4 minute read
MESSAGE FROM THE TREASURER
Greetings Dobson Residents!
It has been a year of change at Dobson Ranch—New Board, new staff, and now a new financial managing agent. We are excited to have a local company to assist the Association with financial management and provide a community manager.
We have completed eight months of financial reporting, and the August preliminary financials indicate that total operating expenses for the year are $45,154 under budget overall. However, the Association has experienced several expenses that were not anticipated this year. The largest variance is in legal expenses: $68,342 was expensed in Attorney collection fees, which is $51,675 more than budgeted. This function includes the pursuit of collecting assessments from homeowners who have not paid their assessments, the cost of liens, the establishment of payment plans, and court actions if required. Hint: Please pay your assessments promptly; collecting those funds costs you and the Association more than it should. If you are experiencing a hardship, please contact the office to make payment arrangements.
General Counsel attorney fees have also exceeded the budget by $19,083 to date. The Board hired an Employment Attorney this year to provide an added layer of expertise, as no HR professional is currently on staff. This action was not a budgeted item. There was also a recall which was not budgeted and cost the Association $23,535. Lake chemicals for algaecide treatments and lake dye for preventative measures are over budget. Fertilizer herbicides for weed control expenses are over budget by $6,336; chlorine costs increased and exceeded budget by $12,299. As mentioned earlier, we have completed eight months of financial reporting and still have four more months in the year to be accounted for.
The good news is that the Association has funded the reserves each month and has contributed $333,332 to date. In addition, $252,948 was transferred to operating savings from the capital fund, bolstering operating savings to $694,682. Most auditors recommend keeping three months of operating expenses in an operating savings fund for emergencies. The average monthly expenses for Dobson Ranch are $250,797, so we are just $57,707 shy of that goal. We have been fortunate to gain interest income in both operating savings ($16,825) and reserves ($63,226). We are rebuilding the treasury for Dobson Ranch.
As explained in November 2023 Town Hall Meeting, the Board outlined the many projects completed through the Reserves and capital projects; many of these were muchneeded projects on the Ranch. All funds are accounted for, and there were no “missing” funds. So, any rumors you may have heard via word of mouth or on social media are incorrect. If you want to refresh your memory, you can find the presentation on the website at www. DobsonRanchHOA.com/financial-audits.
We are striving to prepare a realistic budget for 2025. The process is just beginning with Budget and Finance and the Board of Directors. Even with a decrease in inflation rates, costs have not decreased. Keep in mind the properties in the community are aging and need attention. We may be delayed in finalizing all contract information for the coming year. Still, with the assistance of City Properties, I am confident we can complete it by the end of October or mid-November at the latest. Did you know you can watch the Budget and Finance Committee Meetings online? www.dobsonranchhoa.com/ broadcast. See the website calendar for dates and times.
Always remember that there are volunteer opportunities at the Ranch – help with volunteer-driven events, committees always need members, and before you know it, April will be here, and you’ll have an opportunity to run for the Board. Meanwhile, your current volunteer Board is hard at work trying to make Dobson Ranch a great place to call home.
