“Several years ago, Susan
Jennings, Judy Kyrala, Cindi Sorrentino, and Melanie Lashlee did, after
conspiring to do so, use fraudulent means to remove Vice President Bill Lee
from the Board of Directors. At that time, the Board provided no evidence of
any kind to support any of the charges HOA President Susan Jennings made
against Mr. Lee. When Mr. Lee filed a complaint with the Dept. of Fire,
Building, and Life Safety, Judy Kyrala and Melanie Lashlee testified at the
hearing where they lied under oath bearing false witness against Mr. Lee,
thereby committing perjury which is a felony under state and federal law.”
The claims made in this
statement can be easily verified by simply comparing the complaint, the Association's
response to the complaint, the transcript of the hearing, and the Decision of
the Administrative Law Judge M. Douglas to the relevant ARS, emails, the
Minutes of meetings, and the recordings of the meetings made by Community
Association Manager Melanie Lashlee on behalf of the Association.
What you have just read is
an excerpt from the Petition Statement I filed with the Arizona Department of
Real Estate. What follows is the text of that Petition Statement minus the line
and page numbering, which for some reason, that I don't understand, was removed when I pasted the document here. If you would like me to provide you with a PDF of the Petition Statement just email me at billlee520@yahoo.com. Also, I have not included the many Exhibits.
The Association's response follows the Petition Statement.
****************************************************************
Petition Statement for
the
HOMEOWNERS ASSOCIATION
(HOA) DISPUTE PROCESS PETITION
filed by William P. Lee
against Greenlaw Townhouses Unit Two on September 11, 2018
Directors:
Susan Jennings Lot Owner
since 1987 2656 E Jeffrey Loop
sjennings@flagstaff.littleamerica.com
Judy Kyrala Lot Owner since
2001 2501 E Eva Loop
j.kyrala@gmail.com
Dave Christensen Lot Owner
since 2010 2406 E Eva Loop
dave@davechristensen.org
Ronald Houston Lot Owner
since 2015 2601 E Jeffrey Loop
RonaldL.Houston@gmail.com
Nita Poden Lot Owner since
2016 2536 E Eva Loop
nita.poden@nau.edu
BOOTING OF VEHICLES.
Solely on the whim and
caprice of the Board, and in direct contradiction of the CC&Rs and the
Rules and Regulations, the Association banned all parking on Association
streets and contracted with a towing service to boot vehicles.
Exhibit A The Association's
Rules and Regulations
Exhibit B The Association's
CC&Rs (see the 1993 Amendments, excerpted below)
Exhibit C is photo of a
section Eva Loop which I measured to be 27' 8'' wide. When driving a loop drive
in a clockwise directions, the right side of the street is a designated fire
lane; the left side is not and never has been a designated fire lane. Though
Regulations 14A-E of the Rules & Regulations, and Amendments 1, 2, and 3 of
the CC&Rs, do limit parking on Association streets, they do not require
that both sides of the loop drives be designated fire lanes. Also, nowhere in
the CC&Rs or the Rules & Regulations is all parking forbidden, and
nowhere is there anything that authorizes the booting of vehicles. Furthermore,
it should be obvious to all that booting a vehicle parked in a fire lane would
guarantee that the owner would be unable to move the vehicle in the event of an
emergency, thereby increasing the danger to all concerned. And yet, as Community Association Manager Melanie Lashlee's
response to my below email, and the May 2017 Newsletter make clear, the
Association has contracted with a company to boot vehicles.
From: William Lee
[mailto:billlee520@yahoo.com]
Sent: Monday, October 16,
2017 11:21 AM
To: Melanie Lashlee
Subject: Booting
Dear Ms. Lashlee:
It is my understanding that
the Board and/or you have ordered the booting of at least one vehicle on the
HOA's loop drives. Please let me know the procedure that is followed concerning
the booting of vehicles.
Bill Lee
From: Melanie Lashlee
<mlashlee@hoamco.com>
To: William Lee
<billlee520@yahoo.com>
Sent: Tuesday, October 17,
2017, 2:41:32 PM MST
Subject: RE: Booting
Bill, I did not call the
towing company and I am not aware of any board member that did . There is “No
Parking” on the street so if the tow company were to tour the property then
they can boot a car/truck in violation .
Melanie Lashlee
Flagstaff Regional Director
Exhibit D is a PDF of the
May 2017 Newsletter. Paragraph 7 states “As a reminder please remember there is
“No Parking” on the streets or alley ways. The streets are narrow and need to
remain open for emergency services at all times. There is open parking on King
Street if you need extra parking for guests. Please be advised you could be
towed or your car booted if you are parked on the street.”
Regulation 14A of the The
Association's Rules and Regulations states, “Temporary” parking for a limited
period of time is permitted on the Association streets (Eva, Heidi and Jeffrey
Loops.) You may not store vehicles on the Association streets.”
In regard to the Amendments
to the CC&Rs dated 04/29/1993 (Exhibit B, pages 21 & 22 of the attached
PDF), Amendment 1 establishes fire lanes, Amendment 2 deals with snow removal,
and Amendment 3 deals with abandoned vehicles:
Amendment #1
Article II, PERMITTED USES,
is amended by adding a new paragraph (n) as follows:
The Association, after
conferring with the office of the Fire Marshal, City of Flagstaff, shall cause
signs to be placed and curbs painted red to designate fire lanes for access of
emergency vehicles. No parking shall be permitted in such designated fire lanes
and violations will be enforced by citation as with other fire lane violations
on private property.
APPROVED: Yes 39, No 6.
Amendment #2
Article II, PERMITTED USES,
is amended by adding a new paragraph (o) as follows:
It shall be a violation of
these Covenants, Conditions and Restrictions for any resident or visitor to
park on roads of the Greenlaw Townhouses Unit II Subdivision during periods of
snow removal. At the direction of the Association, violators will be towed at
the expense of the owner of the vehicle.
