Dave Beed wrote a very informative letter to the Hot Springs Village Voice editor. He has given us permission to use his work.
Dave said:
I own and run an executive search firm dealing with board members and CEO’s of corporations and non-profits. When top changes are made in organizations, most meet with some form of resistance to change and leadership.
Originally I was surprised about the degree of the lack of support for our BOD and CEO. However, after witnessing the overall rush toward a CMP, the staggering “no” vote of property owners regarding the declarations, and the new “secret” CEO contract (with MAJOR changes) all suggest that the lack of trust and support is justified and lies at the feet of the BOD.
Having worked with employment contracts for decades, I recognize that the compensation for our CEO deserves scrutiny. For an organization the size of HSV, located in Arkansas, the salary and bonus potential are higher than expected, especially since expectations for the CEO are without specific and quantifiable deliverables.
The major change in the CEO contract that former board chairman Weiss signed in March, despite all the questions surrounding our CEO, is unconscionable. The number of board members needed to terminate the CEO contract was changed from 4 of 7 to an astronomical 6 of 7, requiring an 86% vote to remove our CEO rather than the normal 51% or 60%. In my many years of working to acquire executives for organizations, I have never seen anything this one-sided. The end result is that our CEO is basically bulletproof and has a contract that pays very well with very little, if any, controls.
I am sad to say that I now understand the pushback on our BOD, which will only change when the board starts putting its empty “transparency” words into actions.
by Dave Beed, August 6, 2019
Formatted by Cheryl Dowden
Jerry Jay Carroll
08/06/2019 — 7:56 am
I would love to see the discussions and quid pro quo that went into this sweetheart deal, but of course there would be nothing on paper.
Kathy Henderson
08/06/2019 — 8:21 am
Great job, David!
Judy Weatherly
08/06/2019 — 8:44 am
Thanks for your VERY professional insight!
Your knowledge and background is invaluable regarding this extremely over paid CEO. This position used to be a GM position…needs to go back to that way so we would have money to better pay employees and get additional First Responders.
Thanks again!
George Sorrell
08/06/2019 — 9:48 am
Open Letter to HSV BOD and all Former BOD Members
Many residents of Hot Springs Village were surprised or perhaps shocked when they learned of the creation of the CZAR of HSV. The amount of money being paid the CEO is troubling to say the least. However, setting the CEO up to be completely fire-proof was a stroke of genius.
I wonder if there is a buy-out clause as well, assuming in 3-5 years or so we can finally elect people who will actually keep their campaign promises. We Villagers seem to have a weakness for electing folks who can be brain washed during orientation.
Ok, so here are my questions:
1. Who’s idea was it to change the contract to require 6 out of 7 votes to cancel the CEO contract? Please step forward because we want to give recognition.
2. What was the rationale for this change?
3. Was Tom Weiss’ signature all that was required or did it require a vote?
4. If there was a vote, did anyone vote NO?
I would bet $10 the CEO came up with this idea anticipating the bobble head yes approval was assured from a lame duck administration. I suppose we should be happy she didn’t also double her salary because it seems nothing would have prevented it.
Sam
08/06/2019 — 11:19 am
Even common sense says that there is something very rotten in the state of our little Denmark!
Anonymous
08/06/2019 — 12:38 pm
Sam, yes
David Sintich
08/06/2019 — 12:37 pm
It sure seems as if there is a private endeavor going on here and a chosen few have the option to have stock or investments in. Skunk in the wood pile is really has a true meaning around here and each and every property owner will pay for several to reap the benefits.
Anonymous
08/06/2019 — 12:52 pm
Snake in the bush too. Who knows what the hell we are dealing with.?!? I’m more confused than a chameleon in a bag of squirrels.
Sharon Welborn
08/06/2019 — 6:52 pm
You are correct !!
Monica
08/06/2019 — 3:01 pm
This is excellent!! I wonder how someone like Weiss sleeps at night! All previous boards plus the old guard should be held accountable for the mess they created!
Sharon
08/06/2019 — 6:52 pm
Yes they should !
Tom Blakeman
08/06/2019 — 3:16 pm
Folks,
The only way any of these previous bad actors on bod or otherwise will pay is through a lawsuit. Right now our next best effort is to show up en mass at the Garner vs POA hearing on Thursday and make our support visible. The judge needs to see a cadre if unhappy people sitting on Gene’s side of the courtroom and starring down Nalley and Erickson (and maybe Weiss) who will be on the other side. WHO’s IN?
anonymous
08/06/2019 — 7:55 pm
Where will the Garner vs POA hearing be held, and at what time on August 8?
Arthur
08/06/2019 — 5:11 pm
I totally agree with Monica. Can’t understand the motivation. The lack of Common since. I voted for people that said they were going to represent my best interests, what happen?
Anonymous
08/06/2019 — 6:21 pm
They lied to you and all of us
Sharon
08/06/2019 — 6:53 pm
And the lies just get bigger.
Karen D Lundberg
08/06/2019 — 8:28 pm
The hearing for August 8th for the Gene Garner suit has been continued for now. Gene Garner will let us know of future developments.
Vicki Husted
01/25/2020 — 12:22 pm
UPDATE ON GENE GARNER VS HSVPOA BOD
There was a hearing Friday, January 10th on the Gene Garner vs HSVPOA BOD lawsuit, seeking to invalidate the re-written (NOT just amended) Protective Covenants. The Judge has asked for more information from the attorneys before he makes a ruling.
