8% Reserves in the bank. NOT 55%
This is a forum post, reposting here for visibility.
Keep in mind that the Board terminated NCM and sent cease and desists just before and after this was initially reported.
It’s bad—please read the first five pages of the Reserve Study PDF carefully.
Edgewood Homeowners Association does not have any valid financial forecasts.
If you are selling your home, do not use data from the reserve report to answer questions about the Citrus Heights Edgewood HOA’s financials. If anyone has purchased a townhome relatively recently, and were provided financial data about the Edgewood HOA while researching your purchase, please contact me at: shanehill@birdcageheights.com.
The following (before the update, below) was posted in the middle of July, 2024 to the Edgewood Community Forum at www.edgewoodhoa.org. Once I received the erroneous Reserve Study report in August, the posts were updated with documentation and supporting facts.
As mentioned in another post, I talked to Tony, the owner of the now-terminated property management company, Network Community Management, post-firing. Good conversation.
This board has been lying about Edgewood’s financial standing.
The HOA board president told us we were at 55% reserves at the annual meeting and in written communications. The 55% reserve in the bank was based on all association members paying a $5K special assessment—which we may still need to pay because of the tremendous mismanagement we have endured for so many years. The reserve specialist advised this $5,120 special assessment.
Remember, they patted themselves on their backs when they told us they had 55% in reserve by being fiscally responsible. Pat knew this was false.
Since we didn’t each write out a check for $5,120.00 to the HOA, we are at 8% reserves, which is critically low.
Tony of Network Community Management confronted Pat about this lie, which he believes is why he and his company were fired. Tony told me he knew he’d possibly get fired for confronting Pat, but he was preparing to quit this community anyway because it’s unmanageable with this board.
It’s becoming clear that this board’s actions are causing a revolving door of property management companies. To that end, I’m still gathering information about previous management companies to continue our investigation.
This board’s mismanagement has reached a critical stage with severe implications for the entire community.
Discuss this news in the FORUM.
Click the “The Edgewood Voice Newsletter, April 22, 20024(sic)” snippet to see the full newsletter.
Edited to add:
This is $13,000 special assessment territory—at least there is room for discussion. $4.5K gets you to less than 50% funded, then another $9K+ for less than 100%, but that’s before any long-deferred maintenance gets addressed. The members are still paying $400 per month, and expect more than a small area of lawn mowed around their units. Click here for more background on the Edgewood HOA of Citrus Heights recall effort.
Disclaimer: This math is based on the reserve study, and I can’t be sure of the projections. I believe I am conservative on the estimated equity per ownership interest. Bottom line, you were told you had over $800,000, but you only have about ~$210K (if you trust any numbers). You need an audit.
I’m beginning to realize this was a bigger discrepancy in reported financials than $450,000.
Click HERE to download the recall form, or call or email to arrange a signing:
(279) 252-8072
community@birdcageheights.com
“Congress shall make no law respecting an establishment of religion, or prohibiting the free exercise thereof; or abridging the freedom of speech, or of the press; or the right of the people peaceably to assemble, and to petition the Government for a redress of grievances.”