IronOaks HOA Presidents Message, June 2015.

Response to comments from our Homeowners

There has been an outpouring of comments concerning my President's Message in May. Given the volume, I elected to compile the comments and respond in one writing to all members of IronOaks HOA #3. (76 Electronic Comment Cards and approximately 15 paper submissions direct to the Board from May 28^th to June 22^nd, Total of 91 submissions).

The majority, over 90% of the comments related to three topics:

1. F&B Venues and Administration Space, approximately 40%.
2. Pickle Ball and Outdoors Activity Area, (The Park), approximately 35%.
3. And, Our Annual Dues and the most recent Special Assessment for the second half of 2015, approximately 15%.
   1. The balance of the submissions were random, 10%

Before I begin, let me make a comment. On the top of my priority list for our 2015 Board of Directors were two major objectives. Number 1 was to bring to our Community Association a General Manager who excelled in Financial Management, Business Management, and Planning for Growth and Communications.

We have met this objective. Faye Stone, your General Manager, will meet the challenges that we face with conviction and consideration for the members needs. She is organizing our business activities so they meet our member's requirements now and in the future. Faye is a communicator. She is out in front of her Staff speaking to the Members. As she gathers feedback, Faye reacts. We have a competent and driven Manager who will work for all of us.

Communications and Transparency is number 2. We pledged as a Board to bring our discussion and decision making process to our Members in open meetings. We are accomplishing this. Your 2015 Board meets in regularly scheduled Board discussion meeting at least once a month. The Board initiated a Board Workshop for the purpose of discussion and preparation of the agenda items. This meeting is held one week in advance of the current month's Board of Directors Meeting. The Board is in session three to four times per month. In addition, we have hosted special project discussions and financial discussions/workshops.

I have attempted to communicate from the Board as one voice. Most recently, the May President's Message is a good example of this. The details for the writing were compiled from our Discussion meetings and Agenda meetings in May. We know that we need to improve and find additional ways to present our communication to our Members. The Board and your Management Team is working on this.

Back to my original subject matter.

#1. F&B Venues and Administration Space.

Most know that this relates to our Poolside Restaurant and the relocation of staff to a portion of the space in the current facility. The comments coming from our Homeowners were not in favor of any change to this venue. There are two components, that the Members comments construe.

1. "We do not want this venue to be closed."
2. "We do not want any additional space used for staff."

In reading these, it became apparent to me that I did not communicate well or the Members interpreted my explanation differently than I had wanted.

I am including the paragraph from my May 2015 Presidents Message, relating to this below:

The combination of F&B Venues and Administration Space was based on the need to open space in our Oakwood Clubhouse that is currently occupied by Association Staff. This move will reduce the costs associated with our F&B operations. Our proposed objective is to redefine Oakwood's Sunsets Bar and Restaurant and to repurpose the Pool Side Restaurant. Staff move would consume most of the Pool Side Restaurant. Our intent would be to have a remaining service that supports our pool guest. This moves frees up major real estate in our Oakwood Clubhouse. It also benefits our objective to reduce labor, inventory and overhead costs that are being created by competing venues.

Let me explain further.

The intent was never to "close Poolside", as it indicates above from my President's Message. Before any action takes place relating to Poolside, we will develop and implement a project to redefine Sunsets Bar and Restaurant at the Oakwood Clubhouse. With a Sunsets Venue that will have a welcome environment, be a gathering place and an exceptional Bar and Restaurant experience, we can reevaluate the Poolside restaurant and bar. Please note, in any case I said we would continue to serve our Oakwood Pool guests with an appropriate menu.

We soon will begin to see renderings for a redefined Sunset Bar and Restaurant. Please give us the time necessary to come forward with a meaningful representation of the Facility for all of us to review.

As I have attempted to explain, the F&B Venues and Administration Space project initially has nothing to do with either Poolside or Staff. This is part of the project, but will only be considered when the first part of our objective is accomplished.

#2, Pickle Ball and Outdoors Activity Area, (The Park). Approximately 35% of the Comments.

Comments were very specific. Three issues were paramount to the submitters:

1. The park and pickle ball were never presented as a combined project.
2. The park is meant to be a place to go to enjoy a park environment.
3. values.

Below is the explanation that I submitted in my May 2015 Presidents Message:

1. The Homes in close proximity will be unduly effected and diminish their property
   The combination of the Pickle Ball site project and the Outdoors Activity Area is driven by the synergies that we believe can be created when these two projects are properly combined on our last piece of open Association property. We debated the objections that have been put forth by the submitters of the Projects and the Members that have property in the general area where the proposed project is located. With this project comes a responsibility, to protect our quality of life and our Member property values wherever possible.

