WRONGDOING #3
Architectural Review Procedures

In the past five years, Circle C homeowners have been charged the following amounts for the Architectural Review Procedures:

2004 - $63,336
2003 - $51,166
2002 - $33,147
2001 - $17,094
2000 - $10,031

According to the Declaration of Covenants, Conditions & Restrictions for Circle C Ranch Subdivision, the Architectural Review Procedures should be handled by the Architectural Control Committee, which means there should not be an expense called ?“Inspection & Review Services.?” The committees are supposed to provide voluntary services.

I have done an extensive investigation about the Architectural Review Procedures with several homeowners?’ association management companies and a few individual homeowners?’ associations. I discovered that NONE of the homeowners?’ associations charges a fee for the Architectural Review Procedures.

Alliance Association Management
(Rachel Donegam, Customer Service Supervisor (512) 328-6100)
Manages 160 HOAs. None of them charges a fee.

Pioneer Property Management
(Paul Meisler, Owner (512) 447-4496)
Manages 45 HOAs. None of them charges a fee.

Plateau Property Management
(Rosalyn Peterson, Owner (512) 441-1041)
Manages 20 HOAs. None of them charges a fee.

Property Management of Texas, Austin
(Lisa Spearman, Manager (512) 476-2673)
Manages 20 HOAs. None of them charges a fee.

April Realty Services, Inc.
(David Allen, President (512) 442-6500)
Manages 11 HOAs. None of them charges a fee.

The Parke Homeowners Association in Austin, Texas
Charges NO fee

Oak Parke Homeowners Association in Austin, Texas
Charges NO fee

Springbrook Glen HOA in Austin, Texas
Charges NO fee

Plum Creek Owners Association in Austin, Texas
Charges NO fee

Scotts Mill Homeowners Association in Cary, NC 27511
Charges NO fee

Charleston Village Homeowners Association
Charges NO fee

Griers Fork Homeowners Association in Charlotte, NC 28218
Charges NO fee

Arbor Lane Homeowners Association in Sherwood, Oregon
Charges NO fee


Even though I could not find a single homeowners?’ association that charges a fee, I was told by one management company that it is not illegal to charge a small fee around $10 - $25 if the fees are retained in the association fund to boost the revenue. However, there should not have an Architectural Review Procedure expenses because committee should provide voluntary work. The only time an expense could be incurred is when the review project is too complicated and outside professional help is needed ?– such as the review needs to be done by an architecture firm. If that is the case, the fee should be paid directly to the outside company hired by the Architectural Control Committee.

WRONGDOING #3 continued


My conclusion is that Circle C Homeowners Association has illegally incurred the expenses of Architectural Review Procedures for the last six years starting from Year 1999.

Not only that, the Association has actually committed a crime by allowing the Directors of the Board to benefit from these fees.


**Guess who is now serving on the Architectural Control Committee?**

In March 2004, CCHoA elected a new management team. Our new Board appointed Steve Bartlett, former Vice President, Susan Hoover, former Treasurer, and Felix Manka as three members serving on this committee. The fees collected from the homeowners and the builders are paid directly to Susan Hoovers. Thanks to our new Board, the abuse continues up to this day.



THE FOLLOWING ARE THE FACTS:

1999 ?– June 2001
Fees were funneled into Alien, Inc., a company owned by the Developer.

July 2001 ?– November 2002
Fees were funneled into Castle Realty Management Services, a company owned by Steve Bartlett who was the Vice President of the Association during that period of time.

November 2002- up to present
Fees were funneled into Full Circle Management, a company owned by Susan Hoover who is the former Treasurer of the Association.



Steve Bartlett is a ?“Financial Genius?”

In order to maximize the Architectural Review revenue, in 1999 Steve Bartlett started collecting fees not only from the homeowners, but also from all the Circle C builders. I have contacted several builders and spoke with customer services personnel and accounts payable personnel. Not one of them could tell me exactly what kind of services CCHoA has provided to them in order to earn that Architectural Inspection fees. One manager told me that the fees could be probably for architectural compliance with the provisions.

I have reviewed the whole section of Architectural Control Committee in the Declaration of Covenants, Conditions and Restrictions for Circle C Ranch Subdivisions, and I found out that this Architectural Review Procedures are only applied to the homeowners, not to the builders. I consider Steve Bartlett ?“genius.?”

Remember this: In order to be able to build houses in the subdivision, builders would let the Developer and/or the Association charge whatever they ask for. And of course, the builders would add the expenses, whether they are legitimate or outrageous, to the cost of the houses. So, who are really being victimized? YOU and ME ?– the homeowners!


HOW TO ASSESS DAMAGES IN THE LAWSUIT

This one is easy.

Since it is illegal to incur an expense of Architectural Review Procedures, we should be able to recover every single dime of this expense for the last four years that the law allows.

In addition to the above, we, the plaintiffs, could also recover Exemplary Damages ?– the damages are designed to penalize a defendant for outrageous, malicious, or otherwise morally culpable conduct as this one in order to deter such conduct in the future.

Correction


Steve Bartlett is a ?“Financial Genius?”

In order to maximize the Architectural Review revenue, in 1999 Steve Bartlett started collecting fees not only from the homeowners, but also from all the Circle C builders..........

Correction:
It was not in Year 1999; it was in Year 2000.