Hi-Country Estates II HOA Annual Meeting Minutes Monday, June 7 ...

Attendance:
Tony Sarra, Vice President & Legal
Arlene Johnson, Director, Roads
Greg Brown, Director, Community Affairs
Libby Wilson, Treasurer
Jack Darton, Secretary
Topics of discussion and consideration:
Hi-Country Estates II HOA
Annual Meeting Minutes
Monday, June 7, 2009 7:06 P.M.
Herriman City Hall
13011 S. Pioneer Street
Herriman, UT 84096
Not Approved
Jeff Fitzmayer, Munitions Response
Robert Price, Munitions Response
Deanna Hopkins (and team), Questar Gas
Approx. 105 HCII Real Estate Owners
• Welcome – Tony Sarra welcomed the group and provided the agenda. He introduced the HOA officers. He explained
that we will not be able to discuss certain topics because notice of a law suit that has been filed against the association.
• Minutes from last year -- Jack Darton announced that the minutes from last year’s meeting will not be read this year in the
interest of time. The minutes were distributed to those in attendance. Arlene Johnson moved to accept the minutes.
Kevin Bogdonow seconded the motion. The motion carried without objection.
• Financials
o Libby Wilson reviewed the year-to-date financial reports for both general funds and water funds. Jaron Taylor
asked about consulting and engineering expenses incurred. Tony Sarra explained that those expenses are
related to water right sales, build-out estimates, and system upgrades such as pumps. Jaron Taylor asked what
the $40,000 in legal fees is from. Tony Sarra answered that it is from various legal actions of past due
assessments. The two major expenses for water are to plan for future build out and to prepare for the water
rights sale. Lindsay Atwood mentions that last year, we spent nearly $40,000 as well, but it was offset by
collection of legal fees. Tom Souvall asked why our legal council was changed for the recent law suit. Tony
Sarra explained that we have retained our general council and the insurance company has hired their own to
manage the new case.
o Libby Wilson read the 2010-2011 budget for the general fund and water fund. Bill Souvall asked if we are going
to approve the budget. Tony Sarra answered, “No”. He explained that the budget is set by the board.
• Munitions response -- Jeff Fitzmayer and Robert Price presented some information about the munitions response
program. About 40% of land owners have granted permission to inspect their lots. He explained that Camp Williams was
established in the early 1900’s and mistakes have likely been made over that time that may have left munitions in the Hi-
Country area. Mr. Fitzmeyer explained that they will run detectors over the area. Tom Souvall asked how they will get
through heavy brush. Mr. Fitmeyer showed pictures of dense brush after it had been minimally thinned. The detection
will be performed in a 300’ grid to find metal fragments that may be spread around an impact site. He reminded the
audience to be precautious about munitions if they are found. Mr. Fitzmeyer says that the procedure should have a 95%
success rate. In 1991, some troops did a visual search for munitions without using any instruments. Not all parcels in Hi-
Country estates will be investigated. Parcel owners will be informed when their lot has been cleared. They will also
sample soil if anything is found. They are focused on finding target areas, not necessarily stray rounds.
• Propositions A & B – Tom Chace read a statement regarding property development.
o Barriers include Sewer, FCOZ, and Roads. Tom is committed to finding the solution to all three barriers.
o He claims that the board has impeded development and has not remained neutral. He says the board has denied
responsibility for development of anything other than roads and water despite the phrase “other public services”
being in the governing documents. He adds that the board has manipulated the rules to serve their own interests.
o He says the board has distributed slanderous and libelous accusations against him. He sent a five page letter to
all HOA members on May 6 to clarify his position.
o Tom Reports, “Last year, the board was offered the chance to settle the litigation and all they had to do is help us
to annex into Herriman.” Several members of the audience exclaimed their objection to annexation. He
continued, “They said they had to remain neutral and it’s up to the property rights group.”
o Tom has been in negotiation with Herriman to annex in such a way that all lots will be buildable. He claims that
his negotiations would cause Herriman to take over HCII infrastructure and remove FCOZ and other questionable
zoning requirements. He claims that the board has sabotaged his efforts. He also claims to be the legal contact
for annexation with Herriman and the board inappropriately became involved.
o Tom would like to see the HOA and the ACC dissolved. He says most of the items addressed by the ACC are
covered by Herriman’s building code.
o Tom claims that the board was offered money for sewer in 2009 but the board elected not to pursue it. Tom
claims he was sent on a goose chase to secure a sewer study. Meanwhile, the funds disappeared.
o The audience became very unsettled. Tom was upset and sat down.

