Monday, March 30, 2009

Kings Forest Board Presents Five-Year Plan at Annual Meeting

At the Kings Forest annual meeting held on March 24, Board President Kevin Morley presented a comprehensive five-year plan to address the renewal of the infrastructure of Kings Forest.

Starting with a review of the board’s goals and accomplishments in 2008, Morley went on to thank the many volunteers who have contributed to the successes we’ve seen in the last year.

The main focus of the presentation was a first ever (for Kings Forest) presentation of a five-year plan of action for capital infrastructure renewal through 2013.

Morley emphasized that this plan is a template for decisionmaking. Only the projects listed for 2009 have been reviewed and approved by the current board. The timing and scope of future projects, and the annual assessments necessary to pay for them, would have to be reviewed and approved by future boards following appropriate input from the residents.

Morley explained that the financial basis for the plan takes current-year operating expenses and projects them forward, increasing appropriately for inflation.Capital projects, such as revitalization of the entrances, fence replacement, and pool resurfacing/renewal, are then added in. This allows a calculation of the level of assessments necessary to pay for the plan each year, while maintaining a prudent cash fund for unforeseen contingencies.

While current-year stewardship focuses on the annual budget, future-year planning focuses on the amount of cash held in savings. Morley pointed out that if certain projects are completed according to normal replacement schedules (i.e., fifteen years for the fence), the cash fund drops to a level that may be too low. For this reason, the board must carefully consider even small projects that may reduce funds available for the capital projects, and is considering options for moving some projects.

To this end, the board has signed a contract to begin an effort to life-extend the fence (replace rotting boards and trim away vegetation) in the hopes of postponing its replacement by a year or more.