Submitted by Katie Newnam, Director of Administration and Human Resources, 512-948-7704, [email protected]
 
Click Here to view videos of the Board of Directors and the Annual Members meetings on the Sun City Texas website.
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Resident Satisfaction Survey
 
In September 2019, the Community Association (CA) commissioned Pyle Research Group to conduct our resident satisfaction survey to determine resident satisfaction relative to the various programs, products, facilities and services of the CA. Pyle Research Group presented the findings of the Satisfaction Survey at the Workshop.
 
This information will help the Board and management identify areas where the CA is performing well and areas where the CA can make improvements. In fact, the survey has provided a foundation or benchmark in developing an action plan to improve the CA’s services and resident satisfaction in 2020. Overall, 90% of residents responding to the survey rated their experience with the general operations of the CA a four or five, using a five-point scale in which one means “Poor” and five means “Outstanding.”
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CA Financials
                                                                                         
The Community Association's Financials for September 2019 were presented to the Board by Ann Dodson, Director of Finance. HOA revenue of $1,111,069 was reported for the month of September compared to the budgeted amount of $1,058,445. Home closings for the month were 15 on a budget of 22. The Golf revenue was $387,786 compared to the budgeted amount of $376,186. Golf expenses were $435,325 compared to budgeted expenses of $387,803. Overall, the CA ended the month with a deficit of $19,704 on a budgeted deficit of $29,685 for a favorable variance of $9,981. The Finance Committee will meet on November 19 at 1 p.m. in the Activities Center to review October 2019 financials. The October financials will be posted on the website on Wednesday, November 20. Action will be taken on the August, September and October financials at the November 21 Board Meeting.
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Strategic Plan
 
Executive Director, Jim Romine, reviewed the community’s Strategic Plan and the updates to the plan since its last review in May.  Areas include community goals, addressing safety and security, golf, amenity needs, balancing revenues and expenses, CA needs and requirements. The Board will vote to approve the amendments at the November 21 Board Meeting. 
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2020 Board of Directors Meeting Schedule  
2020 Board Schedule >>                                                 
 
CA staff presented the Board with the schedule of regular Board activity including Workshops and Meetings for 2020. All of the workshops and meetings will be in the ballroom and all will be live on channel 18 for resident viewing.  
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2020 CA Holiday Schedule and Closure Lists
                 
CA staff presented the Board with the 2020 holiday schedule and the 2020 CA facility closure list. The schedules mirror past schedules and listings. 
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2020 Budget and Related Schedules                                                               
 
The proposed 2020 CA Budget, Fee Schedule, Reserve Budget and Capital Asset Fund Budget were presented by Executive Director, Jim Romine, and Director of Finance, Ann Dodson. Assumptions include:
 
Assumptions:
  • Follows budget direction from the CA Board of Directors.
  • Assumes average number of homes in 2020 to be 8,338.
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Financials
  • This proposed budget achieves a break even status for the HOA and golf.
  • This draft budget includes a $15 increase for HOA assessments raising the annual assessments to $1185.
  • Projecting 230 home closings for 2019 (ending 2019 with approximately 8,212 homes).
  • Budgeting 252 home closings in 2020 - ending 2020 with approx. 8,464 homes.
  • Number of resales for 2020 is projected to be 516 (43 per month).
                  1.   2020 Budget- 516 (approximately 6.2% of homes).

                  2.   Average resale price for 2019 is approximately $300K.

                  3.   2020 Budget-$300K on resales.

  • 8,338 average number of homes for 2020.
  • Proposal includes the proposed Fee Schedule for 2020. 
  • Budget reflects continued efforts to be energy responsible.
  • Capital Asset Fund- Contributions from operating budget of $0K HOA, $100K Golf.
  • Reserves- $1.45M contributions for 2020. Reserves maintain the minimum fully funded 70% at year-end.
  • LMH funds LMH.
  • 8th year for the CA to fund the retaining wall fund- $30K (first two years funded. by Del Webb). At the end of 2019 this fund will have a balance of approximately $235K and at the end of 2020, approximately $265K.
  • Property Taxes- slight increase over 2019 rates due to additional land and the Retreat.
  • Insurance: Budgeted a 10% increase. Still waiting to hear from our broker on 2020 rates. 
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Property
  • Utilities- 3 year average where applicable with factoring in the Power Cost Adjustment.
  • Natural gas rate increasing 3.4%.
  • 7th year with Brightview Landscaping- 2% increase in rate over 2019 rates, only increase due to additional common areas to maintain.
  • Maintenance of Austin (housekeeping contractor)- 0% contractual increase in fees.
  • Provides funding for preventative maintenance on our generators (Retreat and Social Center).
  • Provides funding for deer trapping and processing.
  • Provides continued funding for Firewise and waterways management.
  • Provides funding for the Emergency Management Committee operations.
  • Includes continued funding for pond management.
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Golf
  • Budget reflects no increases in fees.
  • Reflects a break even at year-end.
  • Added two “project workers” to only address special projects
  • Conservative revenue numbers.
  • Budget proposes a $100K contribution to Capital Asset Fund.
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Staffing
  • Assumes 3% Salary Adjustment.
  • Assumes 7% increase estimate in medical benefit costs.
  • Continues our relationship with Employers Resources.
  • Proposed Staffing additions: only one for common area maintenance.
  • Continues to fund tenure and spot awards, employee development.
  • Provides funds to continue to recognize and support our volunteers.
 
Comments regarding the proposed budget may be emailed to the Board for consideration at: [email protected]. The Board will take action on this item at the November 21 Board Meeting. 
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CA Insurance Renewal Proposal          
Ann Dodson, Director of Finance, presented a partial proposal to the Board on the CA’s property and liability insurance coverages for 2020. The broker for the CA is working with carriers to finalize proposals that will meet all of the CA’s needs. The Board will take action on any updates to the current proposals at the November 21 Board Meeting.                                                            
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Federal and State Income Tax Returns                                              
Director of Finance, Ann Dodson, reported that the 2018 Federal and State Tax returns were filed in September. The Board will review both during the next two weeks and will vote to ratify these at the November 21 Board Meeting. 
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Election Timeline                                                                                                  
 
Staff provided the Board with the election dates and timeline for the 2020 resident director Board election. This timeline will also be announced and voted on at the November 21 Board Meeting.