• Board Response – Tony Sarra responds to portions of Tom Chace’s presentation
o Tony Sarra denied that board has interfered with any negotiations with Herriman regarding annexation. The
board is negotiating the sale of water rights to Herriman and Tom Chace has been discussing some of the same
issues with Herriman’s attorneys. Tom denies the allegation. Tony says it is documented and factual.
o Tony explains the covenants and by-laws are recorded with the title on every property in HCII and annexation
does not remove them or the HOA.
o Tony says that the board never turned down any money for sewer.
o Mary Jane Pennington asks if a meeting can be arranged with Herriman to get more information on annexation.
Tony read a letter from Herriman Mayor Mills regarding past Hi Country II meetings and future annexation
possibilities. The letter stated that there was a meeting on March 25, 2009 regarding funds that the State had
available to assist in constructing a sewer system in Hi Country II. It was concluded that Hi Country II would work
directly with the Sewer District to decide if property owners would support annexing to the sewer district. The
letter also stated that if Hi County II annexed, the City would not maintain or improve any roads or the water
system in the Hi Country Estates Subdivision unless the funds were generated by Hi Country II residents. It also
stated that if Hi Country Estates annexed they would be brought in under the FR zone which has development
restrictions in land areas over 30% grade and it preserves ridgelines. Lenell Chace claims that the details of the
letter are very different from what Herriman communicated with her a few days prior. She claims FR zoning is as
bad as or worse than FCOZ. She suspects that the board is undercutting their work. Tony reminds everyone that
the board will act according to the result of the vote. Lenell asked that we tally all votes by Area and provide
counts rather than just pass/fail. Matt ? mentions that he’d be willing to pay a neighbor’s sewer connection
because he can’t build otherwise. Lindsay Atwood says that we need to find a solution that benefits all parties
involved.
• Proposition D (new) -- Tom Souvall moved that the lots that are unbuildable due to moratorium, sewer, roads, or FCOZ
receive a 50% discount on assessments (subject to legal review) until they are buildable. To receive the discount, you
must bring assessments current. Scott Royall seconded the motion. Votes were collected by casting a hand written
ballot.
• Proposition C – Jack Darton and Deanna Hopkins presented information regarding natural gas. Natural gas costs
approximately half of propane and natural gas prices are less volatile. Installation costs will likely be over $5,000 for the
main line and likely another $5,000 more to connect after considering expenses for service line, appliance conversion,
and inspection.
• Water
o Ted Mickelsen provided information on the engineering study his firm will complete this year.
o Greg Brown provided a status report on the water system. He showed statistics on past usage, a list of projects
completed, and pictures of some of the projects.
o Tom Souvall asked about the water rights sale. Tony Sarra explained that we entered contract with Herriman
because we would forfeit our rights without benefit otherwise. He read a letter from Wendy Bowden Crowther, our
water attorney, that expanded on that point. Tony described some of the factors involved in negotiating the sale
with Herriman.
• Elections
o Director: Tony Sarra (incumbent) and Leilani Vaivaka are up for election as director.
o Secretary: Jack Darton (incumbent) ran unopposed
o Treasurer: Libby Wilson (incumbent) ran unopposed
o ACC: Nancy Bill, Paul Jacobik, Jeff Ohlsen, and Scott Royall introduced themselves. Ingrid Rauter was
nominated by Don Bill, Joel Eberhardt seconded the motion, and she introduced herself.
o Area A Coordinater: Tom Pedersen, Ingrid Rauter
o Area B Coordinater: Nancy Bill, Kristen Ohlsen
o Area C Coordinator:Jaron Taylor, John Andreesen, James Fike
o Area D Coordinator: Charles Calder
• 5 minute break
• Legal
o Tony Sarra stated that information regarding the law suit brought by the property rights committee has been and
will be posted in the HCII website, www.hi-country2.com
• Roads
o Arlene Johnson displayed the proportions of cost vs. traffic for each main road in the area.
o $22K was spent on maintenance and $20.6K on snow plowing.
• Member Issues
o Adam Meyers asks that the board adopt standard floor rules to reduce shouting matches.
o Lenell Chace has requested that monthly and annual meeting minutes be published in a timely fashion.
o James Fike asked that we select a larger venue next year.
• Tom Pedersen Moved to close the meeting at 11:12. Holly Saunders seconded the motion. The motion carried without
objection.
Jack Darton
Secretary