Setting up our HOA

Setting up our HOA

We’re getting closer, everyone – our neighborhood has been growing by an average of nearly a new home each month over the last 3+ years!
Fewer than 20 lots remain undeveloped as we near the end of the development period.

In response to the preliminary HOA discussion with Sandi Gentry in June, a followup meeting was scheduled for August 30, 2017 to continue discussions regarding the setup of our neighborhood homeowners association (HOA).

30aug4:00 pm5:15 pmFollowup HOA Meeting

Attendance

The meeting was announced a couple weeks in advance on the neighborhood Facebook group, and opened up to anyone interested in participating. The meeting was held at Sandi Gentry’s offices in downtown Grand Haven, and the attendees included:

  • Sandi Gentry, RE/MAX realtor
  • Robert Bytwerk, Grant Vander Veer, and Tom Wendt, representing the Developer
  • Steve Post and Jessica Byard, representing our neighborhood

Discussion

Much of the meeting centered around the specific responsibilities which will be passed from the developers to the HOA after formation. Since our development is simple and has few common amenities, this primarily includes construction sketch approvals, payment for and maintenance of the common spaces (neighborhood entries), enforcement of the rules & bylaws, and a few other administrative tasks.

In practice, this will include an approval committee or individual who will review construction sketches for compliance with our Covenants and Restrictions and Bylaws. Other maintenance and administrative tasks will fall to the discretion of a new Board of Directors formed from members of the neighborhood.

Costs and assessments

While the developers were not prepared with accurate figures, it was estimated that the costs of electricity, water, and landscaping services currently total around $500 per year. After figuring in taxes or fees for common spaces, the assessment per household is likely to be very small – perhaps less than $10 per year as things stand right now.

Next Steps

The developers decided that the neighborhood has come along far enough to begin the setup of our HOA, so they voted to elect Steve Post as acting President who will serve for the first term.

The President’s initial duties will include the establishment the HOA, including:

  • the collection of signatures from residents acknowledging the turnover of rights and powers of association to our HOA
  • the establishment of a non-profit (LLC) for the HOA and filing related paperwork with the state
  • the appointment of a Board of Directors for the first term
  • the first annual meeting of the HOA Board of Directors

If you are interested in serving on the Board of Directors, please contact Steve Post for more information.

All residents will receive an official letter to communicate the establishment of the HOA with relevant details in the coming weeks.

Open Issues

There are a few remaining issues up for discussion, and your feedback would be appreciated. Please click on the headlines below:

Look out for more information as the HOA setup proceeds in the coming weeks.

4 Comments

    1. The bylaws suggest a minimum liability insurance of $1M so we would start there and solicit quotes from reputable providers. I suspect that this would be a small figure, divided among the home owners. But I want to be sensitive to overburdening the neighborhood with undesired fees.
      No one has opposed the idea yet, so I may just proceed to get some quotes anyhow, so we have some numbers to be talking about.

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