The Ad Hoc Parks Committee has done an outstanding job of developing and communicating their objective. It was never this committee's goal to combine the Outdoor Activity Area with Pickle Ball. In fact they objected to the combination.

So how did we get to this? If you all recall, our Pickle Ball Committee/Taskforce prepared a submission to place the Pickle Ball Courts in the parking area to the east of the children's pool. This idea has its own issues similar to the issues that have arisen when the Activity Area and Pickle Ball were combined.

The Board had an indication that our submission to Maricopa County to construct a Pickle Ball Court system in the parking area by the Children's pool may be a non-starter. So with this possibility, the Board agreed at a Discussion Meeting in May that it would pull out the details that had been produced a few years ago by a Taskforce. This Taskforce was charged with looking into placing Pickle Ball Courts in the area better known as the "Rocky Knoll". We decided to look at the feasibility of a combination, The Activity Area and Pickle Ball. A scope and purpose proposal would be developed into a feasibility presentation for the Board and Homeowners. The intent here is to have sufficient data for Owners adjacent to the area, the project teams and the Community to assess the option. The Board would revert the plan back to the Activity Area only if the proposal has no merit and will not add value. Either a combination of both or the projects as individuals would fall under all of our "Change of Use" requirements.  

#3. The Annual Dues and the most recent Special Assessment for the second half of 2015, approximately 15%.

Comments varied: Most mentions or where specific about lack of information.

1. Most mentioned or where is some case specific about the lack of summary         details regarding the billing of the Special assessment.
2. Some opined concerning any additional expense.
3. Some were upset about the costs to update our Golf Courses
4. A few did not want to spend and funds to create space for staff.

I agree with everyone concerning the lack of information in our mailing to our Homeowners with the second half Association billing. This will not happen again. In depth discussions took place and many public meetings leading up to approving the Special Assessment for our Reserve. The $175.00 is necessary to continue to grow and shore up our Financial Reserves. Remember that when we cast our projected expenses at the beginning of our program in 2013 to financially fund the Golf Course renovations, we took our Reserves from an excess of 70% to just below 40%. This was not acceptable. It was also not acceptable to not bring our Golf Course up to a Marketable Playable and cost controlled state. So, the Board and the Finance Committee prepared a financial plan to provide funding for the Course renovations and move the needle up on our Reserves. The unknown was and has been the costs to accomplish this. No one at the time had the cost knowledge to project this; the plan was not firmed up. Therefore, we corrected the submission of an estimated value, $125.00 and submitted the assessment of $175.00.

The alternative was to let the Reserve fall to an irresponsible fiduciary condition. This Board will not allow this; although the Board was split on the assessment cost, but spoke as one voice.

The most recent billing should have contained a brief explanation!

Our Objective as a Board and the Management Team is not to spend our Revenue or our dues irresponsibly. We manage our Association using the traditional Business and Accounting practice, GAP. We are audited and submit annual reports. We openly publish, for our members, our financial information. We have Homeowner Committees representing our interests in everything from Finance to Risk. We have the ability to see it all and we do.

Let me, as the President, and the other Members of your Board assure you...we will not take undue risk, but we will move our Association Forward.

Respectfully,

John Porter

IronOaks President, Board of Directors

IronOaks at Sun Lakes

General Manager's Monthly Report June 2015

Completed Projects in the last 30 days:

None for this month

Current Projects:

Tripping Hazards at Oakwood: Tripping hazards along the walking path have been addressed, one area remains and our concrete contractor will have this completed by the end of June.

Halley & Voax Pools at Ironwood: Southwest Gas's proposal were approved at the March BOD meeting. In April, Southwest Gas was onsite to determine the meter location for both pools. Work began on the Voax pool on May 26th, and is scheduled to be complete by the end of June. We have yet to receive a date as to when work will begin on the Halley pool as the lines will be coming from the west side of Alma School.

Pool Chairs at Ironwood: New lounge chairs were approved for purchase at the April BOD meeting. They have been ordered, and we should be delivered by the end of June.

F&B Menus & Staff Training: New menus and pricing for banquets and activities will be completed before season begins. A employee training program is being created for current and future staff.

Ballroom Chairs at Oakwood: The ballroom chairs have been collected and will be steam cleaned by the end of June.

New Phone Extensions for Oakwood: Additional phones are being installed to the restaurant/bar. Once completed every incoming call will be answered by a live person during normal restaurant hours.

2014 Financial Audit: The external CPA firm performed their onsite visit April 29th-May 6th. We were just informed they should be complete by June 30th.

Lakes Golf Course at Oakwood: The Lakes golf course renovation project was approved at the March BOD meeting. A pre-construction meeting was held on April 15th and construction began on May 11th. At this time we are ahead of schedule.