APPROVED: Yes 39, No 6.
Amendment #3
Article II, PERMITTED USES,
is amended by adding a new paragraph (p) as follows:
Vehicles parked at curb side
in an obvious state of disrepair for a period of seventy-two (72) hours shall
be considered abandoned and towed from the property at the expense of the owner
of the vehicle
APPROVED: Yes 42, No 6.
On most Flagstaff streets
overnight parking is forbidden during the winter months, so being able to park
overnight on Association streets during those months is a thing of value. For
the Association to take away the Right of the Lot Owners to park on the
Association streets during those times, or any other times, is to take away a
thing of value. In 2003, when the Board was adopting the original Rules and
Regulations, most of the Directors wanted to eliminate all parking except in
garages and driveways. I opposed doing so on the assumption that for some Lot
Owners the extra parking might have been an important factor in buying their
townhouse. So I wrote the original parking regulations as follows:
A. In order to provide for
the protection and safety of all, the Flagstaff Police Dept. shall strictly
enforce all FIRE LANE parking regulations.
B. In order to provide
necessary access for Emergency Service Workers, homeowners and work crews,
there shall be no parking in common area alleyways (access-ways, easements).
Any vehicle parked in an alleyway shall be towed at the owner’s expense.
C. In order to provide for
the safe and effective removal of snow from our streets, any vehicle
interfering with snow removal shall be towed at the owner’s expense.
D. In order to provide for
the delivery and pick-up of mail, any vehicle blocking the mailboxes shall be
towed at the owner’s expense.
Regulation 14A was added
after I resigned from the Board.
Evidence Request:
1. All
bids, contracts, and invoices related to towing/booting services.
2. The
time and place of each incident that a vehicle was towed or booted.
Additional examples of
habitual and ongoing violations
Because the booting of
vehicles in no way benefits the Association or any Lot Owner, and because it is
so obviously a violation of the CC&Rs, the Rules and Regulations, Arizona
Law, and just plain common sense, I have chosen it to be the basis for this
Petition. However, booting is just one of the many violations that have been
committed by the Association. And therein lies the problem. If I were to make
every violation I know about an Issue in this Petition, I would have to pay
multiple filling fees, which I would prefer not to do. If I were then deemed to
be the Prevailing Party in each instance, the Association would probably have
to reimburse those filing fees. So, the Lot Owners would wind up paying for
violations that harm the Lot Owners. I don't want that to happen. So, the
following examples of violations are presented here as evidence of the
Association's complete lack of good faith in dealing with the Lot Owners and in
managing the Association. Hopefully, each of these violations will be taken
into account in the Court's decision. I believe the best possible outcome of
this Petition will be that all violations discussed in this Statement be
referred for investigation, and that everyone who is responsible for the
violations be held accountable.
GUTTER CLEANING
The unauthorized use of
Association Funds to clean gutters, in direct contradiction of the
Association's Rules and Regulations, and in many cases to clean gutters that
rarely, if ever, need cleaning.
Exhibit A—The Association's
Rules and Regulations
Exhibit B—The Association's
CC&Rs
Regulation 19. The
Association repairs and maintains the following elements of the Project as
prescribed in the CC&Rs Section #V (a). ...(lot owners are responsible for
gutter and down spout cleaning)...
Regulation 20. Lot Owners
are required to repair and maintain the following: ... gutter and down spout
cleaning
$70. During an email
exchange concerning gutter cleaning, Judy Kyrala wrote on Sept. 31, 2013,
"The CC&Rs defer
to the Rules and Regulations about gutter cleaning and so that can be changed
by board action. Susan is correct about the yearly cleaning being done in the
past for nominal cost - from memory, I think the cost was something like $70
for the fall cleaning as part of the general fall cleanup (last action of the
landscaper before winter and after leaf drop)."
$1890. Exhibit E. Contract
in the amount of $1890 awarded in 2013 to Spike Landscaping to clean the
gutters in the Fall. (Approved without my knowledge, though I was a Director a
the time. As I recall, and according to the emails I have reviewed, gutter
cleaning was under discussion by the Directors, though nothing had been
resolved, and no action had been approved. While I was a Director, it was
policy that anything dealt with between meetings required unanimous approval,
or it would be held over for the next meeting. )
$3200. Exhibit F: Contract
awarded in the amount of $3200 in 2014 to Incline Custom Builders to clean the
gutters in the Spring and the Fall. (As before, this too was done without
my knowledge.)
$4600. From 2015 thru 2018,
$4600 was budgeted annually for cleaning gutters in the Fall and Spring.
Approximately half of the
townhouses have gutters that rarely, if ever, need cleaning. As can be seen in
Exhibit G, end units only have gutters over the driveways, and almost half of
the townhouses are end units. Also, it seems obvious that once the gutters are
cleaned “after leaf drop” in the Fall, there is nothing that could drop out of
the sky that would require all gutters to be cleaned again in the Spring. At a
cost of $2300 per cleaning, even if a worker put in a full eight hour day doing
a Spring gutter cleaning, that would come to just shy of $300 per hour for
unskilled manual labor to do work that had already been done.
Evidence Request:
3. All bids, contracts, and
invoices for gutter cleaning.
4. If the Defendant wishes
to use as evidence any emails concerning this or any other matter, I request
that all related emails be provided.
FENCE REPLACEMENT
Solely on the whim of the
Board, and without consulting the Lot Owners or obtaining the required approval
of the Lot Owners as per Article VIII of the CC&Rs and the 1999 Amendment
(Exhibit B—pages 9 & 1 respectively of the CC&Rs PDF), the Association
undertook a Capital Improvement project to replace all the fences, even though
the CC&Rs and the Rules and Regulations only authorize the Maintenance and
Repair of fences. Furthermore, the Association did so without informing the Lot
Owners that a new fence would cost each of them about $1,500, and the
Association has deliberately withheld from the Lot Owners the eventual need of
the truly essential Capital Improvements of replacing the roofs and repaving
the loop drives, and the need to raise more than a million dollars to pay for
them.
