Palo Verde Road Management update

 

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All Palo Verde Sun Lakes homeowners are automatically a member of Palo Verde Road Management, Inc., and have a vested interest in how our private streets are operated and maintained. Palo Verde Road Management “Association” is a non-profit, tax-exempt corporation under and by the laws of the State of Arizona and is independent and separate from the Cottonwood Palo Verde Homeowners Association. The nine-member Board is made up of Palo Verde homeowners and is responsible for the operation and maintenance of approximately 11.2 miles of private roadway and associated drainage systems serving the 1,073 Palo Verde homeowners. The Board members are all non-paid volunteers. All revenue from fees or assessments goes to the actual cost of operation and maintenance of the private roadways and associated drainage systems. Palo Verde Road Management, Inc., remains financially sound. In 2019, there will be no increase in your Annual Road Fee. It shall remain at $175.00 per household and billed as a pass-through charge in your annual homeowners dues billing in January of each year by Cottonwood Palo Verde Homeowners Association.

In 2018, The Board of Directors set a goal of building its Emergency Repair and Replacement Fund to a minimum of $200,000 by February 2019. This two-year goal has been reached. We are now committed to increase this fund to a minimum $250,000 by year-end 2020. This action will help protect our Palo Verde homeowners from the need to impose special assessments or unreasonable rate increases due to facility damage caused by unforeseen catastrophic storm events or underground utility system failures that can lead to thousands and as much as several hundred thousand dollars in repair costs. With careful planning and management, we are able do this with existing revenues and still maintain our ongoing Repair and Replacement Projects.

2019 Proposed Maintenance Program: In November, 2018, the Board authorized a 2019 “Invitation to Bid” to be sent to four identified qualified contractors. It is estimated the total cost of the work proposed to be approximately $111,900. which includes a 10% continency. It is anticipated work will be performed in April 2019. All Palo Verde homeowners affected by this project will be notified by mail in advance.