New Activities Schedule: We are currently working on the new schedule of activities for the upcoming 2015-2016 season. This will help us provide our homeowners with a larger number of social events.

Speed Humps at Oakwood: Speed humps will be installed and tested on Nacoma within the next few weeks.

Oakwood North Wall that Borders Intel: We are working together with Intel to create a plan for addressing and maintaining the area on their property that our homeowners are illegally dumping onto.

Equipment Inventory for Banquets at Oakwood: We are doing an inventory count of all our silverware, plates and glassware for the banquets department. We plan to have a full inventory completed and ready for season to begin

F&B Renovations: In March, an RFP was sent out to interested parties, who then met onsite in March. They prepared and submitted proposals in April summarizing possible options for our F&B department in relation to operations and décor. The proposals were then presented to the BOD for review and comment at their April workshop. A resolution is going before the BOD in June to hire an architect to create plans and designs for the Oakwood bar and restaurant, which will then be presented to the homeowners.

Block Fence and Gate Painting at Oakwood: A resolution was approved at the May BOD meeting. We will begin working on this next week and will primarily be on the western side of Oakwood.

Seal Coating of Roads: A resolution was approved at the May BOD meeting. Work will begin after the 4th of July weekend.

Audio Amplifier System at Oakwood: A Resolution was approved in May to replacement of the audio amplifier system in the Oakwood ballroom. We are waiting on scheduling from the contractor to begin installation.

Monument Signs at Oakwood: A resolution was approved in May to replace the four major monument signs at Oakwood. Work is scheduled to begin on this within the next week.

Paper Newsletter: We will be releasing our first paper copy of an additional newsletter on July 1st. It will be placed in white weather proof stands around the property, copies at the clubhouse and gate houses. The full cost of this project is funded through advertising space sold in the newsletter. We will still continue emailing the Stay in the loop (SITL), however it should have less information.

Informational Monitors: We are currently working on our new information monitor system to be placed around the clubhouses. This will be one more way to get information out to homeowners.

Halley Pool at Ironwood: We will begin work on the view fencing between the pool and the tennis courts per the revised code standards for 2015 as chain link is no longer an option.

Halley Tennis Courts at Ironwood: The BOD approved the conversation of the clay tennis courts to post tension, replacement of all light fixtures and fencing at the May BOD meeting. Work began on the 22nd of June.

Work Order and Preventative Maintenance Systems: We are looking a work order system to track work order requests to ensure they are being completed in a timely manner. We are also looking at a preventative maintenance system to help track our maintenance on our equipment to help extend the life.

Future Projects:

AT&T Cell Tower: We have been informed the earliest the cell tower project will begin is the 4th quarter of this year. We are still receiving payments per our contract.

Oakwood Kiddy Pool: Increase wall height around kiddy pool due to revised code standards for 2015.

Ballroom Dance Floor at Oakwood: The dance floor in the ballroom is scheduled to be stripped and waxed in October.

Clay Tennis Courts at Oakwood: New clay is being ordered to use on the tennis courts at Oakwood.

Golf Expo: We are preparing for the fall expo.

F&B: We are working on setting up a cake ordering service with Basha's. We are also looking at offering curbside pick-up for To-Go ordering. 

Please come join us for the upcoming events in F&B:

            Sunday buffet at Oakwood ($10 all you can eat every Sunday)

            Team Trivia at Ironwood (every Wednesday night starting in July)

            Live music and Buffet at Oakwood ($12 all you can eat every Thursday)

            Hold Em Poker at Ironwood (every Friday night)

            Pancakes at Poolside ($2.99 all you can eat everyday)

            July 4th-4th of July Dinner Buffet and dancing at Oakwood with live music

            July 11th-Banquet Open House

            July 20th-Paint & Wine Party at Ironwood (3rd Monday of every month)

My next meet and greet will be Friday, June 26th at 1pm with the Patrol manager.

Faye Stone

General Manager 

Please welcome the following to our Accounting team:

• Tammy Mason, our new Controller.  Tammy has over 20 years of accounting experience and joined the IronOaks team 4 years ago. She had been our Assistant Controller until April, at which time she graciously stepped into the HR/Payroll position when the Association needed a qualified person.  In the short time she held this position, she was able to correct prior issues and bring our HR Insurance & Government reporting in compliance up to date.  Over the years, she has trained staff members and has helped to improve many of our accounting processes and reports. Tammy has now accepted a new position with IronOaks and will be stepping into the role of Controller.

• Linda Zerfas, our new HR Administrator.  Linda has over 10 years of accounting experience, with an additional 5 years of HR experience working for the State of Idaho. She will be overseeing all employee benefits, worker's compensation, new hire reporting, all government reporting and eventually payroll processing and related tax report.

I am very happy to report with both of the above position changes, we are still under the 2015 projected payroll budget.