In 2013, then Director Pat
Mount (a retired contractor) recommended using $300,000 as the assumed cost of
repaving our thirty year old loop drives; at the February 2014 Annual Meeting Community Association Manager Melanie Lashlee
estimated it would cost $800,000 to replace our roofs; and the project to
replace our fences will cost about $200,000. That comes to $1,300,000 in
Capital Improvements. When our roofs were re-shingled in 2003, 2004 and 2005,
it was paid for with a five year $50 per month Special Assessment. At that time
it was expected that the roofs would last twenty-five years; however, in May of
2015, then Director Barbara Tauritz had half of her roof replaced even though
it had been re-shingled only ten years before.
Susan Jennings and Judy
Kyrala, who have been Directors continuously since before 2003. They
participated in that five year $50 per month Special Assessment, and they were
Directors at the Board Meeting when the roofing contractor was chosen, so there
can be no doubt that they, and through them the Board, knew that approval by
the Lot Owners was required for any Capital Improvement project such as
replacing roofs or fences, and that the only mechanism the CC&Rs provide to
pay for Capital Improvements was the Special Assessment, as per Article VIII.
Furthermore, Susan Jennings and Judy Kyrala participated in writing the
original Rules and Regulation in 2003, and were Directors when the Rules and
Regulation were revised in 2006 and 2010, and Ms. Jennings was a Lot Owner when
Article VIII was amended, so Ms. Jennings and Ms. Kyrala clearly knew the
difference between an Annual Assessment and a Special Assessment, and the
difference between Maintenance and Repair and a Capital Improvement when the
Association decided to replace the fences.
For the convenience of the
Court, I have copied here Regulation 19 of the Association's Rules and
Regulations:
Regulation 19. The
Association repairs and maintains the following elements of the Project as
prescribed in the CC&Rs Section #V (a): the private streets, all Common
Areas of the Project, all front yard areas of all lots (including sprinkler
systems) roofs, repairs to fences due to normal wear and tear, fascia and trim,
gutters and down spouts (lot owners are responsible for gutter and down spout
cleaning) exterior painting, siding material and any and all other required
items specified in the CC&Rs. All exterior painting will be performed on a
rotational basis as established by the Board of Directors. If you choose to
paint components of your exterior at your own expense out of the scheduled
sequence, you must follow all Architectural Review Guidelines and submit your
proposal for review and written authorization. Fixtures and additions made by a
lot Owner are not maintained by the Association. The HOA does not make repairs
on roofs or gutters damaged by ice damming. Please contact the Property
Managers for information and forms for Architectural Review.
MAINTENANCE AND REPAIR
In order to pay for the new
fences without doing a Special Assessment, the Association has stopped doing
the most basic maintenance and repair as required by Regulation 19. What
follows are just a few of the things that I know about because these things all
happened on the north leg of Eva Loop where I live:
2015/2016. The sprinkler at
2525 Eva Loop leaked the entire winter—for more than three months. (Exhibits
H1, H2, H3)
2016. The sprinkler at
2529/2533 Eva Loop leaked the entire month of July. (Exhibits I 1, I 2, I 3)
2017. For the first time
since I bought my townhouse in 2001, the HOA did not do the full rotational
painting. Instead it only did a touch-up and some carpentry work. (Exhibit E)
2018. The rotational
painting was done; however, for the first time since I bought my townhouse, the
HOA did not replace trim where necessary, even though doing so was recommended
by the painting contractor, CertaPro. (Exhibits J, K1, K2 are two examples)
Any of the above can be
easily verified by the Lot Owners on the north leg of Eva Loop. After all, it's
not like I'm the only one who noticed these things. The pictures are included
for the convenience of the Court, and to aid any investigation.
When my neighbors and I
found out that we were not going to get the full rotational painting we were
entitled to and had paid for, we sent the following petition. (The new fence at 2536 Eva Loop mentioned in the petition is
at the townhouse of Director Nita Poden.)
Subject:Painting/Fences
From:billlee520@yahoo.com
To:mlashlee@hoamco.com;
sjennings@flagstaff.littleamerica.com; j.kyrala@gmail.com;
cindi@flagstaffinnovativerealty.com; btauritz@hotmail.com;
jonzimmermann2@gmail.com
Date:Tuesday,
April 18, 2017, 9:08:01 AM MST
Attached
to this email is a PDF of six signed copies of the following petition; you can
expect to receive a few more:
To
the Directors and Community Association Manager of Greenlaw Townhouses Unit
Two:
This
April of 2017, we homeowners on Eva Loop, who were due to get a full rotational
painting of our townhouses, only got a touch-up. It is our understanding that
the money that should have paid for the rotational painting, is going to be
used for the rotational fence replacement. Since we didn't get the painting we
paid for and deserve, it is only fair that we get the new fences that are going
to be installed this Spring. And the new fence at 2536 Eva Loop makes clear
that our fences need replacing just as much as any other fences. Obviously, if
we don't have new fences and properly painted townhouses our property values
will suffer, and, just as important, it will diminish our enjoyment of our
homes. This is also true of any tenants. After all, they're paying for new
fences and painting every time they write a rent check.
Furthermore,
we request that each of us be provided with the HOA's painting invoices for as
long as records have been kept, so that we can see for ourselves if we have
been treated unfairly. It is our understanding that HOAMCO digitized the HOA's
records so it should be easy for Melanie Lashlee to print out copies of the
invoices, and mail them to each of us.
Name.....................................................................
Signature................................................................
Address.................................................................
So,
what was the response to our petition?
