ways to do that. There is a direct relationship between HOA dues, land lease, selling price, time on the market, the ability to qualify for a loan, etc. In addition, it is the HOA board's duty to review comps when raising HOA dues. This is because comps can help the board determine whether the proposed increase is fair and reasonable. By comparing the proposed dues increase to comps, the board can get an idea of whether it is in line with what other HOAs are charging and maintain their fiduciary duty to maintain property values in the community.
When I asked the HOA Board if they have reviewed the comps and to please justify their decision that a small one bedroom unit should have dues at $877 and not affect their property value this was the response I got from Terri:

“looking at comps is not appropriate unless you are comparing apples to apples”
That is about the scariest thing I have ever heard. This board has no business acumen, is unsophisticated, and has no business running our HOA. They should be sued and recalled. In addition she blatantly and knowingly lied to me several times in my email correspondence with her. I think they really think we are stupid.

Kathy Klingele

7/19/2023 10:11:44 am

ADMIN - PLEASE REPLACE MY PREVIOUS POST WITH THIS - I COPIED THE TEXT TWICE. It is an HOA board's fiduciary duty to maintain property values. The HOA board has a legal obligation to act in the best interests of all of the homeowners, and maintaining property values is one of the most important ways to do that. There is a direct relationship between HOA dues, land lease, selling price, time on the market, the ability to qualify for a loan, etc. In addition, it is the HOA board's duty to review comps when raising HOA dues. This is because comps can help the board determine whether the proposed increase is fair and reasonable. By comparing the proposed dues increase to comps, the board can get an idea of whether it is in line with what other HOAs are charging and maintain their fiduciary duty to maintain property values in the community.
When I asked the HOA Board if they have reviewed the comps and to please justify their decision that a small one bedroom unit should have dues at $877 and not affect their property value this was the response I got from Terri:

“looking at comps is not appropriate unless you are comparing apples to apples”

That is about the scariest thing I have ever heard. This board has no business acumen, is unsophisticated, and has no business running our HOA. They should be sued and recalled. In addition she blatantly and knowingly lied to me several times in my email correspondence with her. I think they really think we are stupid.

Lynn M.

7/19/2023 02:59:41 pm

Same answers - different day ! The 4 amigos, Holowachuk, Schwartz, Brown, and most of the time, Hall all seem to 'block vote' NO to every item raised by the other 3 sensible Board members. Their arrogance and ignorance is deplorable ! Do they think we are stupid - their incompetence runs rampant and it's clear who we SHOULD NOT BE VOTING FOR ever again !! As mentioned before, Holowachuk and Schwartz will be GONE in Feb 2025 but Brown can run for 1 more term (DO NOT let him). In 2024, we will have 50/50 Ernie Hall, 100% Backstrom, and Bill Bergstrom's replacement (a new Board member to be determined), and hopefully Bob Mangold will run again. Then, we can only hope, they will have a majority vote over Holowachuk, Schwartz and Brown. OUR VOTES ARE SO IMPORTANT EVERY YEAR....
As everyone can now see, our only course of action is to eliminate the 'frivolous spenders' on the Board and work with the 'fiscally responsible' Board members who continually work on behalf of all of us by looking for ways to save $. These members ARE listening to the valid suggestions made by the ownership however they are powerless to enact them. They need to be heard and not outvoted at every suggestion made by them or any owner to save us money. TOGETHER, WE HAVE THE POWER to make a change - PLEASE VOTE RESPONSIBLY in Feb. 2024. In the meantime, pls write to each and every Board member to express your disappointment, anger, and frustration at their decision to increase our HOA fees by 17%. They should going back to the drawing board and revisit this outrageous increase by cutting out their 'vanity projects' for good !! They know what the 'vanity projects' are given the large feedback from the disgruntled ownership. Stop this madness and get smart.....a tall order for some.

