by Cheri Nelson, September 8, 2019
The Balboa Project
The Balboa Project sounds like a movie title. Usually a science fiction film, but in this case, it’s more a comedy of errors type film and yet no one is laughing.
History of the Project
The Balboa Golf Course and Balboa Clubhouse were originally developed in the late 1980s by our developer Mr. Cooper. Some say the clubhouse was built cheaply. I don’t know since I wasn’t here then, but what is known is that for the last 14 years there has been a push to renovate the course. Money was actually set aside to do so, but as so often happens with governmental entities, the money was appropriated and used on another project. So here we are, 14 years later, still trying to decide what to do.
Proposal
At the August Board of Directors meeting, we were presented with a proposal by our CEO and staff for how to move forward with the renovations of both the clubhouse and the course. Per their recommendations, we need to quickly confirm the proposal and move forward with killing all the grass on the course. This needs to be done immediately before the grass goes dormant for the winter, and then proceed with the replacement of the irrigation. Then next spring, reseed with expensive bentgrass. Sounds wonderful, beautiful when finished. But there are a couple of problems with doing this extensive renovation now. We must at the same time decide to either tear down the current facility, replacing it with a much smaller venue, or try to renovate the current facility. Not only is there an exorbitant cost for this project, but we would also likely be losing the use of one of our premier courses at the worst possible time.
Balboa Clubhouse and Cart Barn Slideshow
Villagers’ Concerns
I don’t believe anyone is against renovating the Balboa Clubhouse and Course. Much like the swimming pool project, what concerns most of the Villagers is how we will pay for such an expensive project, roughly 7 million dollars. Another significant concern would be that next year 2020 is the celebration of the Village being in existence for 50 years. Do we really want to take one of our premier courses offline at a time when we want to promote the Village and our golf courses?
Alternative Solutions
Why not make this a 2-year or even a 3-year project? Over the fall of this year we could determine the structural integrity of the clubhouse and replace the cart paths throughout the course, and in the winter of 2020 do the new roof and painting inside and out, if the facility is determined to be structurally sound. Then after our 50th-year celebration, in the fall of 2020 and winter of 2021, we could kill off the grass and complete the irrigation replacement. We could even extend the renovations over 2 seasons by doing the front 9 holes the first year, and the back 9 holes the following season, thus allowing play to continue on the course creating at least some revenue. I for one would not want this building torn down if it is structurally sound and could be saved. We would then have the opportunity to consider many innovative ways to use the upper floor. We wouldn’t be draining our coffers as significantly by spreading the work over an extended period of time, thus reducing the concerns of the Villagers who have to actually pay for this project.
Balboa Course Slideshow
by Cheri Nelson, September 8, 2019
Photography by Joe Dowden
John Dethardt
09/08/2019 — 3:47 pm
Most developers try to secure one third of the project cost before starting such a undertaking. What our plan on how to pay for this project. We all love to dream but show me the money. Take Care
Linda Van Scotter
09/08/2019 — 5:24 pm
Don’t forget the many polls over the years asking what we should do with it.
many people including myself suggested things such as an artist gallery with workshops and studios available for the artist to work at including Knitters, sewers, painters and have a kiln. The lower level could continue to be a restaurant or maybe be used with the woodworkers. we could have our own paint with a twist parties and cocktail parties with artwork displays.
Another idea was to have it be a wellness Center with different activities including an urgent care, chiropractor, acupuncture, as well as day spa massages, infrared mat, saunas, redwood hot tubs. As well as a bar.
Alot of feedback. Tear it down is their approach.
No creativity!
Minn Daly
09/08/2019 — 5:54 pm
Great feedback on utilization! Why not ask Cooper our developer & Cooper engineer Ernie Deaton on structure soundness renovation etc? They built it including the golf course. They are at the East gate, I am certain they could lower costs & have insights that our Chair/CEO doesn’t have. They were & are the developers of our community. Minn Daly
Frank Shears aka Bubba
09/08/2019 — 5:54 pm
Outstanding article, Cheri Nelson. I agree with your common sense approach. I think most people agree that we should keep our amenities well maintained and attractive. I agree with you that the clubhouse should be renovated if at all possible instead of torn down and rebuilt.