As
far as I know, I am the only petitioner who got any response at all. What I got
was a few emails:
From
President Susan Jennings I received an automatic reply stating:
I'll
be out of the office until Dec 13th.
Susan
Jennings
Jon
Zimmermann's response was:
Take
me off your mailing list.
Jonny
Community
Association Manager Melanie Lashlee did provide a few of the requested
documents to me, but never followed up with the remaining documents. To the
best of my knowledge she did not respond to any other petitioner, with one
exception.
What
follows is an exchange between one Lot Owner (Phyllis) and Community
Association Manager Melanie Lashlee (Exhibit L is a PDF of the emails as they
were forwarded to me by the Lot Owner):
Lot
Owner:
Malanie,
My
townhouse got the touch-up painting and they did a good job.
I'm
wondering why we did not get the full paint job as the other townhouses did. I
watched and the project came closer, expecting to get the whole place painted.
???
Community
Association Manager:
The
Board determined that we would do touch up this year . Is there more on your
unit that needs to be done ?
Lot
Owner:
Am
I understanding the board determined that, though other units were completely
painted, ours was only deemed necessary to have only touch ups? Again, I ask,
Where is the fairness? We pay the same Home Owners fee, don 't we get the same for
our dollar?
Community
Association Manager:
Phyllis
, there is only so much money the HOA has to spent every year. They are doing a
fence replacement project which you and every other member know about which is
very expensive ! They are doing the best they can to get everything done for
everyone without having to SPECAIL ASSESS the membership ! If there is
something you need done on your unit it will be done . The HOA cannot do
everything that needs to be done all at once as it would bankrupt the association
!
Lot
Owner:
I
understand about the budgeting, but it is clearly not fair for some of the
townhomes to be completely painted, and others not. The value of my home is the
same as others. To switch to fences when the painting is not complete doesn't
even sound legal to me. How can I inform the board of my issues?
Lot
Owner:
If
you would please forward this, also: Why is it that the same houses that were
painted are also now getting new fences, while my townhouse remains unpainted
with shabby fences? Again, I ask, is this legal?
Community
Association Manager:
It
has been sent . Yes, it is legal !
Evidence
Request:
5.
The rotational painting contracts and invoices for the past fifteen years, or
for the last two complete rotational painting cycles, which ever is less.
FAILURE TO PROVIDE FULL
DISCLOSURE
As mentioned above, Pat
Mount recommended using $300,000 as the assumed cost of repaving; Community
Association Manager Melanie Lashlee estimated it would cost $800,000 to replace
our roofs; and the project to replace the fences will probably cost about
$200,000. I have twice written to the Directors asking them to provide Full
Disclosure to all Low Owners on how they intend to pay for these Capital
Improvements. The first time was on May 26, 2016. The following is an excerpt
from that letter. (At that time I thought Ms. Lashlee had estimated $1,000,000
to replace the roofs.)
“How does the Board intend
to pay for the afore mentioned projects? If the above estimates are correct,
the only way to make certain that, when the time comes, the necessary funds are
available is to do a 10 year $95 per month special assessment. Director Cindi
Sorrentino is a licensed real estate broker so she must understand the
importance of full disclosure in real estate transactions. It is long past time
for the Board and Community Association Manager Melanie Lashlee to provide full
disclosure to the Membership, and especially to anyone who has bought a
townhouse since February 2014. Please provide a letter, not just to me but to
every HOA Member, detailing how you intend to pay for the afore mentioned
projects.”
It is my understanding that
to deliberately withhold material information in any real estate transaction is
considered perjury. At least a dozen townhouses have changed hands since Pat
Mount and Melanie Lashlee gave their estimates. So far, the Association has
still not provided any information as to how it intends to pay for these
projects. Instead, by beginning to replace the fences without the authorization
to do so and without arranging for the necessary financing, the Association has
put the Association in such financial jeopardy that when
a Lot Owner asked why the Board was not going to do the required rotational
painting, Community Association Manager
Melanie Lashlee answered, “the HOA cannot do everything that needs to be done
all at once as it would bankrupt the association !”.
MY CONTRIBUTIONS WHILE ON
THE BOARD
The first time then Director
Jon Zimmermann ever spoke to me was at the February 2012 Board Meeting. He told
me I was a troublemaker, but when I asked him, how am I a troublemaker, he was
stumped by the question. So I repeated the question, how am I a troublemaker,
and he still had no answer.
What follows are highlights
of my time on the Board.
Elected Secretary:
At the May 2, 2012 Board
Meeting I was unanimously elected to be the Association's Secretary.
Painters:
In 2012 there was supposed
to be a Board Meeting to interview painting contractors. That meeting took
place but without a quorum. At that meeting there were three contractors,
property manager Jim Joyce, Director Susan Jennings, and myself. (I don't have
a recording of that meeting because I didn't record any of the meetings at
which contractors were interviewed). Following that meeting I inspected two
properties where CertaPro did the painting, and recommended CertaPro to the
Board. The Board then approved a thee year contract with CertaPro to do the
rotational painting and replace any trim or siding that needed replacing. (By
contracting for three years we got a better price than if we had contracted for
just one year.) Following that, Jim Joyce, Jim Furst, and I did a walk-through
with Jason Bower of CertaPro to inspect the townhouses that were to be painted
that year and to see what carpentry work was needed, though it was understood
by all that there where many areas that might need extra attention that we
could not see from the street. But that was always the case, so it was standard
practice that any additional work be pre-approved. Which is why it is so
troubling that the trim in Exhibits J, K1, K2 was not replaced even after
CertaPro recommended that it be replaced, and even though carpentry work was
allowed when CertaPro did the touch-up in 2017 (Exhibit E).
