Milking the Cash Cow
(Part Two)
by
Barry Goldstein
Former Member of the Sun City Anthem Finance Committee
In
this months Sun City Anthem financial report our community seems to be so litigious
that for the second month of this year we have over spent our legal
budget.
Being a part of the financial world prior to my retirement, you might call it "habit" that I often peruse financial reports.
I suppose I got into a groove of wanting to know where my money was being spent, and when I got here from New York, I couldn't seem to break that "habit".
Thus I believed that "habit" might benefit Sun City Anthem by joining the Finance Committee.
I may no longer be a member of that committee but unlike so many unit owners who don't read or understand the reports...
I do !
While official community publications often tout the "financial soundness" of our association, they rarely look "behind the numbers"; and as a result, the community takes them as "gospel".
I don't !
Instead, that "habit" of wanting details just won't seem to go away !
The result:
My medicine cabinet has increased substantially with a growing supply of...
So much so that it's beginning to look like a shelf in a grocery store!
Let's take a close look at what the legal expenses have been lately and you decide if something doesn't look right !
Being a part of the financial world prior to my retirement, you might call it "habit" that I often peruse financial reports.
I suppose I got into a groove of wanting to know where my money was being spent, and when I got here from New York, I couldn't seem to break that "habit".
Thus I believed that "habit" might benefit Sun City Anthem by joining the Finance Committee.
I may no longer be a member of that committee but unlike so many unit owners who don't read or understand the reports...
I do !
While official community publications often tout the "financial soundness" of our association, they rarely look "behind the numbers"; and as a result, the community takes them as "gospel".
I don't !
Instead, that "habit" of wanting details just won't seem to go away !
The result:
My medicine cabinet has increased substantially with a growing supply of...
So much so that it's beginning to look like a shelf in a grocery store!
Let's take a close look at what the legal expenses have been lately and you decide if something doesn't look right !
In February, 2018, we spent:
$41,759
That's over
our budget by:
$25,509
in just the month of February...a month having only 28 days !
In my previous "Milking the Cash Cow" article I reported a substantial overage for January, and when both months are added together, that means for only the first two months of 2018, we are now:
In my previous "Milking the Cash Cow" article I reported a substantial overage for January, and when both months are added together, that means for only the first two months of 2018, we are now:
$47,260
over budget
And...it gets worse !
In 2017 our annual legal fee budget was:
$90,000
In 2018 that annual budgeted amount increased to:
$195,000
So.....that means we're currently $47,260 above the increased budget amount !
In my previous article, I asked if we, the bill payers, deserve a detailed report on what legal issues our retirement money is being spent.
Well it seems there is an explanation on Page 35 of the report.
I
quote:
"Legal representation by Lead Counsel and for Insurance
Related Legal Counsel Representation"
I
showed this explanation to a lawyer who also happens to be a Sun City Anthem home owner, and his response
was:
"What does that mean?"
Well,
I have no idea, but I think it will take another attorney putting in a
request for more detailed information.
One thing I do know is that this is what happens when we have a Board of Directors that can't use common sense to make decisions.
One thing I do know is that this is what happens when we have a Board of Directors that can't use common sense to make decisions.
In
business, the few times I required legal advice from my attorney,
there always seemed to be two options:
Usually the common sense option generated the least cost.
Still have a headache after reading this?
Not to worry.
My medicine cabinet is full of "help" to reduce the mental agony of...
One that would generate huge
legal fees
and
One that did not.
Usually the common sense option generated the least cost.
Not to worry.
My medicine cabinet is full of "help" to reduce the mental agony of...
- - - - - - - - - - - - - - - - - - - - -
Anthem Opinions thanks to Barry Goldstein for "telling like it is" in this unique manner.
Let's keep this in mind when you see that Election ballot in your mail box.
Need we remind you that these incumbents running for re-election...
Aletta Waterhouse
Robert Burch
James Coleman
... have allowed this to take place in accordance with a grossly overpaid General Manager's free wheeling spending habits.
Retaining them means more of the same.
And how can all of this be paid?
Got a comment?
Send it to us at:
I read with great interest the article written so clearly and intelligently by Barry Goldstein.
Thanks to him and others in the past, I’m getting better picture of what happens when a few make the choices for the many without regard for the guidelines set up.
I have those names on record to recall when voting for new “leaders” happens.
We get busy and forget that our budget etc. is run by those few on the board without much input from us.
I will be more vigilant thanks in part to Barry’s informative article.
Thanks for keeping us informed, Barry and others who take the time to share their thoughts on our community.
Your recent articles are troubling.
PerhapsI am comparing apples and oranges, but I recall reported HOA problems on the other side of town.
In that case, control of the board and its purse strings was attempted and proven.
Why has our SCA board turned what is their responsibility and decision making over to the GM ( who seems to have the attorney on speed dial?
The answer is a sad one.
The fault ultimately belongs to those in the Sun City Anthem community. The unit owners are the ones who voted these individuals into office, allowing all this to take place.
How many individuals merely ask their neighbors "Who should I vote for?"
What so many of us have tried to do, is open the eyes of a community and ask questions that pertain to their retirement lives.
In return, a corrupt "machine" will do anything to discredit our efforts.
Some believe we are "malcontents" or "complainers", but to go about doing what we do, is really a sign of CARING and making attempts to enjoy a community where truth, openness, and honesty is a way of life.
When we hear statements like "our dues are reasonable" as a reason to avoid better knowledge, a number of us cringe.
Our attitude is "Why can't it be more efficient?"
"Why can't the golden rule of treating your neighbor as yourself", prevail?"
We have no other motives.
Your comparison to the many troubles that existed in HOAs a number of years ago is right on the mark.
When things get complacent, the "bad guys" take advantage of it, and sooner or later, the problems magnify. The last time, the FBI entered the picture, and perhaps it's time they reenter it again.
That is what is happening all over the Las Vegas valley at the current time.
Sun City Anthem is merely one of many that is being controlled by "bully" boards who believe that complacency will allow them to continue to do as they wish.
Add this to an individual blogger whose past is filled with corruption, lies, and continually berating anyone who disagrees or wishes to expose him for what he has always been...
...making every attempt to continue the destructive path he has endorsed and been a part of for years...
...while having many in an unsuspecting public actually being foolish enough to believe his self-serving propaganda...
...is yet another reason for our problems.
Look at the latest disgusting comment made about Nona Tobin.
Berating her after she proved she was entitled to information a "bully board" denied her, was unconscionable.
We, on the other hand, salute her for her determination to keep the promises she made when she was elected a year ago.
How many people out there would go to the extremes she has had to endure...
...not for a selfish reason as the self-serving blogger would have you believe, but instead...
..because she merely is trying to make sure all of us will get a fair shake?
We love Barry.. and wish that he was running for the board again!