Annual fee for gate access

The BOD candidates received the following email:

"My friends and I have been frustrated about the inability of the Board to increase annual dues without the vote of the LMOA members.  As we are all well aware, the Lake is in need of additional annual funds and or cost cuts.  Cost cuts are, at best, temporary and will not achieve anywhere near the desired amount needed. That leaves additional annual revenue.

As I understand the rules, the Board is able to increase fees without membership approval.  What I propose is an annual $30 fee per car for gate access.  With an estimated 8,000 cars at $30 per car, this would add approximately $240,000 each and every year.

Please let me know how you would vote for this proposal if you are elected to the Board."

Val's response:
Let's put some numbers on this proposal.  When I moved to Lake Monticello in March 2005, I paid $28 for a bar code on my car.  In January 2011, I purchased a new car.  That means that I paid $28 for a total of 5 years and 10 months (total of 70 months) to use the automatic gate.  That is 40 cents/month or less than 2 cents per day. I use the gate every day.  I got the deal of the century.


Guests pay $35 per year for a bar code($2.91/month or 10 cents a day), and must purchase a new bar code each year.


Bottom line: Our bar code rates are way too low.


At the same time, the proposal to have an annual bar code fee is essentially a dues increase since it only affects the residents.   According to the bylaws, which we all signed when we became members, residents must approve dues increases.  Imposing a dues increase but calling it a "bar code fee" is misleading. 


An annual bar code will also incur expenses.  Someone needs to collect the fee.  Someone needs to affix the new bar code on the car.  Someone has to "expire" the old bar codes.  What will be the impact on the Main and Turkey Sag gates if residents, who chose not to purchase a bar code, overload those entrances?  A $30/car fee may be reduced to $10/car or less effective fee.  Let's think this through before making any reactionary decisions.


My proposal is:
1. The proposal to implement an annual bar code should be explored but not as a hidden dues increase.  Perhaps our annual fee for guest bar codes is too low.  If so, let's raise it.  Perhaps we sell a 3-year bar code for $100 for all new residents and "grandfather" existing residents.  There are lots of options to explore.
2. There are ways to increase revenue without increasing dues.  Let's explore them first.  One idea is my proposal to make the golf course profitable.  Please see my proposal below.
3. We know that there are inefficiencies within LMOA.  We know that technology can be implemented that will reduce costs.  Let's bring LMOA into the 21st century, introduce proven and effective technologies and eliminate old inefficiencies.  Please see my example for the Friday Flyer below.
4. What are our expenses?  Let's assess them and cut out waste.