Mailboxes:
Immediately after the
walk-through with Jay Bower of CertaPro, Jim Joyce, Jim Furst, and I continued
on. We noted that the mailboxes and the supporting crosspieces were in very
poor condition. According to the Minutes of the next Board Meeting, “The Board
discussed repairing, painting, and replacing the mailboxes. Jim Joyce will
contact Major League about making replacement units for mailbox stands
w/mailboxes attached.” Some time after that, when nothing had been done, I recommended
replacing all 127 mailboxes and volunteered to do the research comparing
synthetic wood and resin mailboxes to natural wood and metal mailboxes. After
evaluating the pros and cons of various materials and products, I recommended
replacing the cross pieces with natural wood and installing metal mailboxes,
which is what was done at a cost of about $6,000.
Management Bids:
When Jim Joyce resigned as
property manager, I sent letters to property management companies requesting
bids for the management of our Association.
Chain-link Fence:
The chain-link fence at the
southeast corner of the Association's property had been cut too many times to
be repaired. After Community Association Manager Melanie Lashlee arranged for
DC Restoration to replace the fence at a cost of $1,000, I did some research
and informed the Board and Melanie Lashlee that the area being fenced was an
easement so it was probably not vandals or drunks cutting the fence (as
Director Judy Kyrala had claimed) but utility workers who needed access to the
area. The damaged fence was removed, but not replaced, at a cost of $300.
Security Fence:
When Director Judy Kyrala
reported a security problem at the north end of that same easement, I met with
George Gillette of Greenlaw Townhouses Unit Three—who's property was adjacent
to both the easement and our Association's property—about erecting a wooden
security fence/with gate that would block access to the easement so that
transients coming from Bushmaster Park would pass us by and not spend the night
in the common area that the easement gave access to. Mr. Gillette and I agreed
that it would be fair for my Association to pay for the fence and his
Association to pay to maintain the fence, assuming of course that the utility
companies that needed access to the easement would give their permission. When
I presented the plan to the Board and Community Association Manager Melanie
Lashlee, all were in favor of it, and Ms. Lashlee said she would get the
necessary permission. Following that Board Meeting, I emailed a letter to
George Gillette, which I copied to the Board and Melanie Lashlee, requesting
that Mr. Gillette get bids for the fence and submit the plan to his Board of
Directors, of which he was a member. After he took care of his part, Mr.
Gillette came to the September 24th, 2013 Board Meeting and submitted to our
Board the estimate he had gotten for the fence and informed our Board that his
Board had approved the project. After he left, the Board voted unanimously to
go ahead with the project, at which time Melanie Lashlee informed the Board
that APS had provided a lock for the gate and we could start immediately. As it
turned out, though it was assumed that Ms. Lashlee had gotten permission from
all the utility companies that used the easement, she had only gotten
permission from APS. I informed Ms. Lashlee that we needed permission from all
the utilities that used the easement. A day or two later, we all got an email
from Ms. Lashlee that UniSource would not give permission. The project was
canceled.
Spillways:
Along that same easement
there are “V” shaped spillways to channel storm water that are about 8 feet
wide and 18 inches deep (including surroundings). At the end of the section of the
spillway behind Judy Kyrala's property, silt had piled up and had fanned out
into the common area forming a hill about 2 ½ feet high at the end of the
spillway and extending about 25 or 30 feet into the spillway and out into the
common area. When Spike Landscaping removed the silt from in the spillway there
remained a berm at the end of the spillway and the hill beyond. Obviously, we
still had a problem that Spike Landscaping recommended solving by installing a
culvert at a cost of $3,200. All approved except me.
About six weeks later a
second bid was obtained from DC Restoration to:
Install 30' culvert drain
pipe; 12" diameter into silt berm in the drainage area at Greenlaw.
Dig out existing dirt,
install culvert with two aprons
Back fill and cover
Total: $1044.34
This too was approved by all
except me.
I requested that we meet on
site with Kyle Brown of the City's Storm Water Division. Mr. Brown objected to
a culvert since it would cause a bottle-neck, erode around the sides of the
pipe, and probably clog. Instead he recommended removing the berm,
reestablishing the grade, and letting it drain the way it was designed to do.
His recommendation was
accepted by all, and the work was done at a cost of about $650.
Light Fixtures:
When some of the townhouses
had front entrance light fixtures that needed replacing, I went to Home Depot,
found the suitable light fixture, and forwarded the information to Community
Association Manager Melanie Lashlee. The light fixtures were replaced wherever
necessary.
Vice President:
On 3/20/2014 I was elected
Vice President.
Pothole:
Exhibit M
On 6/15/14, I copied to
Melanie Lashlee the following email to Mr. Hearne of the City of Flagstaff:
Hello Mr. Hearne,
There is a deep pothole
where the street and the curb meet that appears to be undermining the curb and
maybe the sidewalk. It is on the east side of King Street next to the home at
2500 Heidi Loop.
About a month later, after
Ms. Lashlee failed to followup and nothing had been done, I showed the pothole
to a police officer who happened to be in the area. He reported it, and the
next day it was repaired and the area cordoned-off for a week or so while the
repair set.
Pressure Regulating
Valves:
When I found out that in
addition to the above ground plastic pressure regulating valves already
installed on our sprinkler systems, underground pressure regulating valves were
being installed to protect underground stop/waste valves, I did some research.
It took me about fifteen minutes online to find a stop/waste valve with a forty
year warranty that was the exact type that were used as the main shut off for
our sprinkler systems, which are usually only turned on and off once a year. I
could not find any pressure regulating valve with a warranty of more than one
year. I also sought advice from plumbing suppliers and from the City of
Flagstaff Utilities Division Engineering Manager, Ryan Roberts, PE, about both
above and below ground pressure regulating valves. None recommend the
above-ground valves. I shared what I had learned with the other Directors.
On September 3, 2014 I
emailed the following motion:
I move that the Board obtain
a test sample, to find out if the above-ground PRVs installed on our sprinkler
systems are worth the cost to the HOA every time one is replaced, by
instructing the contractor to replace the next twelve (12) above-ground PRVs
that fail with an appropriate section of pipe; the ongoing results will be
determined by keeping track of the relevant work orders.
