A Better Plan
We're ready to help CSA find the money needed to sustain Sea Pines as a first-rate community. In fact, we are offering a thorough budgetary answer − and one that does not put almost the entire burden on residential property owners (RPOs). CSA has proposed a plan that would fall 95% on the backs of us RPOs, and that would be on top of what many informed homeowners believe is an already unfair burden that RPOs pay under current CSA practices and governing policy.
Many have asked, “If you don’t like CSA’s budget what is your plan to solve the problem?” That’s a fair question. On Monday of this week, Alliance made available to CSA a detailed plan that was the result of an extensive review and evaluation by accomplished financial professionals based on data and information provided directly from CSA. We commend the CSA staff for working professionally and cooperatively with our team.
For those interested, the Executive Summary and the full Alliance Financial Plan can be viewed on our website.
Click here to view the Executive Summary.
Click here to view the detailed Alliance Financial Plan.
For your convenience, we have described the approach behind the Alliance Financial Plan and briefly summarized its key advantages in comparison to the CSA budget.
The foundation of the Alliance Financial Plan is the philosophy that balancing the CSA budget and identifying the sources of new revenue should be based on four simple principles:
- Equal treatment of rental properties between residential and commercial property owners
- Enforcement of the existing covenants pertaining to gate fees and assessments
- Financial obligations should be matched proportionally with those benefiting from the expense
- Short-term problems should not be funded by permanent tax increases.
We believe that our resulting budget faithfully and fairly reflects these principles. Below, is a summary of the critical things the Alliance budget accomplishes and avoids:
- Balances the CSA budget
- Fully funds CSA long-term budgeted infrastructure needs
- Provides an additional $500K annually for CSA unbudgeted items
- Adds $1.2 million annually to fund the deferred hydrology and stormwater maintenance
- Accepts a 50/50 cost sharing between RPO/Commercial interests for the approximate $900K annual trolley expenses for 2019-2023
- Fully funds the planned $4.0 million gate improvements
- Eliminates the proposed Real Estate Transfer Tax
- Eliminates the need for the $300 permanent increase in the base RPO annual assessment
- Adopts a 3-year, $250 annual special assessment on RPO’s
- Adopts a 3-year special assessment on Commercial properties (CPO’s) at the same percentage as the RPO assessment
- More adequately funds the reserve accounts to the 40% level, which was highly recommended by the financial consultant retained by CSA to study our Reserves
We invite all Sea Pines owners to review the Alliance Financial Plan and judge for themselves. We absolutely believe it is both fairer to RPO’s and far more realistic. The CSA plan will never achieve the 75% level of residential owner support necessary to pass a referendum. No level of public relations can turn a pumpkin into a princess.
Everyone wants to ensure CSA has the financial resources to build, maintain and provide the infrastructure and services that reflect a world-class community. However, it requires a strategy and approach that is different than the course presently being pursued. Negotiation and compromise is the only way to get there.