Tom

7/19/2023 10:21:31 pm

Let’s do this right. I am hiring a law firm that does nothing but battle HOAs. I think this is funny all over America HOA boards are being recalled, and removed. Who selected yi]]this management company? We need to remove this HOA board and fire the wasteful management company! https://youtu.be/4u2Mj-Jh2ho

Kat

7/20/2023 09:24:31 am

Hi Tom - I would like to send you some email correspondence I had with the board that is absolutely cuckoo. If you are really going to hire an attorney they should review this. How do I get in touch with you?

Tom

7/20/2023 09:11:48 am

My attorney informed me all we need to end the HOA in CA is an 80% vote from residents. I am voting YES to end the HOA. We need 80% or 931 votes from1163 residents. Just saw the news of yet another HOA and their entire board being arrested for embezzlement - not saying there is anything like that here but due to the lack of transparency, how would we know?? Certainly things like paying more than 4X the norm for tree trimming, and paying to trim trees that days later are removed? Paying the same company $1-2k to plant a replacement tree? Thats fox guarding hen house... heck what is stopping O'Connell form saying every tree needs to be removed? Buying a $50k truck for security when we have 100s of golf carts? Paying $9k to remove a truck load of sand from a gate, a gate that we don't even use, when the quote I received was only $380?? What the heck! Worse we OWN a $50k truck and we HAVE landscapers, why didn't they remove the 3 yards of sand from the gate? Things just do not add up! Paying $70k for an audio system in Masters Lounge when the BEST conference room I have ever been in at JPL CalTech cost only a fraction of that? The most expensive Zoom Room system is $12k and I offered to DONATE a $10k system. Why did we need to spend $70k? Because the board is unknowledgeable... why should we keep paying for this level of incompetence. Paying vendors for plans... plans that always seem to be cancelled. Getting $170k from CVWD and deciding to waste $670k to remove grass? That doesn't make any sense. When we attempt to ask questions we are simply told to shut up. This is diametrically opposed to my other HOAs. Maybe it is just ignorance of the board and not nefarious but in either case this lack of transparency should be the end of this HOA.

Kat

7/20/2023 06:21:11 pm

Hi Tom - My understanding is that to recall an HOA board you need a majority which is basically 51%

In order to recall a board first we need to send in a petition signed by 5% of the membership to call for a special meeting and basically the Board handles the rest of the recall steps.

Petition Percentage. Members may request a special meeting of the membership for the purpose of removing the entire board or individual directors and the election of new directors in the event the recall is successful. The petition must be signed by 5% or more of the membership (Corp. Code § 7510(e)).

File a petition with the HOA board. The petition must include the names and signatures of the HOA members who are requesting the recall election.
The HOA board must call a special meeting within 30 days of receiving the petition.
The recall election must be held within 60 days of the special meeting.
The recall election must be conducted by a neutral third party.
The recall election must be conducted in accordance with the HOA's governing documents.
If the recall election is successful, the recalled board members will be removed from office and new board members will be elected

Delivery of Petition. Delivery of the properly signed petition to the board is generally addressed in the bylaws. If not, personal delivery to any officer, director or managing agent is sufficient to put the board on notice and start the clock running on the board's duty to set a date for the meeting. The petition may also be sent by certified mail to any officer, director or managing agent.

Setting Meeting Date. Once a proper petition has been submitted to the board, the board must set a date for the meeting and send notice to the membership. The board must also prepare and send ballots as provided for in Civil Code § 5115(a).

Meeting Agenda. The only business that may be conducted at the special meeting is the recall of the directors and the election of new directors in the event the recall is successful. The notice of meeting shall specify those matters the board intends to present for action by the membership.

Concerned Homeowner

7/21/2023 09:28:48 pm

Tom, I can assure you that due to the irresponsible and infuriating actions of the board regarding this increase, there is a sizeable contingent of homeowners that will support a recall. Please inform us as to what we can do to help and unify. We have had enough.

Brad Bachtelle

7/20/2023 03:54:42 pm

The 2023–24 HOA Budget: Outrageous And Completely Irresponsible.

Along with nearly every other Desert Princess homeowner, I was stunned by the HOA budget direction for the upcoming 2023–2024 fiscal year. Increasing homeowner assessments by more than $129/month and 17.3% at a time when the CPI is running under 4% (the Board’s number) is completely unacceptable. This budget casts a shadow of complete and total incompetence on the current Board of Directors.