Leaving out a few in-between
emails, on September 9, I emailed the following:
All,
The purpose of the motion is
to answer all those questions by obtaining the real-world results of the
experiment on our sprinkler systems. The only way we can obtain empirical
evidence directly related to our sprinkler systems is by doing the test.
Also, we may well have a
situation in which the landscaper is replacing the above ground plastic PRVs on
systems where the plumber has already installed, or may install in the next
year or so, a below ground PRV. And, so far there is not a shred of evidence
that the PRVs have saved us even one penny, let alone the initial $100 per unit
it cost to install them. And now Royal Plumbing is charging at least $325 per
unit to install a different PRV.
One very important fact is
that the Board budgeted about $4,000 a year for sprinkler repairs before and
after Morning Dew was paid about $10,000 to install the plastic above-ground
PRVs. Yet there is no evidence whatsoever that PRVs save more than they cost.
It's time to get that evidence. Please vote "Yes" and approve the
Motion to obtain that evidence.
On Wed, Sep 10, 2014 at 3:52
PM, Susan Jennings <sjennings@flagstaff.littleamerica.com> wrote:
All,
I am calling a special
meeting for the purpose of requesting approval from the membership to remove
Bill Lee from the Board. For notice requirements to the membership I would like
to have this meeting on September 30th at noon. Please confirm your
availability so Melanie can send notice to the membership.
Thank you,
Susan
On September 11, Community
Association Manager Melanie Lashlee wrote:
Notice will be sent to
the membership per your request.
Thank you !
MELANIE LASHLEE|
Flagstaff Regional Manager
On September 30, 2014, in
clear violation of Arizona Revised Statute 33-1813, the Lot Owners were sent a
ballot asking them to vote for my removal from the Board. That ballot was
accompanied by a letter that trashed my reputation so thoroughly that seventy
of my neighbors voted to remove me from the Board (Exhibit N). To clear my
name, I filed a petition with the Department of Fire, Building and Life Safety
that resulted in a hearing before an Administrative Law Judge. CASE NO. HO 14-15/007 DOCKET NO. 14F-H1415007-BFS.
Without going into detail,
Exhibit O is an email from Judy Kyrala which included nine pages of forwarded
emails, one of which was a Privileged email from attorney Keith Hammond. I have
removed everything after the word “Privileged” from that email. The matter
discussed in those emails concerned a response letter to Lot Owner Tad Klein.
Exhibit O is proof that Judy Kyrala participated in writing that letter, made
no objection to the letter being sent, and made certain Melanie Lashlee knew
about it.
Also, concerning the
testimony of Community Association Manager Melanie
Lashlee, if the Minutes of all meetings had been available to me at that same
hearing before Administrative Law Judge M. Douglas, I could have proven then
and there that Melanie Lashlee's testimony was a complete fabrication when she
claimed that at the meeting at which we interviewed landscapers, I was out of
control, screaming at a landscaper which caused the landscaper to withdraw the
bid and leave the meeting. (Exhibit P is the Minutes of that March 2014 Board
Meeting)
Evidence Request:
6. The Minutes of all
meetings since January 2013, when HOAMCO became the Association's management
company, including Annual Meetings and all Regular, Special, and Executive
Session Board meetings.
7. The Recordings of all
meetings since January 2013, when HOAMCO became the Association's management
company, including Annual Meetings and all Regular, Special, and Executive
Session Board meetings. (For the purpose of transcribing the Minutes of
meetings, Melanie Lashlee recorded the meetings. Those recordings were made on
behalf of the Association, and are the property of the Association.)
8. The Decision by
Administrative Law Judge M. Douglas.
9. The transcript of the
hearing before Administrative Law Judge M. Douglas.
10. The invoices for
everything billed to the Association as expenses related to
CASE NO. HO 14-15/007, such
as lawyers fees and travel expense, including hotel/motel, restaurants, room
service, entertainment, etc.
11. All landscaping
contracts and bids for 2014
This was not the first
attempt to remove me from the Board.
At the 2009 Annual Meeting,
I found out the Association was using 25% as the quorum requirement for Annual
Meetings. I later checked the Bylaws; the quorum requirement was and is “a
majority”. At the 2010 Annual Meeting I asked for clarification and was told an
amendment to CC&Rs Article VIII set the quorum at 25%. After I pointed out
that Article VIII had nothing to do with Annual Meetings, and a second Lot
Owner requested that the matter be looked into, the meeting was adjourned, and
reconvened several weeks later. At that reconvened meeting attorney Tevis Reich
opined that the quorum requirement was 25%, though, as I recall, his written
opinion did not agree with his remarks as stated in the Minutes for that
reconvened Annual Meeting.
At the 2011 Annul Meeting I
was elected to the Board. In February of 2012, at the first regular Board
Meeting, I tried to explain to the Directors that we had not been legitimately
elected, which put us at risk. The result, to put it briefly: they jumped all
over me. At the end of that portion of the meeting a motion for my removal from
the Board was offered, seconded, and approved. When I refused to leave,
everyone else left and continued the meeting somewhere else. No Minutes for
that meeting were ever submitted for approval, though I do have a recording.
Following that meeting,
though I only found out about it much later, attorney Tevis Reich was paid $854
to investigate me, and to find a way to remove me from the Board. At the next
regular Board Meeting, James French, who had put forth the motion to remove me
from the Board, put forth a motion to make me Secretary. Judy Kyrala, who voted
to remove me from the Board, voted in favor of making me Secretary, and I became
an Officer.
