Leatherwood Mountains Property Owners Association, Inc.
August 26, 2006 Board Meeting
The meeting was held at the Darby Community Center, and called to order at 10:00 AM by President Chuck Mann. Those present were Board Members Randy Burke, David Beckett, Mike Everett, Vance Stein, Delaine Parker. Guests were Bill Farr, Phil Whitson, Abbie Hanchey, John Single. In the absence of the secretary, Delaine Parker recorded minutes.
Phil Whitson was recognized to present information on the progress of the proposed Ginn purchase of Mountain Resource Company’s (MRC) property “outside” the gate, and Ginn use of the trail system “inside” the gate. Phil submitted the following list, which he viewed as the current “rights” of Leatherwood property owners now, and what MRC intends to obtain for Leatherwood property owners in the contract negotiations:
LEATHERWOOD NOW HAS
- Vested non-exclusive easements to platted and deeded trails on 2,500 acres of
Leatherwood. (MRC has retained legal title – see covenants, Art.III,3.)
- No amenities outside the gate. (Pool, tennis courts, basketball court, lot,
tractor shed, Key’s Cabin are inside the gate – donated by MRC & Rash)
- One road easement for entrance/exit (west, in front of restaurant, to Elk
Creek/Darby Road).
- No signage easements outside the gate.
- Future maintenance of trail system to be POA responsibility (see covenants,
Art.III,3.)
- No rights to continued present uses of property “outside the gate”.
- No rights to continuation of events “outside the gate”.
- No right to choose Next Owner of “outside the gate” property. (If not Ginn, then who? What will the uses be?)
MRC INTENDS TO OBTAIN FOR LEATHERWOOD
- Non-exclusive easements to additional trails on Arrowhead (500 acres –
Owner is MRC) and Joetown (1,600 acres – Owner is Keith Johnston).
- Additional amenities in Arrowhead and Joetown (to be planned after we know
what amenities will be provided by Ginn).
- Two or more easements for entrance/exit to Leatherwood (existing route plus
route south to Elk Creek/Darby Road). Additional routes if Ginn plans allow.
- Signage easements outside the gate are promised by Ginn. A signage easement
on Elk Creek/Darby Road from MRC.
- Future maintenance of trail system to be Ginn responsibility.
- Ginn to continue present use of North parcel as Equine Center with
Restaurant. Perpetual use rights granted to MRC for benefit of POA members and guests without membership fees. LW Rentals to retain ownership of Welcome Center and continue present uses. (Post Office, Rental Program, Sales Office, Security, Trash, ETC.)
- Ginn has agreed to continue and co-sponsor the annual Leatherwood
Mountains Challenge Endurance Event (and other events to be agreed upon).
- Ginn is “next owner”. Ginn has promised to cause minimum disturbance to
Leatherwood’s present uses and businesses. POA members and guests will enjoy and benefit from Ginn amenities. The positive effect on values of Leatherwood properties can be predicted and is real. They are a GOOD & QUALITY NEIGHBOR/”PARTNER”.
The board was then presented with a map of the existing trail systems (copy available upon request) within Leatherwood, and Joetown. Phil pointed out that the common area trails have not been turned over to the POA. Some of these trails have never been “platted” by the developer. All trails in the newly named section, “Arrowhead”, currently known as “above Key’s Cabin”, are not platted. Therefore, the POA has no legal rights to these trails, but has been granted permission by Dick Johnston to use these trails”. Joetown is not currently a part of Leatherwood, so trail use in this area had been by permission of owner Keith Johnston to POA members.
Ginn is currently in the process of physically locating these trail easements with use of GPS devices, as part of their “due diligence”.
Under the recently announced change of “developer’s rights” from Dick Johnston to Phil Whitson/Phil Rash, legal title to the trail rights will be conveyed to Whitson & Rash. At some point, they will transfer these rights to Leatherwood POA.
Developer’s negotiations with Ginn, concerning trail usage, only include “equestrian traffic” rights. If proposed Ginn project goes through, the equine center and restaurant will be private, with privileges extended to POA members and their guests.
When asked if Ginn’s plans for the South side of Elk Creek/DarbyRoad, i.e. campground and surrounding area, would be for a kid’s “Camp Laurelmor”, Phil’s reply was, “Probably.” Privileges are also being sought by the developer for POA use of this amenity.
The board discussed with Phil the concerns of many POA members surrounding future barn facility costs, i.e. boarding and daily stall rental. Ginn will have control over these charges. Mr. Whitson and Mr. Rash are taking these concerns into consideration in the planning of future Leatherwood expansion into Joetown. If barn rental costs are high, they will possibly build another facility for property owner use in this new area. Additional Leatherwood amenities are also being considered for Joetown, and they plan to get input from the general POA membership and the Board.
Phil reported that Ginn is very excited about this proposed relationship with Leatherwood.
The Board thanked Phil for sharing information regarding the proposed Ginn purchase. It is the Board’s opinion that the proposed Ginn purchase is a good opportunity. If it is in the best interest of the Leatherwood POA, the Board will do all it can to facilitate the transaction.