There have been some inquiries concerning mass mailings to Judge Phillips to tell him how unpopular the CMP Covenants are. Gene’s attorney doesn’t think that would be a good idea. It would look like we’re trying to strong arm the court using popular opinion. His attorney DID say it would be an excellent idea to send him your opinion and any
problems caused by these covenants including any money they may have cost you. He could consolidate the letters and then pass on to the judge the prevailing opinion.
So if you’re unhappy with these new restrictions and the burgeoning of our Protective Covenants from 3 pages to 119 (in order to inject the CMP into our Governance Documents) send an email to Phillip Montgomery. His email is montgomery@legacylawhs.com — he’s interested in your opinion and willing to do something about it.
A favorable ruling for Gene in this case will benefit the entire Village in my opinion, so in fact, the MORE opinions he gets, the better! And certainly, if you had monetary impacts as a result of this action, be sure to include that. Personally, I wouldn’t have moved here if I had known they could do that AFTER the Vote on the Amendments was defeated, so the monetary impact is HUGE for me!
Since we don’t know how long the Judge will deliberate on this matter, I’d advise anyone who wants to bring their objections to the Judge’s attention to send your info to Gene’s attorney as soon as you can.
Vicki Husted
08/06/2019 — 10:43 pm
Thank you for a great letter, Mr. Beed, and for allowing it to be used here. I agree with Mr. Blakeman that our visible show of support for Mr. Garner at his hearing should be at the top of all our priority lists. I was planning to attend on Thursday the 8th, and was disappointed to read Mr. Garner’s post on ND that it has been delayed, but will be watching for it to be rescheduled and will definitely attend. This madness must be stopped, and it will take a full commitment from all of us, to continue exposing the truth and ultimately truth will prevail!
Anonymous
08/07/2019 — 7:40 am
Does anyone know where and what time Garner vs POA hearing will be tomorrow?
Karen Lundberg
08/07/2019 — 5:19 pm
Monica – If it helps, I will tell you that I have asked both Lesley Nalley and Tom Weiss that exact question: How do you sleep at night? From Lesley, I got the response, “Just fine,” and Tom did not answer. There is not much you can think of that I have not written to Lesley, Cindy, and Tom Weiss when he wasn’t around. I don’t know how they do sleep at night, but I truly believe that this is not bothering them at all, unless it gets close to the point that they are going to lose their CMP. They have got us so locked in, and I think they enjoy it.
Sue
08/11/2019 — 8:01 am
Buying/investing in here didnt include in advertising that we would be scammed by leadership and management that would be detrimental to the imvestment, rosk the asset and be harmful to health and safety of members/owners. The bait and swap is no different than to online or telephone scammers that criminally prey.
Sue
08/11/2019 — 8:04 am
*investment *risk
Vicki Husted
08/11/2019 — 12:51 pm
Sue, I agree. Thought I had done some pretty extensive vetting prior to purchasing here. Up until now they have been so successful in gagging the residents about their outrageous activities, after the vote was such a resounding rejection of their plans, I thought it would be safe. Didn’t bargain for such a risk to my investment as well as my health. They must be stopped dead in their tracks, NOW!
Mike
08/12/2019 — 5:25 am
Question to the Board. Do you even know where your going? Where is the compassion or conscience or misgivings about the direction you all are taking us? Do you really believe this direction is sustainable?
These kind of tactics are certainly not going to work in the long run, trying to jam Lesley and her stupid plan down our throats.
But that is the bane of all of us villagers. It could be a long long run. But we are galvanized.
It is only human nature to revolt against something being jammed down your throat. The gag effect is taking over! That and common sense is starting to come to the fore for us villagers.
These are unscrupulous cheaters and seeing them behind the wheel of the bus, that will surely crash eventually, gives me no pleasure. It is just a matter of time of which we haven’t much.
We are getting stronger. People are defecting to our side. The people see this fools errand for what it is. Not in my backyard.
Thanks to Tom Blakeman for his plan that is spot on. My new CMP.
Just hope there is enough left of the bus to put it back together after the crash takes place.
Kirk Denger
08/13/2019 — 11:01 pm
All members, meet at the next board meeting, the third Wednesday of this and every month to evaluate the HSV BOD and tell those Board members who will not listen to the overwhelming majority of property owners, that we oppose the CMP and that we will replace illegal Board members by a majority vote at a member’s meeting.
Vicki Husted
01/25/2020 — 2:43 am
Property Owners: Tell Current BOD – Do not extend Nalley’s contract!!
I just signed the petition “Hot Spring Village Property Owners: Do not extend Nalley contract” and am urging others who share this opinion to add their names.
Our goal is to reach 100 signatures and we need more support. You can read more and sign the petition here:
http://chng.it/sgpkBRNw5s
Have your Lot/Block/Addition ready and put it in the comments, which limits signatures to Property Owners Edited to read Addition, not Assessment
Vicki Husted
01/27/2020 — 5:35 pm
If you sign the petition, you may vote one time for each property you own.
Vicki Husted
01/31/2020 — 10:02 pm
CRUCIAL REMINDER FOR THE UPCOMING BOD CANDIDATES ELECTION!!
IMPORTANT! As the first of the month approaches, this is a reminder that on FEBRUARY 7th the POA will determine Members in Good Standing. This will determine WHO will receive ballots.
What does it take to be a “Member in Good Standing?” Very Simple.
Your assessments MUST be up-to-date. Please be diligent about this.
Your vote is important.