SUMMARY
While I was a Director,
contracts were signed and canceled, and money spent without my knowledge or
approval. Because of that, I don't know to what extent individual Directors are
responsible for the above violations. What I do know is that Susan Jennings and
Judy Kyrala have been Directors continuously since before 2003, so there can be
no doubt that Susan Jennings and Judy Kyrala have always known that parking is
allowed on Association streets and that there is nothing in the Rules and
Regulations that allows the booting of vehicles. Susan Jennings was a Lot Owner
when the parking amendments to the CC&Rs were adopted, and both Susan
Jennings and Judy Kyrala participated in writing the Rules and Regulations.
Clearly, they must have known that the booting vehicles was in direct
contradiction to the Association's Rules and Regulations, and Arizona Law.
Simple common sense would have informed any Director that to disable a vehicle
by booting, without the authority to do so, is illegal and probably criminal.
Any victim who's vehicle was booted would have had the right to call the
police, file charges, and sue the Association for any damages.
There can also be no doubt
that Susan Jennings and Judy Kyrala have always known that gutter cleaning is
the responsibility of the Lot Owners. Obviously there is little harm in the
Association paying a landscaper $70 to clean the gutters as part of the fall
cleanup, but to secretly pay $1890 for the same gutter cleaning, and then
secretly sign a contract to pay $3200 for a Fall and Spring gutter
cleaning, makes no sense at all unless something a good deal more nefarious was
going on. Someone had to sign those contracts and approve the payments, so it
is worth noting here that at a meeting immediately following the February 2014
Annual Meeting, at which Community Association Manager Melanie Lashlee
requested that Cindy Sorrentino be appointed to the Board, Ms. Lashlee was
adamant that Susan Jennings be reelected President.
As serious as these violations
are, the violations related to the project to replace the fences are so much
worse. The Association began the project without arranging for the necessary
funding, and without disclosing to the Lot Owners that the combined cost of
replacing the fences, re-shingling the roofs, and repaving the streets had been
estimated to be $1,300,000. By doing so, the Association was put in such
financial jeopardy that when a Lot Owner asked why the Board was not going to
do the required rotational painting that all Lot Owners are entitled to and pay
for, Community Association Manager Melanie Lashlee answered,
“Phyllis
, there is only so much money the HOA has to spent every year. They are doing a
fence replacement project which you and every other member know about which is
very expensive ! They are doing the best they can to get everything done for
everyone without having to SPECAIL ASSESS the membership ! If there is
something you need done on your unit it will be done. The HOA cannot do
everything that needs to be done all at once as it would bankrupt the
association !”
In
this one email, Ms. Lashlee admitted that the Association knew replacing the
fences was not routine maintenance and repair, that the Association
deliberately did not seek the approval from the Lot Owners that a Special
Assessment would have required, and that the Association knowingly risked
bankrupting the Association to pay for the fence project.
One way to determine what
part each Director played is for the Directors to provide sworn statements
detailing what they did and what they knew. Unfortunately, based on what
occurred at the hearing before Administrative Law Judge M. Douglas, such sworn
statements may very well be useless. It is because of that, and because all of
the above violations are so serious, that I believe a full investigation is
necessary. When the five year $50 per month Special Assessment to replace the
roofs was started in 2000, the Annual Assessment was $50 or $60 per month. Now
the Annual Assessment is $126 per month. A Special Assessment to pay for the
total estimated cost to replace all the fences, roofs, and repave the streets
over a ten year period would have added about $85 to what the Lot Owners would
have to pay each month, not including any increases in the Annual Assessment.
Obviously, for the Association to deliberately withhold material information
such as this from the Lot Owners is a clear breach of the Association's
fiduciary duties. If one adds to that, the misuse of Association funds, the
unauthorized booting and towing of vehicles, and the various other violations
discussed above, I believe that there can be no doubt that an investigation by
the appropriate law enforcement agency is essential if the Association and the
Directors who committed these violations on behalf of the Association are to be
held accountable, and the rights and interests of the Lot Owners protected.
After the last election, I
made a sincere effort to inform the newest Directors, Ronald Houston, Nita
Poden, and Dave Christensen, of the above violations, and of my ongoing efforts
to hold the Association fully accountable (Exhibit Q). As the majority on the
Board, they can refuse to allow the use of Association funds to defend against
this Petition. Instead, they can support my request for a full investigation of
all violations, and fully cooperate with any investigation. Or not. The choice
is theirs.
However, before they decide,
they need to keep in mind that unless I completely misunderstand the meaning of
the words conspiracy, fraud and perjury, the following statement is the truth,
the whole truth, and nothing but the truth.
“Several years ago, Susan
Jennings, Judy Kyrala, Cindi Sorrentino, and Melanie Lashlee did, after
conspiring to do so, use fraudulent means to remove Vice President Bill Lee
from the Board of Directors. At that time, the Board provided no evidence of
any kind to support any of the charges HOA President Susan Jennings made
against Mr. Lee. When Mr. Lee filed a complaint with the Dept. of Fire,
Building, and Life Safety, Judy Kyrala and Melanie Lashlee testified at the
hearing where they lied under oath bearing false witness against Mr. Lee,
thereby committing perjury which is a felony under state and federal law.”
The claims made in this
statement can be easily verified by simply comparing the complaint, the
Association's response to the complaint, the transcript of the hearing, and the
Decision of the Administrative Law Judge M. Douglas to the relevant ARS,
emails, the Minutes of meetings, and the recordings of the meetings made by
Community Association Manager Melanie Lashlee on behalf of the Association.
Requested Remedies:
1. That all violations
discussed in this Statement be referred for investigation.
2. That the Association
cease and desist all violations of the Controlling Documents and of Arizona
Law.
3. That the Directors who
committed the above violations on behalf of the Association be prosecuted for
any criminal activity.
4. That the Directors who
committed the above violations on behalf of the Association reimburse the
Plaintiff for all filing fees.
5. That any settlement
agreed to by the Plaintiff be without any condition that could limit or
prejudice any future legal action against the Association or the Directors who
committed the above violations on behalf of the Association.