The current status of the “Construction Review Committee” (CRC) was discussed. The Board agreed that this committee is accomplishing the task of reviewing and approving submitted projects in Leatherwood, according to the Leatherwood covenants. The Board is grateful to Chris Kostur, Rex Craig, and Phil Rash for their efforts in the formation and operation of the CRC, but regret that due to time and job constraints, Chris and Rex have submitted their resignations. Randy expressed hopes that the committee will continue the ideals of what was created by Chris, who did an excellent job in the formation of the CRC. Current members are Mike Everett, Russ Simmons, and Phil Rash. As a reminder to POA members, per covenants, please submit ALL planned building or improvement projects to this committee. Forms are available. The Board expressed its’ thanks to all POA members for their participation in this continuing effort.
Covenant Compliance Committee -David Beckett reported the Covenants Compliance Committee (CCC) is progressing with plans to work with the CRC concerning compliance of any infractions of the covenants. Randy pointed out no covenant infractions in the past have been enforced. As Leatherwood grows, this becomes more of an issue.
Abbie Hanchey discussed Leatherwood Rentals’ request of using POA common area, in front of the pool, for wedding receptions. Concerns of the Board involve safety issues regarding proximity to the pool, and ground’s damage. The Board will review information submitted by Abbie for further consideration.
The Board moved to go into executive session. The meeting was then continued in regular session.
Vance expressed concern about the procedure of minute approval via email among Board members before being submitted for membership reading. Vance would like to see minutes approved at the next Board meeting. This procedure requires more time in posting the minutes to the website. Chuck Mann felt that the Board should be more prompt in getting the minutes to the general membership. Randy pointed out the Board has no mandate to get these out quickly. John Single’s opinion was sought, as a guest at the meeting, on this issue. He felt they should be out within 4 weeks of the meeting. Chuck made the motion to continue approving minutes via email. Randy seconded the motion. Discussion: Randy added to the motion that we should add “proposed minutes” when they go out to Board members. The secretary, Diane, will receive any corrections and notify other board members. The motion was passed 4 –2.
July Board minutes have been reviewed by board members and corrections made.
Randy made the motion to accept the minutes. The motion was seconded by David. Minutes approved, as corrected, by all.
Mike Everett will take responsibility for repairs to a broken section of pavement, in the Elk Horn section of Elk Ridge Road, due to power installation by Blue Ridge Electric.
The Board has, with regrets, accepted Rex Craig’s resignation from his position on the Board, due to job relocation and time constraints. We thank Rex for his time and efforts while serving on the Board.
The Board addressed the matter of filling this vacancy. Vance Stine suggested that the person who had received the next most votes be nominated. Reviewing election results from the last POA general meeting, John Single was nominated for this position. A motion was made to accept John, seconded by Randy. John Single’s nomination was approved unanimously by the Board.
The Board discussed their previous agreement to have Worker’s Compensation in place for those contractors who do work for the Leatherwood POA. This was deemed necessary to protect the POA in the event of a work related accident. Insurance certificates will be required from those workers who have insurance. It has been determined that some of our contractors do meet this requirement. The insurance premium will be $2,400.00 on the estimated $40,000.00 grounds maintenance/road work amount.
Randy and Chuck had previously been appointed by the Board to represent the POA in meetings with our attorney, Mr. di Santi. Randy reported the following:
A review of POA covenants has been completed, with by-law review to follow. Mr. di Santi has extensive experience with POA matters. Upon the Board’s request, he is also reviewing POA rights in regard to Leatherwood trail system. The Board is waiting for his assessments.
There had been some question from a POA member concerning the POA construction assessment of $1,000.00, for any new building project in Leatherwood by a property owner. Mr. di Santi reviewed this matter and determined it to be a legal assessment voted by the general membership at the general meeting in 2001. Initially, the fee was $500.00, but was increased by another voting of the general membership in 2003 to $1,000.00.
The Board is still waiting for Gary Gibson to begin repair work on the meadow culvert.
There was no one present to give an update on the entertainment committee.
Delaine reported the metal building for the new fire station is due August 30th. A crew will be there to unload and begin erection. David will proceed with getting the forest service into Leatherwood for an evaluation of fire preparedness.
Delaine and Chuck have meet with Burke paving company to discuss repaving and repairs to Granny’s Ridge Road. This should be started in September. There are several areas along Elk Ridge Road that the Board has decided to replace the metal post/reflectors, with treated post and reflective tape. It was also suggested that painting stripes on the side of the road at these areas would increase awareness.
During a previous Board discussion about roads, there was thought that a road analysis had been previously done. Vance requested that a copy of this be found. In checking past records, Chuck found, that in fact, it was a proposal from a consultant to do an analysis.
Speeding on the roads in Leatherwood has become a critical concern. With increased building, more owner/guest traffic, and horse/pedestrian traffic, it was stated that all drivers in Leatherwood need to be conscious at all times of traveling at a safe speed and staying on the right side of the road. It was suggested that the minutes address all property owners with the following reminder: PROPERTY OWNERS – IT IS YOUR RESPONSIBILITY, DURING ANY CONSTRUCTION/REMODELING PROJECT, THAT YOU REMIND ALL WORKERS AND CONTRACTORS OF ROAD SAFETY WHILE ON LEATHERWOOD PROPERTY!!
Please make it your mission, while enjoying Leatherwood, to keep all safe!
There are still concerns of the Board regarding future road construction. Randy and Delaine will talk with the developer about this issue.
After a lengthy meeting, Chuck made the motion to adjourn, seconded by Randy, and approved by all.
Respectfully submitted,
Delaine Parker, in the absence of
Secretary, Diane Ertel
