RCSC Exchange Meeting - Monday, January 8, 2024 Lots of topics! Members being heard!! Questions asked & answered Comments Concerns to be looked into further **Topics** • Mountain View Mini Golf • New PIF & CIF fee purchase contract effective date issue • Moving forward time line Mountain View • Tennis • Pickleball • Golf • Second reading motion policy • Softball renovation communications lacking • Website improvements needed • Historic review comments • Get involved in all the clubs & interests in Sun City **View Video here: https://www.youtube.com/channel/UCdLy0Uy9sKWCJNLz37tn5ug
For the first time in a long time, i didn't attend the exchange meeting, but i just got done watching it. Good start to the new year and what was impressive was at the very least the commitment to move things along. We'll see.
What I'm really curious about is the situation raised by realter Tim Nixon! The RCSC wants to charge every new home owner the additional $1000 CIF fee starting January 1st, 2024 but many contracts were signed in 2023 with closing dates in 2024. The CIF fee didn't yet exist when those contracts were signed!!! I'm no lawyer but I do see a problem on the horizon if they don't figure this out. In my humble opinion the RCSC should grandfather those new home owners or else they may find themselves in a class action suit with every other person who purchased a home under the same circumstances and not just with The Nixon Group!!!! I think this is a no-brainer because the situation goes away within the first few months of 2024. Just grandfather those new home owners or else, as Mr. Nixon stated, you're "Welcome to Sun City" isn't very welcoming!
Couldn't agree more and as i told Tim a couple of weeks ago, a good real estate attorney will correct this problem quickly. I also encouraged him (before using the attorney) to use the power of the exchange to get it fixed. It shouldn't be that hard to do the right thing; should it?
Welcome to $un $ity, indeed… : ( Sun City realtor, Tim Nixon presented the issue very well. “We knew the fees were going to go up, but we weren’t told when. The fee went into effect Jan. 1 and was affecting all open contracts, including those made in 2023, he said. “You’ve got some pretty upset buyers. We can sell the new fees, that’s not a problem,” but buyers are upset when surprised by an additional fee at closing they were not expecting. I think Kevin McCurdy, director of finance, was wrong when he responded he believed when the new fees were put in place, it was based on the closing date and would not effect contracts closed prior to Jan. 1, but would be applied to those closing after that date. Director Jim Rough added that his understanding was the fee would be included in any contract signed after Jan. 1 and would not be “back charged.” Director JeanTotten encouraged a meeting between the board and management to clarify the language of the policy to reflect that. This needs to be resolved quickly! The new owners, with signed contracts prior to January 1, 2024, charged the $1000 CIF and $50 increase in the annual assessment reimbursed immediately!
What's also disturbing is the fact that this issue had to be publicly revealed at the Exchange! He obviously went directly to the RCSC before having to make this situation publicly known? I would have hoped it would have been resolved quickly and privately.
The PIF has been increased in the past. How were those increases handled regarding houses under contract?
As I recall, during discussion of the CIF bylaw addition, prior to the vote, Director McAdam explained the RCSC management and staff would be responsible for providing “official” information to realtors, title companies, etc. about implementing the CIF. CIF was created by the Board’s authority. They should have required final approval of the information before being distributed. Had they, this issue would have been avoided. Resolving it “in house” is better than bogging it down with expensive and time consuming attorneys. Board Meeting Summary, December 14, 2023 • New Business Item- Previously Consent Agenda Item Vice President McAdam read the New Business Item: A previous motion was approved to implement a Capital Improvement Fee (CIF). This Consent Agenda Item will amend the Bylaws Article III, titled Assessments, Fees and Collections to include verbiage on the Capital Improvement Fee. The motion was seconded by Director Nowakowski and passes 6 to 1 with Secretary Totten opposed. SECTION 3: CAPITAL IMPROVEMENT FEE Exact wording highlighted is in the summary: https://suncityaz.org/wp-content/uploads/2023/12/BOD-Mtg-Summary-12-14-23.pdf
Simple solution: The president or 3 Directors should call a Special Session and simply vote to grandfather and exclude those 2023 contract holders! The motion itself doesn't specify when the CIF was to take effect so I assume that was determined by staff. According to the Facility Agreement: IV. IT IS MUTUALLY AGREED THAT: C. This agreement cannot be changed, altered or amended in anyway except by the Recreation Centers of Sun City, Inc. So the RCSC Board should just do it! NOW!!! No good reason to drag this out until the next scheduled board meeting!
I can only imagine what would happen if one or more of those home buyers went to Gary Harper, consumer advocate, on channel 3???? YIKES! Not the type of transparency or publicity Sun City needs!