I don’t know much about golf. But I do know that a couple of the varieties of Bermuda grass are used in other places for the greens instead of the bent grass mentioned in the project presentation.
Good thinking and well said, Cheri. Thank you!
Susan Cox
09/08/2019 — 6:13 pm
Great article. Thanks for posting it. It was intelligent so most members of the board will disagree with you, but maybe there is enough people in this group to get the message across.
Thanks again.
SC
Tom Blakeman
09/08/2019 — 6:40 pm
As per the POA’s own proposal there is nothing wrong with this 32 year old building structurally:
“Architectural, Structural and MPE evaluations conducted in 2018. No significant deficiencies were noted.
Asbestos and Hazardous Materials survey conducted in 2018. No known contaminants found.”
The “Closed Loop Geothermal system” was apparently redone in 2015 due to a failed project by POA in 2009. I wasn’t here for these events but my understanding is that this was similar to the DeSoto Club neglect and project boondoggles so typical of our POA.
There are issues with lack of proper maintenance. Again, simple maintenance neglect by POA. But, as with the course itself it is simpler to blame Cooper for everything.
No one in their right mind would tear down a structurally sound building or build a new golf course when proper maintenance and selected renovations (the cart paths, one by one) would suffice.
It is just another “build it and they will come” fantasy, just like the CMP.
Jay Thomas
09/09/2019 — 11:18 am
I have read most the comments on here and totally agree with most of what said. However those saying the roof on the Balboa Clubhouse can wait are wrong. That is the one thing the Clubhouse needs right now. Everything after that can wait. You were not in the downstairs area the night the rain was coming through the air intake duct from upstairs because of the roof leaking! The build is sound but needs some maintenance. The flooring upstair will need carpet or preferably some type of wood flooring. Right now all the flooring has been removed showing the subfloors to be in great shape. So yes the roofing needs done now.
Tom Williams
09/09/2019 — 1:53 pm
Absolutely the roof first . Common sense. That’s why we need a POA construction maintenance dept. With skilled workers that can take care of our infurstructors year around . Give them the equipment and tools to complete the task as well cart paths or anything that comes up to repair.
Anonymous golfer
09/09/2019 — 2:39 pm
Thank you … a POA construction maintenance dept. could start on the club house after the roof is completed … and the existing golf course staff can do most of the greens work under the direction of the current agronomist and golf course superintendents working throughout the village.
Save money … it’s not rocket science … save millions!
Kirk Denger
09/11/2019 — 8:10 pm
Who is in charge of common properties? Fire that person and hire someone that will keep all roofs repaired.
Mike Fleming
09/08/2019 — 6:54 pm
I think we need to save Balboa first and foremost. The building has “good bones” someone said. This talk of a golf course being done away with makes me furious. That kind of talk is not using common sense. These same people are saying we are no longer a retirement community and we don’t need golf courses!
“No Longer A Retirement Community” ?? Lies! Yes, we still are! Gawd, if people would look around. 68 years is the median age! People retiring even earlier these days. “ “Common Sense”, where are you? Please come back to us, please. We are already “branded” as to what we are. We cannot change the demographics overnight. Median age in the Village is 68 years old. Did you hear that? It is a fact! We are rural and we are isolated and most of our investment is in the golf courses. No jobs. Just a place to play. Plain and simple. If we had mostly chicken houses we should be raising chickens.
So. Who has the most play money? Golfers! Let them spend it here!
We should have gone with it. Market the damn place as to what it IS. Not what some would like it to turn into. Yes, Golf is in a general decline but that is not a good argument. It is in decline from a Mount Everest position, people. Should the stock market be done away with when it ticks downward? It has been around (golf) for over a century and has thrived! Look at the Big picture! It is still popular to a ton of retirees, folks. It is on TV with a dedicated channel. It is international. The purses are huge. Interest is still huge. People play into their 90’s. Golfers are passionate about the game. It costs thousands for good equipment and they will use their investment.