6. That the Association and
the Directors who committed the above violations on behalf of the Association,
be enjoined from using any Association funds to pay for any part of any
response to this Petition.
7. That the the Association,
and the Directors who committed the above violations on behalf of the
Association, be enjoined from using any Association funds to pay for any part
of any settlement resulting from this Petition.
8. That the Board of
Directors immediately cause to be mailed to all Lot Owners of Greenlaw
Townhouses Unit Two via first class mail, with all printing, copying, and
mailing costs paid for by the current Directors, the following:
a. A Notice for a Special
Meeting to elect Five (5) new Directors that follows all the procedures of an
Annual Meeting.
b. A signed letter from each
Director swearing to never again serve as a Director, and swearing to make a
good faith effort to provide any assistance or information the new Board
requests.
c. A copy of this entire
Petition Statement.
10. Any other remedies that
may be found necessary after the requested documents are provided.
Evidence Request beginning
with the requests numbered above.
I am requesting the
following documents so that they will be available as evidence. As mentioned
above, if the Minutes of all meetings had been available to me at the hearing
before Administrative Law Judge M. Douglas, I could have proven then and there
that Melanie Lashlee's testimony was a complete fabrication when she claimed
that at the meeting at which we interviewed landscapers, I was out of control,
screaming at a landscaper which caused the landscaper to withdraw the bid and
leave the meeting.
1. All bids, contracts, and
invoices related to towing/booting services.
2. The time and place of
each incident that a vehicle was towed or booted.
3. All bids, contracts, and
invoices for gutter cleaning.
4. If the Defendant wishes
to use as evidence any emails concerning this or any other matter, I request
that all related emails be provided.
5. The rotational painting
contracts and invoices for the past fifteen years, or for the last two complete
rotational painting cycles, which ever is less.
6. The Minutes of all
meetings since January 2013, when HOAMCO became the Association's management
company, including Annual Meetings and all Regular, Special, and Executive
Session Board meetings.
7. The Recordings of all
meetings since January 2013, including Annual Meetings and all Regular,
Special, and Executive Session Board meetings. (For the purpose of transcribing
the Minutes of meetings, Melanie Lashlee recorded the meetings. Those
recordings were made on behalf of the Association, and are the property of the
Association.)
8. The Decision by
Administrative Law Judge M. Douglas.
9. The transcript of the
hearing before Administrative Law Judge M. Douglas.
10. The invoices for
everything billed to the Association as expenses related to CASE NO. HO 14-15/007,
such as lawyers fees and travel expense, including hotel/motel, restaurants,
room service, entertainment, etc.
11. All landscaping
contracts and bids for 2014
12. All Mailings sent to all
Lot Owners via First Class Mail since January 2013, when HOAMCO became the
Association's management company, including meeting notices, newsletters,
special announcements, ballots, etc.
13. The mailing addresses of
all Lot Owners to which First Class Mail is sent.
14. The email addresses of
all Lot Owners for whom the Association has email addresses.
15. All bids, contracts, and
invoices for the installation and staining of the fences installed and stained
during the project to replace the fences.
Exhibits:
Exhibit A. The Association's
Rules and Regulations
Exhibit B. The Association's
CC&Rs
Exhibit C. Photo showing a
section of the Eva Loop Fire Lane
Exhibit D. PDF of the May
2017 Newsletter
Exhibit E. Invoice--Spike
Landscaping
Exhibit F. Contract--Incline
Custom Builders
Exhibit G. Photo showing
Gutters and Carpentry
Exhibits H1, H2, H3.
Sprinkler leak at 2525 Eva Loop
Exhibits I 1, I 2, I 3.
Sprinkler leak at 2529/2533 Eva Loop
Exhibits J, K1, K2. Two
examples of trim that should have been replaced during the rotational painting.
Exhibit L. PDF of the Lot
Owner/Manager Exchange as forwarded to me by the Lot Owner
Exhibit M. Photo of pothole
Exhibit N. Letter
accompanying the ballot for my removal from the Board.
Exhibit O. an email from
Judy Kyrala proving perjury. (Exhibit O has been edited to remove everything
following the word “Privileged”. I will provide the nine page unedited version
upon request.)
Exhibit P. Minutes for the
March 2014 Special Meeting of the Board of Directors.
Exhibit Q. Letter To Three
Directors.
End of Petition Statement.
What follows is the
Association's Response.
The following email explains why I was not at the Annual Meeting, and why I withdrew my name as a candidate.
Dear Ms. Lashlee,
Please extend my apologies to the Lot Owners at the Annual Meeting, and read to them the following statement:
Dear fellow homeowners:
Due to circumstances that I was unaware of when I submitted my Statement of Interest and put my name on the ballot, I will not be attending the Annual Meeting and hereby withdraw my name as a candidate. If you have read the Petition Statement posted at my blog, I'm sure you will understand why it would create a conflict if I'm a Director at the same time I'm presenting my case to the Administrative Law Judge at the hearing this December. If you have any questions or concerns feel free to email me at billlee520@yahoo.com. In the meantime this is your Annual Meeting and your chance to have the Board address your concerns. Based on my past experiences, I recommend that you record the meeting.
Due to circumstances that I was unaware of when I submitted my Statement of Interest and put my name on the ballot, I will not be attending the Annual Meeting and hereby withdraw my name as a candidate. If you have read the Petition Statement posted at my blog, I'm sure you will understand why it would create a conflict if I'm a Director at the same time I'm presenting my case to the Administrative Law Judge at the hearing this December. If you have any questions or concerns feel free to email me at billlee520@yahoo.com. In the meantime this is your Annual Meeting and your chance to have the Board address your concerns. Based on my past experiences, I recommend that you record the meeting.
My sincere best wishes to all of you,
Bill Lee