From the top line information provided, the Board appears to be making absolutely terrible financial decisions, and continues on with discretionary, vanity projects as if all is well with our financial situation.. The Board provided limited data on 13 expense categories, providing only ten-word rationale descriptions as justification. Even in their short comments, the Board’s direction appears to be completely wrong. Looking at only the first category listing … described as “Salaries /Taxes/Benefits” … the Board’s budget information proposes an expense increase next year of $860,575 or 22%, creating $60 in additional Homeowner monthly dues. In JUST ONE CATEGORY!! This is absolutely absurd! Our HOA labor expense increasing at a rate five times above the current, CPI increase. Five times!

Supposedly, this massive labor increase is due to “additional staffing, pay increases and budget errors”. When faced with a financial catastrophe such as we apparently are involved with now, the first thing any even reasonably competent management team would do is put in place an immediate hiring freeze. Nobody hired within the organization for any reason until the financials get under control. Second, wage increases for salaried employees should be extremely limited (if not frozen), with only hourly employees receiving increases of no more than the CPI under any circumstances. And finally, all existing staff positions need to be reviewed to determine if in fact, they’re really needed … and cut wherever possible. A 22% labor increase is outrageous; there is absolutely no excuse for such a number.

If we just reduced the Salary category increase to the current 3.9% CPI (the Board’s number), we would save over $704,000 in expenses and reduce our proposed Homeowner monthly increase by over $48.00. AND THIS IS JUST THE FIX FOR ONE EXPENSE AREA! We have to stop this financial absurdity! This Board of Directors will “go down in infamy” as the worst, most out of control Board in Desert Princess history.

More to come on other expense categories shortly.

Homeowners That Have Had Enough

7/21/2023 09:25:39 pm

Brad, thank you so much for your post. There is a sizeable group of us homeowners that are fed up and 100% agree with you that this proposed increase is both completely outrageous and irresponsible and are not willing to accept this latest insane increase in fees by the board. We welcome all of your discovery on the budget and believe this must be explored in depth ASAP. These people on the board are supposed to work for US, the homeowners. If it's a Management Trust related issue in terms of them taking the lazy way out and relying on their advice instead of doing their due diligence, this must be addressed as well. We do NOT have to accept this outrageous behavior by the board any longer. If a full board recall is initiated, we can assure you there is a lot of support for it.

Brian White

7/21/2023 09:18:18 am

According to the 2023/24 Proposed Budget, 27.6.8% or $5.0 million is attributed to Salaries/Taxes/Benefits and 18.2% or $3.3 million is for Grounds. This is where the leverage is to have any meaningful impact on reducing our HOA dues. We need transparency on this $8.3 million.

A detailed breakdown of salaries and benefits should be scrutinized. Likewise, "Grounds" expenditures, I think most of us agree, are not being properly managed.......too much waste and inefficiencies with the O'Connell landscaping is pretty obvious. I'm sure there must be other opportunities as well in Outside Services ($1m) and Insurance ($1.2m) needs to be carefully reviewed next renewal. Not sure there's a lot to go after in Utilities (3.3m) ?

We also must realize higher than normal inflation is definitely impacting the budget....we just need to figure out how to best counter this as well as pursing the revenue possibilities that have been suggested.

This is not to say other suggestions (ie. pool heating, flower reductions,etc) aren't warranted or should be considered. They all add up to help but the budget reductions really need to focus where the big ticket items are. I have seen no indication that the Board realizes this.

WHAT NOW!?

7/22/2023 06:16:59 am

It’s one thing for all of us to use this forum to express our concerns….it’s time to get together, have an in person discussion and attempt to resolve the issues.
What will our next step be?

Lindsay

7/30/2023 09:56:37 am

Get together. Sign petition. Stop paying the extra fee. Maybe then they'll listen to the community.