The biggest mistake, IMHO, is that we never have had a good marketing plan to sell what we are. Admitting what we are, seemingly, is not what people care to do for the good of the community. Bunch of schizophrenics with multiple personalities. Try this, try that, some of this, some of that. CMP, new urbanism, committee on this, committee on that. Trying to change horses in the middle of the stream is/was foolish. The only serious golf marketing was done by JC. That’s how we ended up with what we have. An abundance of golf courses. Use them to our advantage for goodness sake, because they exist!
All the talk about golf dying is BS. Dying is too strong an adjective. It sill lives and retirees would still be plentiful enough throughout the nation to pick this place up and set it back on track. Golfers retiring have money and are willing to spend it. They do have money for the most part, plain and simple, and will spend it where we need the money to be spent. The “spillover effect” into other amenities will happen because of the affluent nature of the golf retirees pocketbook. They have family members that will use the trails, pickle ball, restaurants, lakes, fitness, tennis, etc. Even the golfers themselves will eat and do other activities besides golf. Simply put, a golf retiree is more desirable than any other retirees or even regular tenants, (fisherman, tennis, etc.) to be blunt about it. Finding these affluent people should be easier than ever before, with the advent of sophisticated marketing capabilities never before used but available to us with the right marketing team. Do it!
I don’t even play golf but I have common sense.
I am not advocating the stupid plan to spend 6? million on Balboa. That’s crazy. But we can salvage Balboa at a reasonable cost. The cart paths and a roof will do for awhile.
If you want to kill HSV then kill golf.
I’m so sick of the idiots that run this place.
If we didn’t hire useless positions in the hierarchy of our leadership we could have been fixing these important things long before now. Neglect Neglect Neglect. It catches up with us eventually. That is taking us over the edge. It will be our downfall. Wouldn’t let the roof on your house end up like the Balboa Clubhouse roof is now, would you? Pitiful.
But we will have a pool. No revenue in that!
This is what I advocate.
https://hotspringsvillagepeople.com/lemler-hsv-marketing-seminar/
Kirk Denger
09/08/2019 — 9:54 pm
Kill all the grass? Tear down a perfectly sound building? And then force other people to pay for your ridiculous ideas? You do not believe there are a majority of members who are against renovating the Balboa clubhouse and golf course? Look at the slideshow, acres of beautifully maintained turf. How long did it take to find the ruts in the mud? Slides like that can be found at any course! A building that has not been low-pressure washed in thirty years might look like what your slides show but why is the normal maintenance not being done while our management wastes tens of millions on a CMP that has not produced one dime? There is not one thing wrong with the Balboa Club and course that simple maintenance will not solve. Renovation of the DeSoto club by Twiggs/Nalley ended up with the new plan opening up the restrooms directly into the main dining room to where anyone dining can see directly into the bathrooms. Great ideas for two million$ that was out of business the following year. Look at the management’s track record.
Linda Anderson
09/08/2019 — 7:06 pm
CHERI-THKS for a conservative review of the alternatives for this project. This should be the No. 1 choice. Balboa is a contemporary building which needs some TLC. Where there is a will, there is a way to make it shine again. We have some big spenders in the majority BOD and let’s hope they come back to reality and take the reasonable and sensible approach.
Lloyd Sherman
09/08/2019 — 7:24 pm
Given that inadequate and incomplete planning has resulted in a proposal that wasn’t part of the last budgeting process, neither of these suggested paths should be followed on this timeline. I don’t know if CCI has been consulted, but I’m certainly sure we the property owners have not been given adequate time to provide our input, ask questions and become comfortable with any decision the board is asked to make. We were told that there was going to be more coordination with CCI. Has there been? After all, they are the original developer of this property?
Where in the world of business does management go ask for approval of $6+ million dollar items without going through a budgeting process? Follow the best practices process and bring this up for the next budgeting cycle. You haven’t even paid for the pool yet and now we are heading down another expensive path.
