Three Different Votes Required to Finalize New Trash Truck Deal
The new HSVPOA sanitation system is a not-so-well-thought-out and hurried-up decision, championed by the Chair and made quickly before the new board was seated.
This issue was voted on originally at the public regular board meeting on February 17, 2021. Then the details were changed two times and two additional votes were taken in private email votes, all occurring before the new board was seated. The original costs increased two different times, without property owner input or knowledge.
Two votes were special email votes; all three were pushed as being “time-sensitive” or we would lose the “great” financing.
The $1.7 million original vote passed 4-1.
When the staff rushed to the bank (after the first vote), they found out that the real cost would be $2.13 million on a 2-year loan. The reason given for this large increase was that the original $1.7 million did not include interest and also that the 1.9% original interest rate rose to 2.3%. The BOD again voted for the increase, 4-1.
Then the rise in cost from the original public proposal continued after the staff borrowed money to purchase the fleet. Staff determined the original purchase price was $35,000 higher, so another special email vote was taken to approve the increase and passed, 4-1.
It is Anticipated to Still Be Paying On Loan for Lease of Worn Out Trucks
By the way, two years of loan payments will not pay for the total cost of the lease and what remains will have to be refinanced two years from now, along with another new fleet lease, because they expect the trucks to be worn out by then.
It would be at least ten times cheaper to have a Property Owner vote @ the cost of $43,000 to approve a special assessment to pay for this with cash. The Property Owners could decide if they wanted to be burdened with needless debt or not and if the new sanitation system is a want or a need.
By Kirk Denger, Former HSVPOA Board Member, May 30, 2021
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