Ellen Balcomb

7/22/2023 08:41:21 am

Being on the Board of Directors is a volunteer position. Yes, when they choose to run they list their past experiences and current goals. But before their attend their first meeting they are fed the kool-aid Jerry Storage serves up. He’s the man in the know with all the facts & figures, ideas for projects, opinions, and professional contacts, that’s intimidating for a small group of inexperienced volunteers - I don’t care how bright they are or how many professional experiences they bring to the table. Perhaps there needs to be discussions to set our own goals before going to the expense and trauma of board member removal. No one answered my question about how much we have in reserve. I’m not interested in using those funds to save us now, I want to know if it is planned for, budgeted, and a top goal of both board and management. You’re right Margaret, we (the community) have a lot learn. I’d like to volunteer my support.

It should be mandatory that Board members attend meetings in person. In my opinion, the Board President should be a full-time resident at Desert Princess. How do you see what is clearly going on if you aren’t interacting here every day? And to Terry Schwartz, perhaps if you were at the meeting you would have a gentler approach to saying “your 3 minutes are up”.

RECALL

7/23/2023 08:04:20 pm

PLEASE REPLY WITH COMMENTS/ADDITIONS/EDITS/CORRECTIONS TO THIS LETTER:

Dear Board of Directors,

We are writing to petition for a special meeting of the Desert Princess Homeowners Association to recall the entire board. We are doing this because we believe that the current board has breached their fiduciary duty to the homeowners by:

• Not appropriating the budget in a responsible manner. The board has consistently overspent the budget, resulting in large assessments for homeowners.
• Not getting three bids from vendors before making purchases. This has resulted in the board paying more for goods and services than they should.
• Putting the interests of the management firm ahead of the interests of the homeowners. The board has repeatedly approved salary increases for the management firm, even when these increases were not in the best interests of the homeowners.
• Over 45% of our monthly dues will go to pay for salaries, taxes, benefits, and grounds. The Board does not plan to put Management Trust, O’Connell (landscaping), or legal services out for competitive contract bids.
• Raising the dues by over 43% in the last two years. This has made our HOA dues too high for the market, and it has decreased the value and sales absorption of our condos.
• The Board did not research competition in the market with is their responsibility
• The Board will need to defend $877 dues for a one bedroom condo
• The Country Club budget was not included in the presentation
• The Board presentation excluded any reference to increases in golf membership fees and/or dues.
• The Board’s decision-making process is not transparent.
• Most of the Board lives in the villas, which affects their decision-making process on where resources and priority projects are allocated.

We believe that these actions by the board have damaged the interests of the homeowners and have made our HOA less desirable to live in. I urge you to call a special meeting of the homeowners so that we can vote to recall the board and elect new directors who will put the interests of the homeowners first.

Thank you for your time and consideration.

P.S. We have attached a petition with the signatures of 5% of the homeowners who support the recall.

lauren-michelle

7/28/2023 11:54:02 am

How can I sign this petition?

David

7/30/2023 09:52:44 am

We're in. Please email.

Maggie

8/3/2023 03:15:46 am

I agree that this board is not upholding their Fiduciary Duty to the homeowners, although I'm not sure a total recall is warranted , AND it's expensive, I do have several slight revisions I'd like to suggest that will make this stronger, if you care to contact me directly. There are also one or two typos....I haven't read Davis-Sterling lately, though I'm very familiar with it. Question: if you desire to recall the majority, do you have to recall them all? I can't remember. What would it cost to hold this election?

Tony Green

7/24/2023 04:39:24 am

I’ve had my condo for 19 years and I’ve heard it all before,recall the board we’ve been talking about them for the last 5 board of directors even trying to recall the past president,a total waste of time and money and effort.Nothing will change unless we get rid of Management Trust who are running our community into the ground,they don’t care how much we have to pay as long as they get their check every month.Who comes up with these brilliant ideas of installing a $70,000 sound system in a place that is very seldom use,the only time the board members are in there is when a meeting is on,as that’s about the only time it’s being used.We as a community are much better than that being led right up the proverbial “garden path”to satisfy a few who will always screw it up no matter where they are from.It’s getting exhausting listening to the same things year after year and it just keeps getting worse,so adios

Sully

7/24/2023 10:08:12 am

Tony, I completely agree with you. Recall’s don’t work, the board should be looking for another Management company. Director Mark Brown suggested the $70,000 audio system. Management Trust recommended that the board proceed with the purchase. As far as I know, the system has not yet been installed in the Masters Lounge.