Given the results of the last increase in golf fees, a surcharge is likely to result in decreased rounds. AGAIN. Borrowing money when we have $18+ million in bad debt on our books and cash and cash equivalents accounts that are on the decline makes no sense. And the chances of a majority allowing for a special assessment at this time is also not likely.
The timing couldn’t be worse for asking for these projects to be taken on. Scale back the scope and spread over a longer period of time and strategically plan for these activities. Many of us would feel better if we had a cohesive marketing plan in place that will actually grow this place.
Maureen Heenan
09/08/2019 — 7:48 pm
I for one would like Mr. Cooper’s input on this.
Vicki Husted
09/08/2019 — 9:19 pm
Maureen Heenan, I would too.
AndyK
09/08/2019 — 8:26 pm
Of course, if I were a conspiracy theorist, I would be asking just why we needed the pool now, and also why we “suddenly” (after so many years of doing nothing) need to fix Balboa RIGHT NOW?
Could it possibly be that there Is some agreement that when the village finances collapse, and the assets are sold off at pennies on the dollar, that the new owners won’t have to fix anything? Just think what that could be worth to a buyer – I am sure the rewards for those who made it possible would be substantial.
But, of course, I am not a conspiracy theorist so draw your own conclusions….
Vicki Husted
09/08/2019 — 9:18 pm
AndyK, I’m not a conspiracy theorist either, but I’ve drawn my own conclusions, and another comment from another post on this site happened to quote one of our recently re-written governance documents:
“TENTH: Upon dissolution of the Association, the assets of the Association, both real and personal shall be dedicated to an appropriate public agency or utility to be devoted to purposes as nearly as practicable the same as those to which they were required to be devoted by the Association.
In the event that such dedication is refused acceptance, such assets shall be granted, conveyed and assigned to any nonprofit corporation, association, trust or other organization, to be devoted to purposes as nearly as practicable the same as those to which they were required to be devoted by the Association.”
A certain 503(c) non-profit organizations with close connections to some persons in HSV immediately sprung to my mind. Worrisome!
AndyK
09/09/2019 — 9:34 am
Vicki, I was only half serious, until I read your response. That is really worrying – what “public agency or utility” or would possibly take over HSV? Obviously that is an impractical option. So it would seem the second option is the most likely should the Association be dissolved (i.e. go bankrupt which would, presumably, eventually force such a dissolution).
Sally
09/09/2019 — 5:44 am
Village finances have already collapsed. Done deal.
Idiots.
It is very easy to spend other peoples’ money. Very easy.
No brains required. Which is good as we have none at the POA or most of the board.
Could these people be tying to ruin HSV?
And if so, why?
They certainly are ruining it. No doubt.
Morons.
The theory above makes more sense that anything these fools are doing.
Tom Williams
09/09/2019 — 2:01 pm
Absolutely the roof first . Common sense. That’s why we need a POA construction maintenance dept. With skilled workers that can take care of our infurstructors year around . Give them the equipment and tools to complete the task as well cart paths or anything that comes up to repair.
Anonymous
09/11/2019 — 10:52 am
Clearly the CMP has become more important than simple maintenance. I suggest the title CEO be reverted back to General Manager. What’s in a name? In my view, it explains a lot as to why we have reached this critical time in our history. I’m reminded of when Napoleon decided he was Emperor. Things started to go downhill for him after that.
Perhaps if we get the title right, the individual in question would return to general management instead of assuming the role of visionary. Careful supervision of our assets seems a reasonable thing to expect for the enormous salary being paid. How much money could have been saved if someone had cared for the Desoto Club?
In summary, I would hope maintenance and care for our capital investment be brought back to top priority. Alas, I do not see that happening with the current management group.
Walter Chance
09/12/2019 — 9:37 am
Very common sense approach. My 2 cents is that this clubhouse can be remodeled.
Kirk Denger
09/22/2019 — 9:27 pm
Walter Chance09/12/2019 — 9:37 am, Restore the Balboa Club. Remodeling wiil ruin the original purpose and will cost ten times as much with ten times the fumbles.