Kat

7/24/2023 05:16:02 pm

Hi Tony - so what is your recommendation on how to get rid of Management Trust? A lot of people agree with you but instead of getting new BIDs for management, the Board is rewarding them with big raises which is part of the reason our dues are going up. So if the Board is not recalled so a new Board can get in and do the right thing then how to we get rid of Management Trust?

Peggy

7/24/2023 04:07:55 pm

Come on, Board of Directors, join the Homeowners you serve in an open discssion. Questions/subjects to be predetermined by the Homeowners and Board's responses presented within appropriate time limits. Facts Only! Robert's Rules of Order would be followed and the meeting conducted in an orderly fashion by both sides. What could it hurt? Are you game?
I'm sure you realize, by the Blogs posted, that we've had enuf. Your proposed dues increase AND irresponsible spending is not acceptable. No matter where the responsibility layes--BOD or Management Trust--it's time to communicate before the shit hits the fan. AND IT WILL! Join us....work with us.

Donna

7/24/2023 08:32:29 pm

Dan Randles is the worst and the most incompetent AGM we have ever had. We homeowners are now paying and rewarding him with a salary increase. This is outrageous. It is time to go out for bids on a new management and landscaping company.

Tom

7/28/2023 02:05:37 pm

Amazing they disabled chat and disallowed hand raising immediately.
1. We need transparency
2. They cannot justify the costs
3. They do NOT want to hear comments form home ownere
4. We need to dissolve this HOA

Tom

7/28/2023 02:53:12 pm

Not many stuck around for the rest of the meeting. First they said the rebuild of the garage and the villa do not come out our pockets. That is an outright lie. The deductible comes out of our pockets as well as the increase of insurance rates! Do they not even understand this basic logic!? This reserves conversation was insane as well. They really do not know what is in reserves and it is NOTHING.

"There is ah, I believe, $1,270,000 in reserves right now… is David there? No he is not. Jerry? is Jerry there? not here but I am here. Liability reserve plumbing reserve balance June 30, liability reserve is $2.2 in the plumbing reserve. The MRM Reserves is, ah, I don't know. Is the reserves both of these together? That as $2.13 and $2.2 plumbing? So, so there is $3.5 total reserves?"

People, that is just 3 months of $877 X 1163 (villas and condos) = $1.016 million per month. My other two HOAs have YEARS in reserves not just MONTHS!

lauren-michelle

8/5/2023 01:41:35 am

Did anyone read Russ' absolute BULLSHIT budget letter from the president? I thought at the meeting they were knocking $20 off their proposed increase but now the dues are going up even higher to $881! That's more than half my mortgage payment! Something has to be done? Otherwise we're all going to have to sell. How can anyone put up with this....almost $900/mo in HOA dues to live here?! and for what?!

Tom

8/11/2023 10:56:18 am

EVERYBODY you need to go to https://oag.ca.gov/contact/shareholder-hoa-nonprofit-corp-complaint-against-business and file a complaint as a Shareholder, property owner, resident of Desert Princess. My complaint is filed, and I plan on going to the Los Angeles AG office asap.

lauren-michelle

8/16/2023 03:19:56 pm

I filed a complaint too!

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Charter

This blog is designed as a means to provide transparency and informative access to the policies and protocols of the Desert Princess Palm Springs Homeowners Association, the governance of the HOA Board of Directors and the management of the community’s assets by The Management Trust. The expressed intent is to establish a neighborhood hub for trusted connections and the exchange of helpful information, goods, and services; it is hoped that homeowners will use it to build a stronger and safer Desert Princess Palm Springs.

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HOA DUES are increasing to $877.11 starting October 1, 2023

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